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This is an amazing week for AT & T. On Monday, the company was criticized by an activist investor seeking to implement strategic changes in AT & T (the logic being that AT & T is not targeted and has become too heavy in acquisitions). On Monday night, AT & T customers were criticized by ESPN announcements, ticker updates and power outages alerting them that ESPN and other Disney-owned channels might be abandoned this month -this.
In the wake of these two developments, a new update of AT & T in their latest update for shareholders.
As it entered the year, the company was expecting difficult content negotiations, particularly for retransmission agreements. Stephens said the company was holding a hard line in negotiations, which allowed it to meet its content cost management goals. In the third quarter, Stephens said the company expects an additional loss of 300,000 to 350,000 premium videos. above the previous quarter's premium video results, guided by: aggressive cost management with retransmission negotiations, some of which resulted in power cuts by content providers; and limit promotional prices.
Those 300 to 350,000 lost subscribers would add to the number of lost subscribers from the previous quarter, which stood at 778,000. We are therefore expecting a loss of about 1.1 million subscribers on a period of 90 days. More than 12,000 subscribers call and cancel each day. In fact, it's probably a little more than that: they're adding a number of new customers; An average of 12,000 more people per day cancel each other out and become new customers. This is obviously not a good reason why a militant investor is urging AT & T to consider selling various components of society ($ 67 billion just before people start cutting the cord!).
Could this projection of the 300 to 350,000 additional subscribers possibly contribute to the possibility of pulling ESPN and Disney networks? Maybe, although I guess that never happens.
More than likely, this acceleration of nearly 50% of subscriber losses is due to the various disputes between the company in which the company engaged in the summer and early fall. To put it simply, people leave because the shit they want to watch is suddenly blown away. This includes:
It's hard to guess which of these different transport disputes is the most to blame for the additional loss of 300 to 350,000 subscribers, but it's hard to argue that this surge in customer loss is tied to nothing but the edgy content of their customers. re excited about is now gone from their package. I thought that verse U would bring back NFL Network and NFL RedZone; The cable and satellite television companies have always given in to the NFL when it was a matter of missing games. AT & T seems to signal that they are doing well in this direction, despite vocal protests from customers.
I settled in my place on the couch for the first Sunday of the NFL this season and I leaf through my @ATT @Uverse channels for Redzone … .and there is no Redzone. I am 11th level of inflamed hell right now. This premium sports package is a trash worthless. @cole_nieman
– Clayton Nieman (@TheNiemanDome) September 8, 2019
Att #uverse do not let me have nfl #Red zone. I'm done with these jerks.
– GW Waldenfepher (@greg544) September 8, 2019
No @nflnetwork sure @Uverse. Just another reason to cut the cord and drop @ATT.
– Del Shaffer (@delshaffer) September 12, 2019
It has long been said that U-verse is not a priority for AT & T, which is trying to channel its existing customers to the more expensive and lucrative TV channel DirecTV. I imagine that many customers who are trying to cancel will have a hard time selling themselves because DirecTV has the NFL network, as well as a special offer. But for many, the inability to lock a satellite on their roof or lawn is simply not an option.
AT & T seems to think that these disputes and all the best conditions they get help their business. But losing about 5% of your customers in 90 days is a heavy price to pay. Hopefully a protracted dispute between ESPN and Disney is not in the cards. You can bet that your AT & T donkey would be sure to lose another million customers during the next quarter if they were to embark on this path.
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