Q. I read that AT&T is going to shut down DIRECTV and go to an all-streaming business. Is that true? And if so, what will happen to my satellite dish service under DIRECTV? Wil it continue to work? — Davey, Big Spring, Texas.
Davey, AT&T is not shutting down DIRECTV, at least not anytime soon. The satellite service has more than 17 million subscribers who pay anywhere between $81 a month for the Select package to $189 a month for the Premier plan. (Those are the non-promotional prices, which go into effect next month.) Despite accelerating programming costs, and other expenses, that still makes DIRECTV a very profitable business.
Click Amazon: See Today’s Hottest Deals!
But that said, AT&T doesn’t plan to launch any new satellites because it is seeking to transform its TV business to an all-streaming one, which would be less expensive to operate. In February 2020, the company will go nationwide with a new online edition of DIRECTV called AT&T TV, and AT&T hopes that many current satellite customers will switch to streaming.
Click Amazon: See Today’s Year-End Specials!
But it could take years to convert even a large portion of the current DIRECTV audience. And if AT&T tries to accelerate the switch by shutting down the satellite business, it’s likely many of its satellite subscribers would balk and switch to other pay TV providers such as their local cable service. Or they may decide to cut the cord entirely.
AT&T, which has lost nearly a net of 3 million DIRECTV subscribers since it purchased the satcaster in 2015, can’t afford to lose any more. It has to carry out the transformation very carefully.
So Davey, DIRECTV is not going away today or tomorrow. But you could argue that its days are numbered.
Have a question about new TV technologies? Send it to The TV Answer Man at swann@tvpredictions.com. Please include your first name and hometown in your message.
— Phillip Swann
@swanniontv
Not everyone has decent broadband. AT&T would be foolhardy to consider internet only delivery until the 5G networks are rolled out to 90% of the nation. Some areas even with 4G LTE the data rates sputter and buffering occurs when the system has high traffic. But of course AT&T isn’t always smart on the things they do and are ill considered.
Naw… AT&T will continue to deliver dish service to rural areas. The streaming service is already out. It will hit markets soon. Beauty is that we are no longer limited to their crappy U-verse internet service.
But you have to have “FIBER” to your house.
I love how a Directv conversation ends up becoming political.
commercial use will need satellite service or very good internet without the $1000’s /mo for an DIA fiber line.
Are we losing the E! channel?mm
Are we losing the E! channel?