Almost immediately after the deal was finalized, consumer behavior shifted dramatically toward streaming services like Netflix and Hulu. This "cord-cutting" trend struck satellite providers particularly hard.
How AT&T's Deal for DirecTV Could Affect the Industry - DealBook
In 2014, AT&T faced stalling growth in its core wireless sector. The strategy, championed by then-CEO Randall Stephenson, was to transition from a mere "pipe" provider to an integrated media powerhouse. AT&T agreed to purchase DirecTV for ($67.1 billion including assumed debt) with several key goals:
: The merger gave AT&T a combined 26 million video users , granting it significant leverage when negotiating licensing fees with content networks.