AT&T Loses 1 Million Video Users After Spending Billions On Mergers To Dominate Video
Found on Techdirt on Friday, 26 July 2019
In AT&T executives heads, the 2015, $67 billion acquisition of DirecTV and the 2018 $86 billion acquisition of Time Warner were supposed to be the cornerstones of the company's efforts to dominate video and online video advertising. Instead, the megadeals made AT&T possibly one of the most heavily indebted companies in the world.
The company's latest earnings report indicates that AT&T not only lost another 778,000 "traditional" video subscribers last quarter (satellite TV, IPTV), but it lost another 168,000 subscribers at its DirecTV Now streaming service -- due to "higher prices and less promotional activity".
Rising prices is rarely a good way to keep, or even attract, new customers. Executives should know that if they are worth a dime.