With the purchase of Time Warner, AT&T has doubled down on its video and digital advertising investment with variety of deep offers to its subscribers.
From the initial U-Verse to DIRECTV, and now with the Time Warner & Turner content play, AT&T is attempting to deepen their position as a major content provider. The wild card will be how advertising is being sold and shaped with AT&T’s Xandr platform. This dramatically changes the former Turner approach and is aligned differently from the Open AP consortium.
The report series, AT&T Media Strategy 2019 (published in June 2019) and then updated in Sep 2019, traces AT&T’s first foray into the media business in 2006 and the subsequent steps it has taken, by strategic acquisition, to execute a bold strategy to propel their growth and potential to compete against the industry’s leading content providers.
Outlined in the report series is the foundation of the strategy and challenges faced by AT&T for the massive investments it made over a three-phased approach. The series also explains the 9 steps AT&T is most likely to make over the next year in advancing their strategy.
Content for the June issue of the report:
- Approval to Proceed
- Media Part 1 – Build Your Own (U-verse)
- Media Part 2 – Buy-In for Scale (DIRECTV)
- Media Part 3 – Move Upstream (Time Warner)
- Pay-TV Industry Revenue Structure
- Advertising Direction (Xandr)
- Media Action Plan
- Initial Plan Execution
- Summary and Conclusions
Content for the Sep issue of the report:
- Executive Summary
- 2Q19 Financial Results
- Corporate Goals Scorecard
- DirecTV Transition Plan – AT&T TV
- Existing OTT Offerings
- Targeted Advertising
- HBO Max
- Expected Next Steps
- Summary and Conclusions
“Why is AT&T making such a strong media bet? Their success in this endeavor is predicated on a bold plan to change the fundamental profitability structure of U.S. pay-TV. The report breaks down and explores a structural understanding of the investments that have led to an all-in strategy for AT&T media by foregoing the classic metric-driven analysis.”
Paul Connolly, BIA advisor and report author
About the Author
Paul Connolly is an executive with over 35 years of experience across telecom, media and digital media business. At Cisco Systems he held technical leadership positions supporting Service Providers and Cable Operators; and at Nortel, he held design, engineering, marketing, product, and general management positions across all aspects of networks and telecom systems. Paul works as a strategic adviser to BIA. More on Paul’s background here.