AT&T is continuing to consolidate its brand by announcing that the contract-free cable replacement service. But it is not making it as easy to understand as it sounds initially. First, let’s explain the change. AT&T Now, which had operated since 2016 (started as DirecTV Now) will be combined with a separate service called AT&T TV. Yes. You read that correctly. Up to this point, AT&T had two streaming services that offered live cable channels. One was called “AT&T Now”. It was contract-free and offered a tiered streaming service with a very similar price structure as traditional cable. It was differentiated because of its contract-free nature and the fact that it was an Internet first option that was available via streaming devices and mobile devices on the market. It launched seemingly in response to Sling TV and the also shuttered PlayStation Vue. After a few years of marketing itself as DirecTV Now, which confused customers who associated the service with the satellite system the name changed to AT&T Now. But then AT&T did something strange. It launched a new service that required a two-year contract with a price structure reminiscent of DirecTV. Cheap the first year with a big bump in the second and a penalty for canceling the service early. And for some reason, they called it “AT&T TV”. Just like how HBO Now and HBO Go confused the marketplace and were mercifully both replaced by HBO Max AT&T has decided to offer just one service with AT&T TV in the name.
From now on if a new customer reaches out to AT&T to get a TV service they will be offered AT&T TV as long as they can receive high-speed internet. AT&T TV “Now” will not exist moving forward. The AT&T website explains it as a combining of the two services. AT&T TV Now customers have simply become AT&T TV customers. As it reads on the website AT&T TV does not require contracts any longer. The service starts at $69.99 which prices it similarly to YouTube TV and Hulu With Live TV. There are two other tiers, an $84.00 package with 20 more channels and the Ultimate Package for $94.99. The more expensive package bundles in HBO’s live channels and HBO Max. But in classic a TV provider move AT&T breaks up different ESPN channels on to different tiers. So a sports fan who would like to watch the SEC Network they will have to get a more expensive offering. On Top of that, they will also receive a season of the NBA League Pass. You would think that would be it. One name, one set of rules and three package offers. But as of right now that assumption is dead wrong.
As of right now, AT&T’s website advertising AT&T TV lists those three packages. But there is a link that invites you to check out the channel lineup. On that page, there are four channel packages listed. Each package has a shop now option that will tell you the price. Are you confused yet? Wait there’s more. There is also an option to sign up for the service with a contract. And if you sign up for the service with a contract you get a different set of prices.
So which one is it? It appears that AT&T. Guess what. If you sign a contract you will get a lower rate per month. Until of course, you don’t. But the whole thing feels a bit like a bait and switch. So here is what AT&T is really doing with this move.
It is simply offering one service with 8 different prices depending on programming tiers and whether you are willing to be locked into a contract for two years. Customers can also expect that if they are not locked into a contract that the price of their service can go up at any time as has been seen with hikes from Hulu and YouTube TV. This would make AT&T no different than any provider at this point, no better no worse. Except that at least other services like Sling TV, Hulu With Live TV, and YouTube TV have an easy enough to understand price structure.
Will AT&T stick with this setup? I would not count on it.
