NEW YORK — Signs that more people are dropping their traditional TV subscriptions are weighing on TV providers’ stocks.
AT&T said Wednesday that it lost 90,000 video subscribers in the U.S. in the third quarter, a steeper drop than the same period last year. That includes a gain of 300,000 customers in DirecTV Now, an online cable-like service that is cheaper than traditional TV.
The telecom company blames tough competition, the impact from hurricanes and stricter credit standards for customers.
Rising prices for traditional TV bundles and growing digital options are driving customers online and away from traditional TV.
AT&T stock is down 4 per cent to $36.62 in afternoon trading. Shares of cable companies Comcast and Charter and rival satellite TV provider Dish are also down.
The Associated Press