AT&T is expected to launch its DirecTV Now video streaming service within the next three months. CEO Randall Stephenson told a group of investors that DirecTV Now will be available this year with “very aggressive price points,” according to CNET.
When AT&T announced DirecTV Now earlier this year, the carrier said users will be able to access the service on wireless or wired devices. DirecTV Now is expected to be available to customers of all the nationwide wireless carriers, like Verizon’s Go90 mobile video service.
Carriers are investing in video services as a way to develop revenue streams that are somewhat independent of their spectrum holdings and traditional wireless services. By selling access to content, AT&T and Verizon Communications are developing business units that can operate in countries where they do not own spectrum. Unlike wireless service, these businesses can avoid commoditization if they acquire or create unique content.
AT&T has been working to acquire content ever since it bought DirecTV. The service is expected to offer about 100 premium channels. Users will be able to sign up for DirecTV Now by downloading an app.
Video streamed via DirecTV Now is not expected to count against monthly data plans for AT&T customers. The service is likely to be offered to consumers through a variety of channels, including a package deal that will include AT&T’s wireless service. The carrier has already offered unlimited mobile data to customers who have or add one of these two video services.
AT&T also has bundled DirecTV’s satellite service with home internet and digital home phone service. Earlier this year, the company offered to lock in prices for two years for customers who bought these services along with a new DirecTV subscription.
By Martha DeGrasse