Currently, Sling TV and DirecTV Stream (formerly known as AT&T TV) are two of the largest live TV streaming services in the United States. They are both owned by DirecTV, the same parent company, following AT&T’s recent merger of their WarnerMedia assets and Discovery. This has led people to wonder whether Sling TV and DirecTV Stream could be in line to be merged into a single platform at some point in the future.
Sling TV Background
Sling TV was among the pioneering platforms that offered live TV streaming when it began in 2015. It was instrumental in introducing the “skinny bundle” model – a limited channel package that costs much less than a typical cable or satellite TV service. Sling, on the other hand, has Orange and Blue packages that go for $35 monthly, and customers can opt for channel bundles.
DirecTV Stream Background
DirecTV Stream, previously called AT&T TV, which started in 2020, is a flagship of live TV streaming services with vast channel packages and options. Select packages range from as low as $70 per month, $95 per month, $120 per month, and $150 per month with optional features. At launch, it was marketed as an offshoot of AT&T’s satellite television service DirecTV, however, in August 2021, the brand was rebranded.
New Corporate Structure
The combination of WarnerMedia and Discovery was finalized in April 2022 when AT&T and Discovery successfully merged the two entities. This led to DirecTV Stream and Sling TV being owned by the same entity. Both streaming services are still provided by DirecTV today.
Why A Merger Could Happen
There are several reasons why Sling TV and DirecTV Stream may merge someday:
- Brings all streaming services under one roof
- Avails content and infrastructure in equal measures
- Reduces the confusion between the two services among the customers
- Offers packaging solutions at different price segments
A merged service might bring continuity of the channel packages, features, and pricing between Sling and DirecTV Stream. This could offer more value and options for the subscribers.
On why a merger may not happen soon
However, there are also reasons why Sling and DirecTV Stream may stay separate services for the foreseeable future:
- Sustains segment interest in budget & premium segment
- The costs related to the immediate integration of the two companies are another factor that should not be ignored.
- Further develops the established brand awareness.
- Enables time to enhance DirecTV Stream following 2021 challenges
Sling and DirecTV may wish to maintain their current brand images and formulate their streaming plans before integrating them. Though there could be merits from a long-term perspective on a merger, there could be some benefits in the near term separate for each service to serve a unique purpose.
What To Expect
As of now, there is no official word on when or if AT&T plans on merging Sling TV and DirecTV Stream; therefore, for the time being, it seems that both services will remain separate entities. Yet, exclusion from future bundling partnerships or partial integration should not be completely discounted.
However, as the live streaming market consolidates and intensifies, it would make strategic sense for DirecTV and Warner Bros. Discovery to synchronize these two core services. Consolidating its product would also provide cost efficiencies as well as more flexibility in terms of programming and pricing.
Conclusion
Sling TV and DirecTV Stream are now under the same company as Warner Bros. Discovery, which means that there will always be a question of whether these streaming services will be merged. Perhaps a complete merge is still some years down the road owing to branding and other operational considerations, however, partial affiliations between them can already be a reality. It is recommended that customers should wait for any further developments regarding the two services, as DirecTV contemplates its next steps.
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