DIRECTV is now a standalone company, following closure of an agreement with AT&T and private equity firm TPG Capital. It is focused on video, whether beamed by satellite or streamed online. Having been through many different platforms and name changes under AT&T, the online video service will now return to the original brand as DIRECTV Stream.
The new DIRECTV will own and operate the former AT&T video business unit consisting of the satellite and online video services in the United States and Puerto Rico, excluding HBO Max. Existing customer relationships are unaffected, including any bundled mobile, internet or HBO Max services.
“This is a watershed moment for DIRECTV as we return to a singular focus on providing a stellar video experience,” said Bill Morrow, the chief executive of the new company. “Building on our recent momentum, we are well-positioned to bring unparalleled choice and value to all of our customers under one iconic brand, whether they beam it or stream it.”
The new DIRECTV brand will be rolled out across services over the next few months.
DIRECTV services will continue to be available via satellite, as well as through the DIRECTV app.
On 26 August, the newly branded DIRECTV Stream will become the single brand for online video services previously launched by AT&T, excluding HBO Max. It will be available through a dedicated DIRECTV streaming device or third-party products.
DIRECTV had 15.4 million premium video subscribers at the end of the second quarter of 2021.
TPG paid $1.8 billion in cash for a 30% stake in the new company. Not included in the transaction are the HBO Max service and regional sports networks, both of which are part of the pending WarnerMedia-Discovery deal. Vrio, which encompasses the AT&T Latin America operations are being sold to the private Argentinian company Grupo Werthen. AT&T continues to have an investment in Sky Mexico.