Increasing Internet Functionality
As consumers become more technologically savvy, it will be increasingly difficult to find and maintain a user base in the cabled television realm, especially as Internet-based entertainment becomes more readily available. Nearly 800,000 US households have already discontinued their cable service and switched to watching TV on Internet mediums such as Apple, Inc.’s iTunes Store and Hulu.
Overall, these challenges are complex and appropriate decisions will be required to maintain AT&T’s trajectory and growth in the years to come. The executive leadership of AT&T will have to make key resource allocations once the decisions are made and execute their strategic changes well in the face of an ever changing external environment.