[5] By the second quarter of 2019, DirecTV Now lost 168,000 subscribers (decreasing to 1.3 million), with AT&T citing "higher prices and less promotional activity" as reasoning.
[6] On July 30, 2019, AT&T announced an upcoming streaming television service known as AT&T TV, which would feature an Android TV-based set-top box with a Google Assistant-based voice remote, use the same apps used by DirecTV Now, and offer cloud DVR with 500 hours of storage.
Unlike DirecTV Now, this service is sold on a contract basis (and in bundles with AT&T Internet), and requires the rental or purchase of proprietary set-top boxes.
AT&T CEO Randall Stephenson referred to AT&T TV as a "workhorse" service succeeding DirecTV and AT&T U-verse in its pay television business.
[8][9][10][11] The similar names between the different services have been noted as possibly causing confusion, with media outlets even citing examples occurring within the company itself.
[12][13] In September 2019, a class action lawsuit was filed against AT&T, alleging that it had falsely inflated its reported number of AT&T TV Now subscribers by engaging in "unrelenting pressure and strong-arm tactics" and giving unwanted subscriptions to the service to customers without their consent, as well as making false claims surrounding risks related to the service in its SEC filings related to the purchase of Time Warner.
[16][17] In December 2022, DirecTV Stream announced it would raise prices to offset higher costs associated with distributing broadcast and cable networks to users.