HBO Max will be free to 10 million AT&T customers who also subscribe to HBO, according to AT&T Chief Operating Officer John Stankey. This includes customers who subscribe to DirecTV or AT&T wireless services.
For those without a free subscription, HBO Max is likely to cost even more than the $14.99 price of HBO, which will put the price point higher than Disney+, Apple TV+, and Netflix. HBO Max executives have commented that the service will focus on quality programming and original content that they believe will set their platform apart from the competition and justify the price tag.
According to a report from Reuters, executives say that a goal for HBO Max is to use the service to retain AT&T wireless customers. Another goal for the company is using wireless and DirecTV satellite data to gather information about the viewing habits of customers in order to become a more attractive option for advertisers.
The report goes on to say that WarnerMedia plans to launch an ad-supported option in 2021 which will help grow subscriber numbers. After adding the ad-supported option, HBO Max will also add live programming to the platform. AT&T has a goal of reaching 80 million global HBO Max subscribers, including 50 million from the US, by 2025.
In another effort to draw in subscribers, AT&T plans to promote the streaming service to current customers who aren’t already subscribed to HBO content. “We didn’t buy DirecTV because we love satellite,” said Stankey. “We bought DirecTV because we love the customer base and the customer base could be migrated into more on-demand-oriented products and services.” According to Reuters, there was also some talk of bundling HBO Max with AT&T wireless plans in the future.
AT&T will give more information during an official announcement on Tuesday, October 29.
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