AT&T is trying to reel in cord cutters by offering a bundle for $39 per month (opens in new tab). This bundle includes the company’s U-Verse Internet Max Plus broadband Internet (18 Mbps), U-Basic TV, a year’s worth of Amazon Prime and HBO on demand. The deal seems incredible, but like all good promotions, there’s a big catch.
According to the promotion’s page, the deal is meant for new residential U-Verse customers and requires that the customer sign up for an entire year through AT&T’s website. After the initial year, everything will go back to its regular pricing, such as Amazon Prime costing $99 per year.
The catch also includes an equipment installation fee of $99 and a service activation fee for $49. Not satisfied with the service? Customers will be required to pay an early termination fee up to $180 if they’re not pleased with AT&T’s services. Even more, the Internet portion only allows 250 GB per month; go over that, and expect to pay $10 per 50 GB of data usage.
Customers taking advantage of the new deal will need to register with Amazon Prime first before getting the discount. A redemption email with the registration instructions will be sent to the customer after the U-verse services are installed. If customers are existing Prime members, then the free year will be tacked on after the current year expires. This offer will be good until December 13.
The bundle sounds like a good deal, and it shows that service providers like AT&T are looking to experiment with the traditional cable TV model. With the likes of Netflix and Hulu Plus growing their audiences, cable and satellite TV companies are fearing the worst -- that one day consumers won’t desire the traditional broadband and cable service.
For that reason, we see the likes of Comcast and Time Warner pulling content to the Internet and allowing said content to be viewed on a number of different devices. Cable and Satellite TV providers are feeling the heat from customers that want content all over the house and on-the-go.