DirecTV Now Has 'Far-Reaching Implications' for Wireless Industry, UBS Says

In the five weeks since AT&T's launch of DirecTV Now, the streaming service was holding up better than competing services in download trends, said a Tuesday UBS report. AT&T beefed up marketing efforts for DirecTV Now in mid-December, advertising that the $35-per-month promo rate would end Jan. 9, but extending the free trial to 30 days from seven. That allowed its iPad ranking to hold up “better than peers” -- including Verizon’s Go90, Sling TV and Showtime, the analysts said. They expect the DirecTV Now app and content to soon add DVR service and multistream capability. The primary issues facing DirecTV Now are user experience and quality as the service scales, said the report. DirecTV Now's success could have “far-reaching implications for the industry, potentially accelerating fixed/wireless convergence in the U.S.,” it said, as management uses the streaming product to gain wireless share in 2017 and unveils new bundles that could “change the trend in postpaid handsets.”