AT&T’s earnings call sounded a lot like Comcast’s with a number of questions about the trajectory and pacing of its broadband growth. Like Comcast, AT&T also has regional limitations on its offering that it hopes to overcome in the U.S. eventually as 5G technology becomes the standard across the land.
AT&T is promising to roll out an ad-supported version of HBO Max in June. The plan seems to be shaping up to offer a mix of free and pay options, with the latter priced much lower than the $15 cost of the existing HBO MaxEvery earnings cycle these days includes the new $64 million question of how many winners and losers there will be when the rubber meets the road for performance on new streamers launched by traditional media companies.
“We’ve been competing with Amazon Prime for 13 years, with Hulu for 14 years. It’s always been very competitive with linear TV, too,” Hastings said. “So there is no real change that we can detect in the competitive environment. It’s always been high and remains high.” Moreover, Hastings added that Netflix’s biggest competitors to date remain the collective force of old-fashioned linear TV, followed by YouTube. That ranking would only seem to reinforce the value of a bundled offering to consumers who will surely start to balk at having to juggle a half-dozen or more bills a month just to keep up with the buzziest shows on the virtual dial these days.
Stankey, like Hastings, voiced confidence in the general economic recovery under way after the hardships of the pandemic. AT&T didn’t give any updated guidance on the call. But Stankey must like what he sees on the Q2 horizon, based on his closing remarks on Thursday.
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