Beyond that, AT&T also gets revenue by licensing those movies and TV series to other pay-TV providers and subscription Net TV services such as Netflix. "Video and entertainment will remain the key driver for the future of consumer-oriented services," said Brett Sappington, senior director of research at Parks Associates. "Video, virtual reality, and other entertainment experiences are data hungry. They will be the experiences that push consumers to higher tiers of broadband or mobile data."
From the article "AT&T-Time Warner Deal Could Spur More Mergers, Scrutiny" by Mike Snider and Roger Yu.
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