AT&T isn’t wasting any time pushing out new service offerings now that it’s merger with DirecTV is official. AT&T on Monday announced its first DirecTV bundle that offers users TV service along with four lines with 10GB of shared data and unlimited talk and text for $200 a month. While $200 a month might seem like a lot to fork over to AT&T every month, consider that you are getting four different cell phone lines and a full pay TV package — AT&T claims this will produce an annual savings of $600 a year versus what you’d pay for each service separately.
AT&T is positioning itself to more aggressively challenge incumbent cable providers such as Comcast and Time Warner Cable with its new DirecTV offers. The company also has an ambitious plan to run fiber past the equivalent of 11.7 million homes now that its merger with DirecTV has been approved. The plan, which was revealed in a recent research note from Moffett-Nathanson‘s Craig Moffett, will see AT&T build out a fiber footprint that will overlap many big cable companies’ footprints, with the biggest overlap occurring in Comcast territory.
AT&T’s full press release follows below.
AT&T Introduces First-Ever Nationwide TV and Wireless Combined Offer
All in One Plan Connects Four TVs, Four Smartphones, Includes 10GB of Shareable Data
Priced at $200 a Month for 12 Months/Annual Savings of $600 or More
New DIRECTV Customers Get Immediate Access to Content with TV Everywhere App
DALLAS, Aug. 3, 2015 – AT&T will deliver the first-ever nationwide package of TV and wireless services – all from a single provider on one bill, with special discounts – beginning Aug. 10. The offer includes HD and DVR service for up to four TV receivers, unlimited talk and text for four wireless lines, and 10GB of shareable wireless data – all for $200* per month, an annual savings of $600 or more in the first 12 months.
AT&T is the only single provider that can deliver nationwide TV and wireless services with one point of contact for customer care on a single monthly bill.
“Today is the first of many planned moves to enable our customers to enjoy a premium entertainment experience almost anywhere,” said Brad Bentley, executive vice president and chief marketing officer, AT&T Entertainment and Internet Services. “We’re going to deliver more TV and entertainment choices to more screens – when and where our customers want it. And we’ll offer incredible value with more flexibility and convenience through our integrated packages that deliver a great experience.”
As part of this launch on Aug. 10, and for the first time nationwide, new DIRECTV subscribers will have immediate access to programming – on their mobile devices via a walk out and watch TV experience – at point of sale. They can view it on their compatible mobile devices after leaving the store before TV service is installed. The walk out and watch feature will be delivered through the DIRECTV app and customers will have a limited time to activate their mobile TV service. AT&T sales representatives will assist customers to set up the app on their wireless device in the store.
AT&T is now selling DIRECTV in more than 2,000 AT&T retail stores nationwide – integration built around customer convenience and simplification.
“AT&T is wasting no time extending the benefits of its DIRECTV acquisition to consumers,” said Roger Entner, founder, Recon Analytics LLC. “With this newly integrated offer, it’s clear AT&T is focused on offering value on top of convenience to win new customers and become a leader in entertainment and communications.
“All in One”: It’s Simple
With the new All in One plans, consumers can choose from a variety of DIRECTV plans available nationwide, or several AT&T U-verse TV plans, available in 21 states.
TV packages available for 12-month promotional pricing include:
•DIRECTV Select or U-verse U-Family, $50 per month
•DIRECTV Xtra or U-verse U-200, $70
•DIRECTV Ultimate or U-verse U-300, $75
•DIRECTV Premiere or U-verse U-450, $125
Customers may add AT&T’s coast-to-coast wireless services, with 10GB of shareable data and unlimited talk and text for four phone lines for $160 per month. When combined on a single AT&T bill with the basic TV plan for $50 (DIRECTV Select or U-verse U-Family), with service on up to four TVs, consumers will pay $200 per month for the All-in-One plan after a $10 a month combined bill discount.
Customers who combine TV services with eligible AT&T wireless services on a single monthly AT&T bill are eligible for the $10 combined bill discount. The discount will continue if the customer keeps both services on a combined bill – an annual savings of $120.
Additionally, DIRECTV and U-Verse TV customers who switch to AT&T wireless service from another wireless provider will receive a $300 bill credit when they buy a smartphone on AT&T Next and trade in an eligible smartphone.**
“All Included” Covers Costs and Brings in High-Speed Internet Options
As part of this launch, AT&T also is introducing a customer friendly “All-Included” pricing model with DIRECTV and U-verse TV packages. “All-Included” pricing plans start as low as $50 per month for TV programming and include up to four receivers, DVR functionality and HD technology fees for the first 12 months.
In addition to the $200 per month TV and wireless combined plan, where available, customers also can add AT&T high-speed Internet services “All-Included” plans. Introductory 12-month promotional pricing includes the Wi-Fi gateway with no monthly fees for equipment. Pricing is available for three speed tiers, including:
•AT&T high-speed Internet with speeds up to 6Mbps, $30 per month***
•AT&T high-speed Internet with speeds up to 24Mbps, $40 per month***
•AT&T high-speed Internet with speeds up to 45Mbps and 75Mbps, $50***
AT&T’s DIRECTV and U-verse services offer customers the freedom to watch hit TV shows anytime virtually anywhere, using a TV, computer, tablet or smartphone.****
AT&T is now the largest pay TV provider in the U.S. and the world, providing service to more than 55 million customers in the United States and in Latin America and the Caribbean. AT&T has more than 132 million wireless subscribers and connections in the United States and Mexico; offers 4G LTE mobile coverage to 308 million people in the U.S.; covers 57 million U.S. customer locations with high-speed Internet; and has more than 16 million subscribers to its high-speed Internet service.
AT&T now leads the industry in offering consumers premier content, particularly live sports programming, such as the exclusive rights to NFL SUNDAY TICKET with DIRECTV service. It gives customers every out-of-market NFL game, every Sunday afternoon, on any screen – TV, mobile devices or PCs. The company owns ROOT SPORTS, the nation’s premier regional sports network, and has minority stakes in the Game Show Network, MLB Network, NHL Network and the Sundance Channel.
AT&T is also developing unique video offerings for consumers through its Otter Media joint venture with The Chernin Group. They established the joint venture to invest in, acquire and launch over-the-top (OTT) video services. This includes its purchase of a majority stake in Fullscreen, a global online media company that works with more than 50,000 content creators. These creators engage 450 million subscribers and generate 4 billion monthly views.