DirecTV Now critical to AT&T post-paid results | Major Businesses | Business | News | Rapid TV News
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The DirecTV Now over-the-top (OTT) service is helping to improve AT&T’s wireless post-paid numbers, according to CFO John Stephens.

directv now 27 July 2017In reporting its Q2 results yesterday, he said that DirecTV and its streaming service (which has around 500,000 subscribers), have been instrumental in reducing post-paid churn. Coming in at 0.79%, churn is at its lowest it has ever been for post-paid subscribers at the carrier, down 25 basis points since the DirecTV acquisition.

This, despite the fact that the linear satellite pay-TV service lost 156,000 subscribers in the quarter, while AT&T U-verse IPTV service lost 195,000. DirecTV Now on the other hand gained 152,000 subscribers.

“We know that traditional TV service is not for everyone,” Stephens said, adding that at least half of new DirecTV Now subscribers are cord-nevers, and that the “vast majority” of them are bundling the streaming service with wireless: “Our focus was on giving customers a great video entertainment experience bundled with mobility.”

AT&T’s earnings came in at 79 cents a share, up from 72 cents per share during the same period a year ago, although overall revenue fell 1.7% to $39.8 billion.