September 17 (Reuters) – AT&T Inc (TN) streaming service HBO Max cut subscription fees in half as part of a limited-time offer to attract the millions of lost subscribers after dropping out Prime video channels from Amazon.com Inc (AMZN.O).
The limited-time promotional offer of $ 7.49 per month – up to six months – is available until September 26 for users who accessed HBO through Prime video channels as well as all HBO Max subscribers, new and old, the company said on Friday.
That’s less than the Prime video subscription of $ 8.99 per month plus tax. The HBO Max service is normally priced at $ 14.99 per month.
The announcement comes days after AT&T-owned WarnerMedia stopped HBO subscriptions on Amazon’s streaming service to establish a direct relationship with subscribers.
The company is reportedly losing around 5 million subscribers it had gained through the e-commerce giant’s Prime video platform, a source familiar with the matter told Reuters.
AT&T in July raised its forecast of global HBO Max subscribers to 70 million to 73 million by the end of the year, from its previous estimate of 67 million to 70 million. Read more
Media companies are investing heavily in content development and international expansion as the boom fueled by the COVID-19 pandemic intensifies competition between streaming services.
HBO Max, which hosts the Emmy-winning series “Succession” – a drama about a dysfunctional family running a media empire, said earlier this month that the service would be available in six European countries on October 26 and in 14 territories additional next year. Read more
AT&T is also preparing to enter into an agreement to combine its multimedia content with Discovery (DISCA.O) and focus on its core business of providing telephone and Internet services.
Reporting by Akanksha Rana in Bengaluru and Helen Coster in New York; Editing by Saumyadeb Chakrabarty
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