Why It's Important: Now that cutting ropes is becoming common practice, companies are fighting for their services at home. Apparently, AT & T thinks that DirecTV Now is good enough to be able to raise prices at competitor levels even though it is still considered to be in beta by some current customers.
Over the weekend, DirecTV Now customers began to receive emails informing them that their subscription rates would increase by $ 5 per month. This increase would raise its four levels to $ 40, $ 55, $ 65 and $ 75.
The new rates will come into effect on July 26 for new customers. For those with existing plans, increases will take effect based on individual billing dates. This means that in the month of August everyone will pay more for their subscriptions.
DirecTV Now is the alternative to the AT & T cable. In a statement provided to CordCutters, a spokesman said the price increases were intended to align with its competitors.
"In the 18 months since our launch, we have continued to evolve our DIRECTV NOW products to serve this new customer base and compare ourselves favorably to our competitors. possible distribution for new and existing customers, we are aligning the cost of this service on the market, which starts at a price of $ 40. "
Currently, the service offers customers four different packages.
- "Live a little" - $ 35 / month for more than 60 channels
- "Just Right" - $ 50 / month for more than 80 channels
- "Big Go" - $ 60 / month for more than 100 channels
- "I must have" - $ 70 / month 120+ channels
All of these plans will increase by $ 5 by the end of the month. There is also a Spanish language package (Todo Y Más) with about 90 channels for $ 45 a month, but it is unclear if this will be affected by the rate increase. The Todo Y Más plan has just been launched in June, so AT & T may not want to raise these rates so soon.
The increase in membership fees comes just after the $ 5 price increase from Sling. The official word is that the company wants to align DirecTV Now's rates on the streaming market. However, the controversial acquisition of Time Warner by AT & T has likely led the communications giant to look for ways to pay the $ 85 billion merger. The telecommunications firm has also recently increased the administrative costs for its telephone subscribers, which should bring in about $ 800 million a year.
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