DirectTV is doing something that not many companies in the world would ever dare attempt, which is helping an industry that essentially can put them out of business. Now there is a method to this type of madness and most will not see the benefit in it for DirectTV upfront, but bear with us for a moment.
In the modern age, media consumption is rapidly advancing to an on-demand market, which includes TV, film, music, social media and various forms of art and reading. Essentially, cable and satellite TV companies like DirectTV have found themselves to be the victim of this market trend, which has been cutting into their vast profit machines that have had a stranglehold over the media market for decades.
Now, with innovation coming from every corner of the internet, cyberspace is allowing those companies, such as DirectTV, to take a bite out of the emerging market that is killing their old business model, according to Deadline. That comes in the form of offering all of their old cable networks at a severely discounted rate with DirectTV Now, which has also been cutting into their main satellite-cable service.
— Deadline Hollywood (@DEADLINE) June 15, 2017
It appears as though DirectTV will now be offering their new “Now” customers a special treat that competes with their core business, which is subscription satellite TV service. That treat comes in the form of a Roku Premiere streaming box that is already equipped to handle 4K streaming. Also, even though DirectTV Now does not offer 4K streaming for Roku at this time, that is a technology that will likely emerge on their streaming service sometime in the near future.
So why would DirectTV offer their customers a free Roku that would essentially cannibalize their core business? Well, it makes sense that the satellite company would want to move into the streaming business and with the current trend of people cutting the cable cord, it is the only reasonable route to growing and staying successful in a now overcrowded market.
— DIRECTV NOW Help (@DIRECTVNowHelp) June 15, 2017
People who love their streaming experience can get the new Roku box with a subscription to DirectTV Now streaming service and still stream all of their favorite content from Netflix and Hulu. But with the $35 subscription, they will now have access to 60 linear channels of live TV as well.
[Featured Image by Craig Barritt/Getty Images for Vulture Festival]