Has DirecTV Now Become A Loss Leader?

DirecTV Now, AT&T’s virtual pay TV package, was billed by executives as a cure for cord-cutting and an enticement for the cord-never crowd. Analysts initially estimated DirecTV Now would cost anywhere from $50 to $70 when it hit the market. On Monday, AT&T CEO Randall Stephenson, while on the stump for his proposed $85 billion acquisition of Time Warner, announced DirecTV Now’s package of Internet-delivered streaming channels will be offered for just $35 a month when it launches in November. What happened?

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AT&T Debuts $35-A-Month Streaming Service

AT&T’s DirecTV Now will offer 100 channels for $35 a month, including unlimited mobile data for viewing. The announcement of the service, whose price is lower than the industry norm, came via AT&T CEO Randall Stephenson at the WSJ Digital conference Tuesday. It will hit the market in November.

DirecTV Now Has At Least 67 Channels

Turner Networks Added To DirecTV Now

TNT, TBS and CNN are the latest major additions to AT&T’s soon-to-launch virtual-MVPD service, DirecTV Now, following a comprehensive carriage renewal agreement signed between AT&T and Turner Networks.