AT&T lost nearly 900,000 TV subscribers last quarter

[Polycount]

What just happened? It's no secret that video streaming platforms like Netflix and Hulu are sapping subscribers away from traditional cable services, but the rate at which this is occurring might shock some. In an earnings report published today, AT&T revealed that it lost roughly 900,000 TV subscribers in the first quarter of 2020.

While that number may seem like a drop in the bucket compared to AT&T's overall number of TV subscribers -- which sits at 18.6 million -- it's still a significant loss, and it's the sign of an ongoing trend that doesn't appear to be slowing down anytime soon. AT&T has hemorrhaged millions of subscribers over the past several years. Indeed, in the first quarter of 2019, AT&T had 22.4 million premium TV subscribers, meaning it's lost about 3.8 million customers in a single year.

No matter how you look at it, that's bad news for AT&T. However, the company does have a bit of an excuse for losing nearly a million subscribers in this particular quarter -- Covid-19. The virus has prompted millions upon millions of people to stay home and avoid going to the office (if they have one), which has, in turn, pushed them toward convenient, affordable, and contract-free video services like Netflix.

You need look no further than Netflix's own Q1 2020 financial report for evidence of that: during the quarter, the company netted an additional 15.8 million subscribers. That's no surprise, of course; one of the core strengths of Netflix is its on-demand nature. Now that so many individuals have found themselves with an abundance of free time (for better or worse), the binge-worthy nature of many Netflix (or Hulu, or Disney+, and so on) shows is proving very appealing.

We'll be curious to see how well (or poorly) AT&T's premium TV business fares over the next year. We don't exactly expect to see a major recovery given the state of the world right now, but only time will tell.

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https://www.techspot.com/news/84946-att-lost-almost-900000-premium-tv-subscribers-q1.html

 

[EClyde]

I don't like paying for TV then having to watch commercials. I don't like paying for TV that gives 25 channels that are nothing but commercials but makes me pay more for something like Smithsonian or AHC. It is not about the user it is about lets hold them by the short hairs. That's the model. I don't stream but I can promise that in the not to distant future streaming will be what DTV or DISH is now. Whether streaming or satellite most of the content is very bad because there are so many hours to fill and the talent pool is thin. Me? I enjoy Green Acres, Leave it to Beaver, Have Gun Will travel and a few more. Little new keeps my attention for more then a few minutes

 

[Reehahs]

Talk about a lack of innovation when you managed to lose almost a million subscribers despite corona lockdown.

 

[QuantumPhysics]

I have VERIZON FIOS.

AT&T is desperate to sign people up for Direct TV.

There is no way I’d have DTV unless I:

#1 lived on a plane
#2 lived on a boat
#3 lived in a desert
#4 lived in Antarctica.

AT&T Direct TV is terrible. I get gigabit speeds for $155 a month, crystal clear TV... I been with Verizon for over 10 years and don’t regret a penny.

 

[wiyosaya]

I dropped DirecTV many years ago and never looked back. I have no regrets.

AT&T has no one but themselves to blame for this. They seem to be unable to get over the fact that their subscription model is severely outdated.

 

[DZillaXx]

People still watch Cable TV?

You can everything from cable on streaming apps, its easier and you get to watch what you want when you want.

Cable TV is for the old Generations.

I did have uverse at one point, it was decent. But never used it for anything other than sports. Everything else was via the internet connection.

 

[Hexic]

If you still want live TV, get Sling. Supplement a fiber connection and you're paying half, at most of what the old school prices are.

I have 500/500 for $50/mo, no data caps, and pay $30 a month for Sling. Can't beat that if that's the target content you're looking for.

 

[toooooot]

There are millions of older people that dont mind adds in their content. So it ll stay for a long time. They will keep losing customers, but since a lot of infrastructure is already there, I doubt it costs them a lot to upkeep it.
Then there is an option to give people more for less, or go with very low budget plans and free equipment. Some ppl will possible think that it is so cheap that they'll add it to their entertainment "portfolio' just in case.

 

[OptimumSlinky]

People still watch Cable TV?
...
Cable TV is for the old Generations.

Boomers still consume a TON of TV, sadly, and most of it garbage "news" and daytime shows.

 

[DelJo63]

We Have DISH and Netflix subscription --

these have MORE than we can consume​

provide Access from anywhere apps​

and our DVR has +300 movies we treasure.​

​

DZillaXx needs an enema

 

[kissx]

I don't miss paying $200.00 a month for Directv. 3 minutes of show. 5 minutes of
commercials. Rinse and repeat. Netflix, Hulu , Disney plus for under $40.00 bucks a month. Winning!