AT&T's “Skinny Bundle” Not Enough to Answer Anti-Competitive Concerns

The PTC responds to AT&T’s announcement that the company will offer a “skinny bundle” of TV programming. This week, AT&T CEO Randall Stephenson announced that AT&T will offer a "skinny bundle" of programming as a lower-cost video package that would, in theory, benefit consumers. Last week, the PTC called on AT&T to unbundle its DirecTV programming packages in order to secure regulatory approval for its proposed merger with Time Warner. “AT&T’s skinny bundle is the latest distinction without a difference from the cable and satellite industry. Unless and until AT&T allows consumers to decide for themselves which networks they want to purchase, its skinny bundle answer to anti-competitive concerns should be rejected by the regulatory bodies as much ado about nothing,” said PTC President Tim Winter. “The one upside to AT&T’s revelation yesterday is that they’re now on the record suggesting that they could unbundle if they wanted to. The programmers are already on a path to distributing their content directly to the consumer. Distributors like DirecTV are facing their own demise if they don’t give consumers real choice. Doing so would obviate anti-competitive concerns and lead directly to regulatory approval of AT&T’s desired merger with Time Warner.”