DirecTV wants to be online substitute for cable

(NYSE: T) will sell a 100-channel package for $35 as a promotional offering, but that price will not stick around, indicating at least one way in which the telco intends to improve on razor-thin video margins. CBS won’t be bundled at launch.

According to AT&T, the special $35 discount price for the Go Big package is good for life. AT&T did not give an end date for the intro pricing. Premium channels like HBO would cost an additional $5. But until the channels are added, that’s a big hole in the lineup.

Subscribers will be able to access two concurrent streams. Initially, DirectTV Now will work on Chromecast, Amazon Fire, Roku and Apple TV streaming devices, as well as mobile devices with Android and iOS and PCs.

The company also introduced a third service that’s ad-supported. DirecTV Now offers step-up subscriptions that include other channels and content for a higher monthly cost. The interface emphasizes live content, but doesn’t allow live video pause.

“We’re extending our entertainment portfolio for those who value premium content but also want more TV freedom suited for their lifestyle, whether watching at home or on their mobile devices”. Signing up does not require a credit check.

“I’m sure they’ll get some existing customers to trade down, but it will take some time to find out whether cord cutters are willing to pay that much for an OTT service”. Users can also avail the free trial of streaming service for seven days at DirecTV Now website.

Recently speaking to Bloomberg, Hulu’s CEO Mike Hopkins acknowledged this reality, and said that Hulu won’t try to compete with the companies based on the specific channels it offers.

That deal itself came hot on the heels of another acquisition: satellite TV player DirecTV for $48.5bn. In the same vein, live television is a better way to consume news and some other types of content. DirecTV Now can offer broadcasters’ National Football League games, Stankey says. ABC, NBC and Fox local channels are only available in markets where they are owned and operated by the broadcast network itself, and there’s no DVR. Subscribers in other areas will need to wait a day for access.

NFL Sunday Ticket is not now available. Known as DirecTV Now, AT&T’s new service promises to be, for the first time, a comprehensive solution for consumers looking to buy a cable-like experience without all the muss and fuss of a traditional cable package.

AT&T Inc. formally unveiled DirecTV Now, a live online video service for consumers who don’t want conventional pay TV, especially mobile-phone owners. The announcement of data-free streaming has already angered net neutrality proponents. The video service will showcase videos, concert performances, behind-the-scenes footage and more from the musician’s archives.