DIRECTV STREAM, also known as AT&T TV, is a streaming service that launched in 2020 to replace AT&T’s satellite service, DIRECTV. It broadcasts live TV, cloud DVR, and a range of other shows and movies through the internet connection instead of the satellite dish. Lately, there have been concerns as to whether AT&T is going to be shutdown as AT&T shifts towards its fiber internet and 5G business. Here is the roundup of the new articles and articles that provide insights into the rumors of AT&T TV service discontinuation.
This led many to wonder if AT&T was planning on discontinuing its TV services in the near future or not.
There are no official reports at the moment that suggest AT&T will be discontinuing the AT&T Channel Lineup and TV Listings in the near future. To date, early 2023, AT&T TV is available for new subscribers with the 2-year contract offer that is exactly the same as has been offered since the moment of AT&T TV service launch almost 3 years ago.
Secondly, AT&T still promotes and advertises various offers for AT&T TV thus showing their commitment to the expansion of the product. For instance, at the time of writing, AT&T had thirty four offers including new customers receiving $200 off with two year terms.
Nonetheless, at the current point in time, AT&T is gradually moving its overall business model more towards the growth of its fiber internet as well as 5G networks and less in TV services. In 2020 and 2021, AT&T made a number of pay-TV moves that signal a de-emphasis:In 2020 and 2021, AT&T made a number of pay-TV moves that signal a de-emphasis:
- This it did by offering 30% of DirecTV to consortium of buyers that included private equity firm TPG in 2021. AT&T has a 70% stake in Direct TV but relinquished control of its operations.
- The new holding company DirecTV Entertainment Holdings LLC was created after the AT&T decided to spin off DirecTV, AT&T TV and UVerse TV. This makes it easier to analyze the company’s operations since it hived off the TV services from the main AT&T business.
- They are planning to allow their agreement with Starz cable network end by 2022, a situation that can lead to AT&T TV losing those channels.
These changes suggest that AT&T views TV service as a less important offering within its portfolio than internet, 5G, and content delivery. It has been clear that the pressures exerted in the company are not stopping them from continuing their service provision, yet the emphasis and values may be changing.
What Do People with AT&T TV Get Out of It?
More importantly, AT&T TV, which is the current version of AT&T TV, is still the same for those already subscribed to it. Service (or contracts) remains the same.
For new subscribers of AT&T TV, AT&T TV packages remain available for purchase today in the same manner as in the past. However, there is perhaps more confusion now as to what AT&T’s long-term vision for live TV is versus everything else in its portfolio. It’s possible that we will witness wireless Internet using television become more of a trend than the actual television itself.
At the same time, it can be assumed that by transferring the management of DirecTV into a separate business AT&T will have better opportunities for the independent functioning and development of its TV services, which may not be the case if these services are directly controlled by AT&T. It uncomplicates things.
Nevertheless, seeing that AT&T seemingly does not consider TV to be a growth market, subscribers can be forgiven for questioning the fate of AT&T TV. Will packages change? Will they continue to enhance the quality and the experience at the same as other competitors such as YouTube TV or Hulu + Live TV? These are now legitimate questions in the face of AT&T business strategies.
The Bottom Line
It is important to clarify that AT&T TV has not been retired and AT&T has not stated that it plans to close it down any time soon. The AT&T TV service is still available for purchase today as we speak.
However, it could be equally reasonable to argue that AT&T’s recent decision to transfer its TV business means that live television takes the back seat to fiber home internet and mobile 5G networks. We may still notice occasional updates and new features for DirecTV and AT&T TV since they are now separate from AT&T, but this should not be compared to the major overhauls or limited-time offers we have seen in the past.
Current subscribers are not likely to have to worry in the short run. But potential subscribers may wish to consider whether they think AT&T TV will get the service and development commitment from AT&T to maintain competitive in the growing space of live TV streaming services. We will continue to track any developments pertaining AT&T’s vision of the company’s television direction.
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