Customers signing up for DirecTV Now has "exceeded expectations," according to AT&T CEO Randall Stephenson.
Speaking at the annual UBS Global Media and Communications Conference Tuesday, Stephenson said that on its first day last Wednesday (Nov. 30), the number of customers exceeded early projections for the month.
He said the product was over-indexing in apartment buildings, a market DirecTV had been targeting.
"This demonstrated the demand for long-form premium content," Stephenson said.
Acquiring access to long-form content was a driver for acquiring DirecTV, he said. The proposed acquisition of Time Warner would be a completion of that strategy, he added.
At $35 a month for 100 channels, analysts see little profit in DirecTV Now.