AT&T is the Largest Distributor of HBO & Says Continue to Bundle Video and Wireless





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During AT&T’s 3rd Quarter 2019 earnings call, AT&T was asked about how bundling wireless services with video plays a part in bringing in new customers and retaining current customers.

Randall Stephenson, CEO of AT&T took the opportunity to talk about the role HBO has played and will play in the future with the launch of HBO Max.

“This is something I find very encouraging. I don’t think we’ve put the metrics out on this,” Stephenson said. “The most powerful video bundle we have with our mobile business is HBO, in terms of what it does to churn and retention. The reason I think that’s very exciting is now think about HBO Max and taking the product to a different level. It’s going to be something different. Bundling that with our mobile business and the impacts on churn, we believe are going to be very, very powerful.”

Stephenson said he believes HBO Max will greatly impact the number of new customers coming to AT&T and the retention of current AT&T customers. Already, the network has been a major asset to the company and one that AT&T has embraced as part of its lineup of services, with HBO Now subscriber numbers are growing as viewers look for the ability to stream their favorite HBO series.

“In a very short period of time, AT&T has moved by order of magnitude into the position as the largest distributor of HBO. If you look at the number two distributor, we’re 62% higher penetrated than the number two distributor. So, we think HBO is a very powerful platform to bundle with our various distribution properties. When you turn HBO into HBO Max, it becomes even more exciting.”

In November 2018, Dish customers lost access to HBO as the result of a licensing dispute between Dish and AT&T. While Comcast, Spectrum, and other distributors are still offering the network, AT&T is selling more than those distributors combined.

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