Published on March 1st, 2018 | by Brad Gibson1
AT&T planning more “flavors” of DirecTV Now, CEO reveals
The parent company of the streaming platform DirecTV Now has revealed it plans to create various versions and offerings of the service in the future with the goal of moving all its customers from the DirecTV satellite service to streaming in the coming years.
AT&T Communications CEO John Donovan (seen in the photo above) outlined a future roadmap for DirecTV Now to attendees at the Morgan Stanley Technology, Media & Telecom Conference in San Francisco Wednesday saying the company plans on offering various portfolios of programming options for consumers, similar to the strategy that AT&T uses for wireless by offering AT&T Choice and AT&T Plus.
“Our TV product is not there yet,” Donovan said. “Over time we’ve got to come up with other flavors of DirecTV Now that fit more squarely…What I always tell marketing folks (at AT&T is that) our ambition is to do the physical equivalent of sitting at your dinner table, knowing how you consume things and say, ‘here’s the right suite of products’…That’s where we want to evolve and the (DirecTV Now) product isn’t there yet.”
Donovan gave no specific examples of what various versions would look like. He said AT&T intends to “make sure we gain more than our fair share” of the streaming TV industry.
Goodbye satellite DirecTV…one day
Donovan reiterated the company’s plans to eventually shift all the company’s video offerings away from satellite to streaming delivery on DirecTV Now as a means of “taking cost out of getting to the home.”
Donovan cautioned that a full transition will take time as many consumers don’t have sufficient broadband bandwidth to stream DirecTV Now in their homes. “I think it will be a while before you eliminate the satellite dish entirely and it will be even a longer time before you start to get the economics of being able to switch them out,” he said.
Donovan commented the company is “trying to innovate as fast as we can to get the in-home cost of deployment down” for it’s DirecTV Now service and offer “more discernable value to a customer.”