Published on October 12th, 2017 | by Brad Gibson0
DirecTV Now adds some 300,000 subscribers in Q3
AT&T Inc. added nearly 300,000 subscribers in the past three months to DirecTV Now, it’s streaming TV service available on Apple TV.
AT&T released the results in a one page securities filing late Wednesday.
With the additional 300,000 subscribers, the total subscriber count for DirecTV Now is around 800,000 based on numbers from AT&Ts Q2 2017 earnings report. The company stated then that DirecTV Now’s growth is “helping offset traditional TV subscriber decline.”
The telecom giant attracted many of its DirecTV Now subscribers with free promotions and deep discounts during the period when it offered various promotions that bundled the streaming service with its wireless mobile phone plans.
“Notably, almost all of (the new DirecTV Now subscribers) appear to be centered on bundling, with the benefit seemingly toward bolstering video metrics at DirecTV,” industry analyst Craig Moffett of MoffettNathanson LLC wrote in a note to clients.
The good news for DirecTV Now was about the only silver lining in what was a negative report. AT&T warned investors that it lost about 90,000 DirecTV satellite-TV and U-verse video customers over the past three months.
The decline, the companies third quarterly drop in a row, suggests DirecTV and cable companies nationwide are all “suffering from the ravages of cord-cutting,” Moffett wrote.
AT&T said its third-quarter results took a hit from a string of hurricanes that tore into parts of the United States and earthquakes in Mexico.
“We expect further reductions in the fourth quarter as we continue to assess damage to our network and fully restore service,” the company wrote in its filing.
DirecTV Now launched in November of 2016 using the Apple TV app with an entry-level package price of $35 per month for over 60 channels.