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Research

➢ Combined cable, DBS and telco subscriptions fell by more than 1.6mln in 4Q19, a 50% increase YOY. Satellite accounted for the bulk of the traditional decline.

➢ An estimated 63.4% of occupied US households subscribed to traditional multichannel in 4Q19.

(Source: Kagan)

Quotable

“We’re first focused on rolling it out in the HBO Max official offering with a product that covers multiple demographics, millennials, children, adults of any gender, any background. I think that’s an expansion of the demographics covered by HBO…it will be basically a domestic product… And expect next year, we’d move towards an AVOD product, an advertising-assisted product to provide the affordability of the product into more people by the use of advertising and supplementing it so that, if you will, we’re still generating the revenue, but it doesn’t have to necessarily come out of the consumers’ pocket. While those things are going on, we’ll continue to look to further expansion internationally and further expansion with the potential to add other products and services, like you said, live TV. “

– AT&T CFO John Stephens speaking on the launch of HBO Max at a Deutsche Bank investor conference

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