When it comes to streaming TV subscriptions giving viewers the opportunity to cut the lead with their cable companies and avoid putting satellite dishes on their roofs, DirecTV Now was one of those best options available. They offered a number of packages with an impressive channel slice, although they increased the price of all their subscription options by $ 5 last summer. But it seems that price increases were not enough, because AT&T drastically switches their DirecTV Now packages by charging even more for fewer channels. In general, DirecTV has now suddenly become worse.
DirecTV New Subscription Rates
Previously, DirecTV had four packages available at $ 35, $ 50, $ 60 and $ 70. All packages went up $ 5 each summer, but it was still a great deal. Now, The Verge has pointed out that AT&T has officially revised their DirecTV Now service to offer only two packages. It's the $ 50 Plus package, which includes the HBO and Max $ 70 package, which includes HBO and Cinemax.
You may think that the addition of HBO and Cinemax in these packages should more than make up for the increased price. But take a closer look at these channel configurations. They lack over a dozen popular channels including AMC, BET, Comedy Central, Discovery, History, MTV, Nickelodeon, TLC, VH1 and more. All of these were part of former DirecTV Now packages. Many of them are also Viacom channels, so it sounds like these channels proved to be more expensive for the vendor. There is a chance that this may change, but from now on, it certainly makes the service less valuable.
What happens to old subscriptions?
The good news is whether you are already subscribing to one of the older DirecTV subscription packages, you will be able to keep your current channel bundles. The bad news is that these prices will also be increased. The monthly rates for the old channel packages will all go up by $ 10 from on April 12, 2019 . On top of that, if you are currently paying $ 5 extra for HBO, the premium channel will now cost $ 15, starting with this month's bill. For those who keep track of, it's $ 20 in new costs for old customers. It's pretty scary, especially after AT&T claimed their acquisition of Time Warner last year would lead to reduced consumer prices.
It should not be surprising that DirecTV Now focuses on WarnerMedia's own networks, not to mention Fox and Comcast / NBCUniversal channels. But that means the service has gone from giving 125 channels in their biggest bundle to giving barely over 50 channels. Granted, many of them were useless as Golf Channel or Lifetime, but there is still a drastic reduction.
Why are the prices raised?
The simple answer is that DirecTV in its former form was not sustainable if AT&T wanted to win. As CEO Randall Stephenson told investors recently:
"It has been a year to learn what the market demands. When we matured the project, we looked at the customer segment at the low end using promotional prices, which were not engaged with the product. We told you in November that there were 500,000 on promotional prices, and we started to let these customers out, and now we have a customer base on streaming that is growing and very committed. on the streaming product. "
Stephenson talks about subscribers who signed up with lower price subscriptions as part of a campaign. Now AT&T is willing to let these customers benefit for higher prices with their more loyal and active customers. It turns over those customers who are willing to stick to the service a little, but that's what happens when you trust companies to do something that actually benefits the customer more than their bottom line.
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