Telecom & Wireless

Analysts Now Showing That AT&T Will Win From Cord-Cutters

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AT&T Inc. (NYSE: T) finds itself a new company in 2016. After completing the DirecTV acquisition last year, AT&T has another stream of revenues on top of the growth in wireless connectivity from the Internet of Things. And now AT&T wants to win in the “over the top” options aimed at the so-called cord-cutters.

This trend of the rise of cord-cutters has represented a threat to traditional cable companies selling the huge bundles and huge channel packages to consumers. By dropping the cable box, those who spend hours of TV can migrate to services through the Web via Amazon, Google, Netflix, Hulu, Roku and a host of others — even from their gaming consoles.

There is just one problem that the cord-cutter threat fails to address. Sure, it may be lower revenues than the massive bundle. What is still needed is that consumers demand lightning fast Internet access — and video content and media through an Internet pipe has to have a fast connection.

AT&T recently announced plans to launch three new over-the-top DirecTV services aimed at the cord-cutters. These offerings will allow customers to access and stream DirecTV video services over a wired or wireless Internet connection, from any provider and from most devices, via smartphone, tablet, Smart TV, streaming media hardware or even personal computer.

The three new affordable video offers target customers looking for premium content with choice and flexibility in what they want to watch and how they want to watch it. Each service will come with a set number of simultaneous sessions, and they will not require annual contracts, satellite dishes or set-top boxes.


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