AT&T will announce the launch date, price and initial offer for its upcoming HBO Max streaming service on October 29, and AT&T CEO Randall Stephenson has a message for investors: it's not like those other services.
Stephenson addressed investors' concerns about HBO Max, one of the largest entertainment companies AT&T has ever run, and invaded a heavily saturated streaming room on Monday morning. Stephenson defended the position of AT&T in the market and added that where the company intends to play, it is not that busy & # 39 ;.
"This is a product that will be very different from anything else you've seen in the market so far," said Stephenson. “This is not a Netflix. This is not Disney. This is HBO Max. We feel very comfortable at these investment levels that we can do something very, very important in the market and generate some significant subscriber returns. This will be a meaningful business for us in the next four or five years. So we are talking about a company of 50 million subscribers. "
Stephenson's comments are reminiscent of what Netflix CEO Reed Hastings and Disney CEO Bob Iger have said about their own projects. Iger CNBC told recently that Disney + is "very, very different from the other services out there," adding that "although we regard the others as competition, we are not fixed on the competitive side of things here." Hastings wrote in his recent third quarterly profit letter. to shareholders that, although "new competitors have some great titles (especially catalog titles), none have the variety, diversity, and quality of new original programming that we produce around the world."
Although the content offer is different – AT&T sells the idea of prestigious content that people associate with the name HBO, while Disney seeks subscribers through nostalgic games – these companies sell similar products. They want to bring subscribers into their ecosystems and beat the time they have spent on other platforms. AT&T, whether Stephenson wants to admit it or not, competes with Netflix and Disney. HBO Max also competes with YouTube, Twitch, Fortniteand live sports competitions. Pretending that an oversaturated market is not an important factor in the current streaming landscape does not mean that it is a busy playing field.
"Every service has something to offer" is essentially the message that leaves subscribers. But everything comes down to a few important aspects: price and content. AT&T has not announced a price tag or launch date for its service, but it is ready to do so on October 29 during a special investor day event for HBO Max.