Verizon Communications Inc. (NYSE:VZ) is reportedly preparing a live, over-the-internet television service in a bid to challenge Dish Network’s Sling TV and AT&T’s DirecTV Now.
The telecommunications giant has been buying streaming rights from television networks for the new online TV service, Bloomberg News reported, citing people familiar with the matter.
The people, who wanted to remain unidentified, said that Verizon is planning to start offering dozens of channels this summer.
The telecommunications giant already offers go90 and FiOS home TV services. Launched in 2015, go90 is a video streaming service that offers a selection of TV shows and movies. It is free and ad-supported service and does not require a subscription. Fios is a bundled internet, telephone, and television service.
The unnamed people said that the new Verizon TV service will be separate from go90 and FiOS. It will be similar to Dish Network’s Sling TV and AT&T’s DirecTV Now. Sling’s basic package starts at $20 a month, while DirecTV Now costs $35 for 60 channels. Verizon is expected to similarly price its new TV service, the people said.
Meanwhile, Verizon Communications Inc. (NYSE:VZ) has been trying to save its troubled ad-based go90 service. This week, the company announced that it has redesigned the mobile version of the streaming service aimed at teens.
“This update enhances content discovery, programming and merchandising through design, deeper and broader algorithmic search & recommendation and experience,” according to a statement. The updates will be rolled out to all go90 users on iOS and Android devices over the next couple of days, the company said.
Shares of Verizon Communications Inc. (NYSE:VZ) have not been performing well. The company’s stock closed down 0.18% on Thursday. So far this year, the stock is down more than 8%. During the last six month, shares have fallen nearly 6%, while they have dropped 8.4% during the last 12 months.