SVOD Platform DirecTV gains Subscriptions

Subscription Video on Demand (SVOD) service DirecTV Now has added 342,000 subscribers in the second quarter of 2018, increased from 152,000 subs added in the previous-year period. The streaming platform currently has more than 1.8 million subscribers as compared to less than 500,000 last year.

Lower acquisition costs, operational costs, including deployment and a decline in pay-TV usage are few factors behind the rise in subscriber base of the AT&T’s entertainment group.

John Donovan, CEO of AT&T Communications quoted,“The customers we lost, the cord-nevers, the cord-cutters, we’ve replaced with products that are in their affordability range. Over time, as we build those [OTT video sub] volumes, those are products that will get scalable margins.”