Why you should say no to DirecTV Now
Lastly, we wanna talk about streaming services.
David Katzmaier took a look at DirecTV Now's decision to both raise its prices while eliminating some channels.
Although it's adding HBO in there.
But it's jacking up its cheapest package by $10 to $50, making it the most expensive option out there.
Right.
Now [UNKNOWN]
I mean, DirecTV Now, this is the second time they've raised the price in a year.
And what we saw the last time they raised price, and when their competitor Sling TV raised price at the same time, their growth in subscribers just hit a wall.
So
Clearly they don't mind losing subscribers, I don't know exactly what the play is here.
Profittability.
Yeah.
Ultimately, in general I think the price of content became more expensive, right?
And it's not really that the price of content is going up, I think what we're seeing with the price increases from these services lately is that as they were launching a lot of them had aggressive promotional price points.
Yeah, yeah.
Now they're starting to reign those back.
I mean Sling TV was They wanted to have that simple proposition.
Twenty dollars a month and you get all of these channels and they have raised it five bucks.
So it has gone up, but, you know A T and T was really, when they bought DirecTV, And launch Direct TV Now, they were driving really hard, you get all these channels for $35, what a deal.
I think it was the Go Big or Live Little, they had weird namaes for the packages.
They had very weird names for the tiers, yeah.
[LAUGH]
But I remember I, I start of with the big premium package, which is like $40, and gave you a whole bunch of stuff, including HBO.
And then slowly, they'd start pairing back the services, then the price went up a little bit by bit.
So, I think it is two price changes for the last six months.
It's pretty recent, right?
Yeah.
No, it was the latter half of last year.
Yeah, yeah.
So.
It's definately gone up.
I noticed, once the deal closed, the Time-Warner merger closed, I think almost immideatley they raised the price the first round.
So.
Why am I not surprised?
Yeah.
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