AT & T (NYSE: T) began offering U-verse Internet customers the choice of a free Xbox 360, Kindle Fire, Nexus 7 Tablet or Sonos Play 3 media player if they add its U-verse TV or voice service to their subscriptions.
The move, announced Monday, could drive standalone broadband customers to take AT & T’s pay TV service, which hasn’t grown as quickly as U-verse Internet. AT & T picked up 192,000 U-verse TV and 609,000 U-verse Internet subscribers in the fourth quarter, and now counts 4.5 million subscription video and 7.7 million broadband customers.
AT & T isn’t the first telecom provider to market free consumer electronics equipment to entice subscribers to order new products. Time Warner Cable (NYSE: TWC) kicked off a promotion with Best Buy in November in which it offers new triple-play subscribers a free Xbox 360. In 2011, the cable MSO ran a promotion on its New York system in which subscribers who ordered its 50 Mbps service could receive a $ 300 rebate to cover the cost of a new Slingbox receiver.
AT & T is also using interactive TV applications to differentiate its service. The company announced on Monday that it launched a U-verse Jukebox app that lets U-verse TV subscribers play songs from their mobile devices on TVs connected to a U-verse set-top. It also launched an Interactive Workout App that the company said “turns your U-verse TV into your own personal trainer.”
For more:
– see the interactive TV app release
– see the U-verse promotions release
Related articles:
Time Warner Cable offers free Xbox to new triple play subscribers through Best Buy promotion
Time Warner Cable using Slingbox to market wideband service
AT & T to expand U-verse to 33M homes, increase broadband speeds to 75 Mbps
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