A DirecTV Now price increase is going into effect following the acquisition of Time Warner by AT&T (NYSE:T).
The following are a few things to know about the DirecTV Now price increase and how it will affect new and old customers.
- The DirecTV Now price increase will have the company raising the prices of all of its packages by $5.
- This will have its basic package costing customers $40 per month,
- The most expensive package will be $75 per month.
- There’s also still the simple WatchTV package that costs customers $15 a month.
- Any new customers that signs up for the service after July 26 will immediately see the new prices.
- However, the DirecTV Now price increase won’t affect all current customers at this time.
- This change will vary for them depending on when their billing cycle takes place during the month.
The DirecTV Now price increase is likely occurring for a couple of reasons. First off, several other similar services have also increased the price of their packages. Secondly, AT&T is likely hoping to make back some of the $85 billion it spent to acquire the company late last month, reports The Verge.
Some are now crying foul over AT&T increasing prices for DirecTV Now. The company specifically told a judge during a court case that its acquisition of Time Warner would result in lower TV prices due to better competition. The judge in the case sided with AT&T, despite its opponents arguing that the acquisition would increase TV prices.
T stock is up 1% as of Tuesday morning.
As of this writing, William White did not hold a position in any of the aforementioned securities.
