AT&T’s streaming service is once more elevating costs. AT&T’s TV Now, the service previously known as DirecTV Now, is bumping up its costs but once more — by as a lot as 30%, Bloomberg reported and AT&T confirmed. Subscribers who had been on the $50 Plus tier will now should pay $65, whereas these on the $70 Max tier pays $80 per 30 days.
The costs will go into impact for each new and present prospects — which means, nobody is getting grandfathered into their present pricing, this time round.
The corporate had previously revamped its plans earlier this year, the place it launched the brand new Plus and Max tiers, and had raised charges. Nevertheless, at the moment, present subscribers had been capable of keep on their present plans.
The corporate’s objective with the continuous worth hikes is to make its service extra worthwhile at the same time as its subscribers proceed to defect. The streaming service ended 2018 with fewer prospects (1.6 million) than it had in Q2 2018 (1.8m). It has now dropped even additional to 1.three million, as of Q2 2019 — a web lack of 168,000 subscribers. In the meantime, AT&T’s pay TV subscribers are additionally bailing at speedy charges. In Q2 2019, AT&T reported a web lack of 778,000 premium TV subscribers, for instance.
AT&T had initially lured in prospects for its over-the-top streaming service with promotional reductions that weren’t sustainable. And, according to a new lawsuit, it allegedly faked a few of its person progress, as effectively.
However for purchasers who initially signed up in 2016 for $35 per 30 days, being slowed bumped thus far $65+ seems like a bait-and-switch. On Reddit, many are complaining about this second worth hike of the 12 months. A number of are indicating they’ll change to YouTube TV because of this. Nevertheless, the one factor that’s serving to to stem the tide of cancellations is the truth that AT&T TV Now’s new plans bundle in HBO. That makes AT&T’s service nonetheless extra of a deal than aggressive streamers who’re cheaper, however don’t embrace HBO — elsewhere, the HBO add-on is usually within the vary of $15/month.
AT&T isn’t the one stay TV streaming to have raised pricing after launch. Hulu with Live TV, YouTube TV, Sling TV, and PlayStation Vue have all achieved so at varied factors, with the intention to cowl rising programming prices. In consequence, wire cutters who believed they may get monetary savings over cable or satellite tv for pc TV by switching to over-the-top streams, are shortly discovering on the market’s not as a lot financial savings as they beforehand thought.
AT&T confirmed the worth modifications, including that the modifications go into impact on November 19th and influence prospects with the legacy plans (who’re additionally bumped up $10 per 30 days), and the newer Plus and Max plans. Prospects with Leisure to Optimo Mas packages will not be at the moment impacted.
“We’re adjusting our pricing to replicate the fee to ship content material to our prospects. Prospects can contact us at any time to evaluation their plans or make account modifications,” a spokesperson stated.