More people cutting TV cords
Signs that more people are dropping their traditional TV subscriptions weighed on TV providers’ stocks Thursday.
AT&T said it lost 90,000 video subscribers in the U.S. in the third quarter. It’s a steeper drop than the same period last year, even though gains from its newer, cheaper online cablelike service, DirecTV Now, are included. DirecTV Now wasn’t available in the July-September quarter in 2016.
DirecTV Now added 300,000 subscribers in the quarter, so AT&T lost about 390,000 satellite TV and cable customers.
AT&T, which is also the No. 2 wireless carrier in the U.S., blames tough competition from both traditional TV providers like Comcast and newer digitalvideo services like YouTube TV. It also blames the impact from hurricanes and stricter credit standards for customers.
AT&T’s prediction, issued after the market closed Wednesday, echoed Comcast’s forecast in early September of third-quarter losses of 100,000 to 150,000 video customers due.