By the end of the year, US telco and IPTV provider AT&T will have five streaming TV products in the market.
Speaking at the MoffettNathanson Media & Communications Summit this week, AT&T Communications CEO John Donovan said that this portfolio will include an OTT product for DirecTV, which will carry the same content as the existing satellite DBS service.
As a broadband-delivered product, the CPE and maintenance costs will be much lower: “We anticipate passing along a lot of those cost savings,” he said. “It will not only have a lower price point, but will have margins that are similar and therefore better returns because there will be less upfront costs.”
The five-service lineup will over a range of content mixes and price points, he added, ranging from the linear replication planned for the DirecTV offering to the already announced sports-free AT&T Watch for mobile that will be free for AT&T wireless customers and $15 for everyone else.
The DirecTV product is expected to debut before the end of the year, with AT&T Watch coming in the next few months.