page contents AT&T kills off the failed TV service formerly known as DirecTV Now – The News Headline

AT&T kills off the failed TV service formerly known as DirecTV Now

A large AT&T logo seen on the outside of its corporate offices.
Magnify / AT&T company workplaces on November 10, 2020, in El Segundo, California.

AT&T is killing off the online-video carrier previously referred to as DirecTV Now and introducing a no-contract choice for the more recent on-line carrier that changed it.

AT&T unveiled DirecTV Now overdue in 2016, the 12 months after AT&T purchased the DirecTV satellite tv for pc corporate. Costs at first began at $35 a month for the live-TV on-line carrier, and it had signed up 1.86 million subscribers by means of Q3 2018. However consumers temporarily fled as AT&T many times raised costs and minimize down on using promotional offers, leaving the carrier with simply 683,000 subscribers on the finish of Q3 2020.

In 2019, AT&T modified the title from DirecTV Now to AT&T TV Now, developing confusion amongst consumers and its personal workers for the reason that corporate concurrently unveiled every other on-line streaming carrier known as AT&T TV.

AT&T TV was once pitched as a extra tough alternative for satellite tv for pc TV, and it even mimicked cable and satellite tv for pc by means of enforcing contracts, hidden charges, and a large second-year worth hike. Going ahead, AT&T TV Now will not be introduced to new consumers, and AT&T TV would be the flagship for AT&T’s live-TV streaming trade. “AT&T TV Now has merged with AT&T TV,” the carrier’s web page says in an replace flagged in a information article by means of TV Resolution Guy the day past.

For present customers, “AT&T TV Now consumers’ carrier and plans stay in impact” with none adjustments, an AT&T spokesperson instructed Ars. “We don’t have any different worth adjustments to announce right now.”

Convoluted pricing, an AT&T custom

Prior to now, AT&T TV was once handiest to be had with a freelance. There’s now a no-contract choice that prices extra within the first 12 months however might be inexpensive in the end if consumers use it for more than one years.

The no-contract AT&T TV costs are $69.99 monthly for 65 channels; $84.99 for 90 channels and 365 days of HBO Max; $94.99 for 130 channels and 365 days of HBO Max; and $139.99 for 140 channels and HBO Max with out the one-year cut-off date. There is no regional sports activities community charge in those applications.

The primary-year costs for contract plans vary from $59.99 to $129.99, plus a regional sports activities community charge of as much as $eight.49 for all applications except for the most cost effective one. Together with the sports activities charge, the first-year costs on lots of the contract plans are $10 or so inexpensive than the an identical no-contract choices. An exception is the “premier” bundle with 140 channels and HBO Max, which prices about $140 the 1st 12 months irrespective of whether or not you’ve a freelance or now not.

Shoppers who make a selection the two-year contract gets a large worth hike the second one 12 months, with base costs starting from $93 to $183 monthly plus the sports activities charge. The second one-year costs may just in fact be greater than that since it is in response to the “then-prevailing fee,” which AT&T may just alternate. The contract choice additionally calls for a $19.95 activation charge and an early termination charge of $15 for every month closing at the contract.

Stay going

There is not any automated worth building up after 12 months for the no-contract choice, however that’s not a ensure that costs would possibly not upward thrust. AT&T’s tremendous print says that “pricing, channels, options, and phrases are topic to modify and could also be changed or discontinued at any time with out realize.”

There is every other issue that makes the no-contract worth $10 upper if you need numerous cloud-DVR garage. Whilst the contract choice comes with 500 hours of cloud DVR garage, the no-contract choice handiest comes with 20 hours except you pay an additional $10 monthly to improve to 500 hours. The contract choice additionally comes with one unfastened AT&T TV instrument, which prices $five monthly for 24 months at the no-contract plan. 3rd-party streaming gadgets additionally paintings with the carrier, so there is not any requirement to shop for this.

There is no worth alternate at this time for present AT&T TV consumers. Regardless of the brand new no-contract choice, the contracts for present AT&T TV consumers “stay in impact,” AT&T instructed Ars. As is all the time the case with AT&T TV products and services, the pricing tiers are convoluted, so new consumers must read about them sparsely ahead of signing up. This desk supplies a breakdown of key variations between contract and no-contract choices:


Multimillion-customer exodus

For monetary reporting functions, AT&T TV is a part of a class AT&T calls “Top rate TV” products and services, which additionally comprises DirecTV satellite tv for pc and U-verse wireline TV. AT&T has misplaced just about eight million consumers from the class previously few years, losing from over 25 million in early 2017 to 17.1 million on the finish of September 2020.

Extra visitor losses might be at the manner, as AT&T is elevating costs on each DirecTV and U-verse efficient January 17. AT&T is making an attempt to promote DirecTV, however gives thus far have reportedly valued the satellite tv for pc supplier at a couple of 3rd of the $49 billion AT&T paid in 2015.

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