Blog Post

AT&T U-verse shows signs of life

uversephoto.jpgAT&T has started offering their U-verse (video) users ability to remotely schedule program recordings, over the mobile and the web, according to a company press release. Typically, our response to this would have been like any TiVo user – yawn! But then we say this little nugget of information:

Overall, AT&T U-verse TV has grown rapidly since January, with approximately 18,000 U-verse television and Internet subscribers currently in service. AT&T’s average installation rate has ramped to approximately 2,000 installations a week — five times greater than its average rate in January.

That is about 300 subscribers a day, and a big jump from a total 3000 subscribers at the end of 2006. After a sluggish and an almost disappointing start, it seems, AT&T triple-play U-Verse finally getting some momentum.

UBS telecom analyst John Hodulik in a note to his clients points out that if things keep improving at the current rate, AT&T could easily surpass his current video subscriber estimate of 93,000. (He had predicted 300 installs a day by end of March 2007, so his data seems to be pretty accurate.)

Hodulik is expecting that daily installations will increase to 1,500 a day, as the year progresses, and if that happens then the company could end 2007 with 130,000 video subscribers. The big boost could come when AT&T launches in Los Angeles, a giant market. Ironically the company’s other video service, the satellite-based package is getting even more traction. AT&T added 165,000 news subscribers for the HomeZone satellite video service. [AT&T in a press release said that it had added about 180,000 video customers. If you take out the new 15,000 U-verse customers, then you are left with about 165,000 satellite video customers.]

How does this all compare with Verizon? UBS estimates that Verizon will add about 130,000 new subscribers for its FiOS video service in the first quarter, bringing the total to 337,000, or roughly 14% of homes open for sale.

10 Responses to “AT&T U-verse shows signs of life”

  1. I was a big fan of U-verse when I first got it. Over the last 3 weeks the service has been horrific. Consistent outages (at least 3 times daily). Problems with the router, glitches in video and sound delivery. Yes, it is sharper but I just want to be able to watch and record TV consistently.

  2. Havent seen Homezone reviewed or even mentioned much! Signed up Homezone/Dish in January and can say it is a nice integration of Full home DVR, VOD via WiFi/DSL, Yahoo Photos, Caller ID pop-up etc.. The Web remote is a nice touch to manage DVR recordings and program guide.

    I started with 1.5DSL and upgraded to 6Mbps to speed up the VOD streaming from Akimbo. Search and UI are intuitive but limited. Parental Controls, Payment Authorization, Yahoo Launchcast choices is primitive.

    Overall very cool addition to the media room. Wonder what the roadmap to space shifted viewing, mobility and life outside the AT&T/Yahoo/Akimbo walled garden.

  3. Because I live in San Antonio, I’ve been a trial user of the U-verse service offering since May of 06. I now had HD over IP in my house and it works.

    The main thing to get is this: it’s not just a cable replacement. Its looking at how AT&T can deliver content and sell ads over three screens. That’s where they are heading.

    My blog, is a consumer facing blog focused on this.

    Alan Weinkrantz

  4. For Verizon and AT&T to optimize their offerings, they will need to leverage broadband capabilities in both the wireline as well as wireless distribution mediums to deliver personalized content to any device. A customer demands that their service is available on all three screens depending on which one they are using at the time.

    FiOS and U-verse are a good start. Its not the end game though, just a piece of the puzzle.