AT&T may be changing its streaming strategy
AT&T’s Time Warner three-tiered streaming service may not see daylight. WarnerMedia is reportedly binning the idea, offering instead a single subscription service that includes offerings from HBO, Cinemax, and Warner Bros for $16–$17 per month, according to The Wall Street Journal.
The change comes after Time Warner’s overhaul and the departure of HBO CEO Richard Pleper and Turner head David Levy. The streaming service is set to be first offered as a beta service before its rollout in March 2020.
The video streaming segment has gotten crowded since Netflix (NFLX), Amazon (AMZN) Prime Video, and Hulu have changed the way Americans consume content. Several major media companies are now working on their own streaming services.
AT&T stock has struggled
Disney plans to launch its own streaming service later this year, and Comcast’s NBCUniversal plans to launch one next year. As the number of video subscriptions per household seem to be plateauing, some of these services could struggle. Time Warner owns rights for Friends, which is still one of Netflix’s most-watched shows. AT&T stock has struggled due to intense competition in the telecom space, falling 17.3% in the last two years.