AT&T has launched new features for its OTT service DirecTV Now. In addition to an update to the app user interface, the company introduced new paid options, such as a third simultaneous stream for USD 5 per month and a cloud DVR for recording programmes. The company is also planning new low-cost TV options for later this year.
The new experience is rolling out on recent-generation iOS/tvOS devices and supported web browsers and will be available for recent Android, Fire TV and Roku devices over the coming weeks. With the new look, the most-watched channels and favorite programs are front and centre on the app, and users can watch a stream while also looking for what else is on. DirecTV also added more on-demand content, with over 25,000 titles available, depending on the subscription.
The cloud DVR is initially available in beta with up to 20 hours free recording while the company tests the new service. Recordings are available for up to 30 days. This summer the company plans to launch a commercial service for up to 100 hours to keep up to 90 days, for USD 10 per month.
In addition, DirecTV is making local channels available to stream throughout the country. Previously they could only be watched at the customer's home.
New TV services coming
The changes were discussed by AT&T CEO Randall Stephenson in an update to investors at the JP Morgan Technology, Media and Communications conference. He also confirmed that AT&T plans to launch a new pay-TV 'skinny' package after completing the takeover of Time Warner. This will come without local programming or sports-only channels and cost USD 15 per month.
WatchTV will be offered for no additional charge for some of AT&T’s unlimited mobile subscribers. The company is hoping this will help it return to service revenue growth in mobile, a target Stephenson said should be realised in the second half of 2018. Stephenson also said that he believes the company will add postpaid phone subscribers for full-year 2018.
The company also expects to launch a premium streaming experience that will compete with traditional linear TV products for in-home use. The product will be app-based with a small device that connects to customers’ TVs and home broadband. This service will offer the content available on traditional linear TV "with a great user experience and lower price points", AT&T said. With the product’s lower capital intensity and acquisition cost, there is an opportunity to achieve a higher return on investment and comparable margins to traditional satellite video, according to Stephenson. The company expects to launch the service by the end of 2018.
