AT&T Raises Prices, Despite Its Promise to Lower Them

By Steven McKean · Jul 6, 2018 1 min read

Telecom News

AT&T hikes fees after a promise to cut prices

AT&T promised its Time Warner merger would lower consumer prices. Instead, it quietly more than doubled an administrative fee and raised DirecTV Now — and customers are paying.

1 A Promise to Lower Prices

Just a few months ago, when AT&T sought approval for its merger with Time Warner, it promised that the deal would allow it to lower prices for consumers. Following the costly acquisition of Time Warner, it looks like the opposite is happening.

AT&T is looking for new sources of revenue and it’s mostly at customers’ expense — a pattern that shapes how the major carriers rank.

2 The Quiet Administrative Fee Hike

The corporate giant’s first move? To quietly bump its “administrative fee,” currently a line item at the end of a customer’s bill and one of the clearest examples of hidden fees on your bill. The fee more than doubled from 76 cents to $1.99, a $1.23 increase, affecting about 85% of AT&T’s 64.5 million postpaid phone lines in service. This fee comes right in time for AT&T’s closure of its deal with Time Warner, and is set to add about $800 million in annual revenue.

3 DirecTV Now Goes Up, Too

But after its $85.4 billion purchase of Time Warner, AT&T is still under pressure. That’s bad news for customers, who are paying the price of this costly purchase. Just a few days after its sneaky administrative fee hike, the corporate giant announced that it is increasing the cost of its streaming service DirecTV Now by $5 per month across the board on most packages.

4 What AT&T Argued Before the Merger

Prior to the merger, the corporate giant dismissed the Justice Department’s argument that the merger would, in fact, raise prices. According to AT&T’s post-trial brief, “the evidence overwhelmingly showed that this merger is likely to enhance competition substantially, because it will enable the merged company to reduce prices …”

The filing stated that consumer should see price benefits quickly after the acquisition is complete. Ironically, the exact opposite has occurred. Although AT&T claims that these price hikes can be attributed to market forces, it certainly seems like they are looking for more revenue after such a costly merger.

5 How Billshark Can Help

In the meantime, the Sharks at Billshark are on it. Contact us for AT&T bill negotiation to help you fight the corporate giants and lower your monthly bills.

Billshark · Bill Negotiation Experts
Helping consumers and small businesses stop overpaying on recurring bills.

Frequently Asked Questions

Why did AT&T raise prices after the Time Warner merger?

When AT&T sought approval for its merger with Time Warner, it promised the deal would let it lower prices for consumers. After the costly acquisition, the opposite happened. AT&T is looking for new sources of revenue, mostly at customers' expense, and began raising fees and service prices despite its earlier promise to cut them.

How much did AT&T's administrative fee increase?

AT&T quietly more than doubled its administrative fee, a line item at the end of a customer's bill, from 76 cents to $1.99. That $1.23 increase affects about 85% of AT&T's 64.5 million postpaid phone lines in service and is set to add roughly $800 million in annual revenue, timed to the closure of the Time Warner deal.

Did AT&T raise the price of DirecTV Now?

Yes. Just a few days after the administrative fee hike, AT&T announced it was increasing the cost of its streaming service DirecTV Now by $5 per month across the board on most packages, adding to the pressure on customers paying the price of the company's $85.4 billion Time Warner purchase.

What did AT&T argue about prices before the merger?

Prior to the merger, AT&T dismissed the Justice Department's argument that the deal would raise prices. Its post-trial brief stated the evidence overwhelmingly showed the merger was likely to enhance competition substantially because it would enable the merged company to reduce prices, and that consumers should see price benefits quickly after the acquisition.

How can Billshark help with rising AT&T bills?

The Sharks at Billshark are on it. You can contact Billshark to help fight the corporate giants and lower your monthly bills. Rather than absorbing higher administrative fees and service price increases, customers can have Billshark work to reduce what they pay each month.

Save on the Bills You Just Read About

Billshark negotiates your bills for you — no savings, no fee.

Estimate My Savings

AT&T Raises Prices, Despite Its Promise to Lower Them page context

AT&T Raises Prices, Despite Its Promise to Lower Them is a Billshark page. It can help you with your bills and your choices, and it can show you how to save.

AT&T promised lower prices after the Time Warner merger, then doubled its administrative fee and raised DirecTV Now. See what changed and how to save.

Use this page to learn about Billshark. Then go to the part of the site that fits what you need. Small steps add up. You can save a lot over time.

We share this page to help you make sense of your monthly bills, your choices, and what to do next. Keep this page handy. Ask us if you get stuck.

This page links you to more help from Billshark. Use it when you want more detail or a clear next step. You can save a lot over time.

Got a question about a bill you pay each month? This page can help you find the best answer. Read on to learn more. Small steps add up.

Read each part of this page at your own pace. If you need more help, go on to a guide on your topic. It is free to read. Keep this page handy. Ask us if you get stuck.

We put facts and tips in one place. This makes it easy to learn about the bills you pay at home. We are here to help. It only takes a few minutes.

This page can help with real questions. You can learn about your plan, your account, and what you pay each month. Small steps add up. You can save a lot over time.

Use the menu and the links to go from a big question to the facts that fit your own needs. Keep this page handy. Ask us if you get stuck.

We keep things short and clear so you can choose well. You can then read more if you want to. It only takes a few minutes. You are in the right place.

The links on this page help you weigh your choices. They also help you see what you pay and what to do next. You can save a lot over time.

Our goal is to help you spot the bills you pay each month. We also share smart ways to keep them low. Ask us if you get stuck. Read on to learn more.

Come back to this page when you have a new question. It will still be here to help with bills and savings. You are in the right place. It is free to read.

We link the small choices you make each day to the big picture. That means your budget and what you spend at home. We make it easy for you.

Each part of this page helps you see what you need. It may be help with a plan, your account, or a good read. Read on to learn more. Small steps add up.

Use what you learn here to plan your questions. Look at your choices, then take the next step when you are ready. It is free to read. Keep this page handy.

Our pages link to each other. That way, you can find more help and still keep track of what you came for. We are here to help. It only takes a few minutes.

This page makes it easy to find the key facts first. Then you can pick a plan or make a change with less stress. Small steps add up. You can save a lot over time.

Good facts help you see why a bill went up. They also show you what to check before you call or reply. Keep this page handy. Ask us if you get stuck.

This page puts the key facts in one place. It can help you talk with a company about your bills and how to save. It only takes a few minutes. You are in the right place.

Our other pages explain the words you see on a bill. They also help you weigh the pros and cons of each plan. You can save a lot over time. We make it easy for you.

Our tips focus on real choices you can make. Start with the basics, then read a more detailed guide if you need one. Ask us if you get stuck. Read on to learn more.

This page is one of many that we share. Together they cover home costs, the firms you pay, and how to get help. You are in the right place. It is free to read.

Take your time and read this page first. It helps you see your choices and find out what to read next. We make it easy for you. We are here to help. It only takes a few minutes.

We set this page up so you can compare and keep reading. You will not need to hunt for what you want. Read on to learn more. Small steps add up. You can save a lot over time.

Monthly bills come with rules, terms, and fine print. This page helps you find the parts that count for you. It is free to read. Keep this page handy. Ask us if you get stuck.

Our pages give you a clear view of what you pay each month. You can then pick the plan or guide you want. We are here to help. It only takes a few minutes.

Some of our guides cover the basics. Others go into detail on one company or one type of bill. Small steps add up. You can save a lot over time. We make it easy for you.

It pays to read first and act later. This page links you to the next guide if you want to learn more. Keep this page handy. Ask us if you get stuck.

We share guides that help you make sense of your bills. They show your choices and the best next step. It only takes a few minutes. You are in the right place.

Want more detail on a bill, a plan, or your account? Check this page against the links we share here. You can save a lot over time. We make it easy for you.

We group our pages by topic to keep things simple. This helps you stay on track as you read about your costs. Ask us if you get stuck. Read on to learn more.

A bit of background goes a long way. It helps you spot what counts before you check a bill, change a plan, or call us. You are in the right place. It is free to read.

This page is part of our help library. It gives you clear facts and links so you can keep on reading. We make it easy for you. We are here to help.

Your needs can change, so come back any time. Our other pages can help you look into a new cost or plan. Read on to learn more. Small steps add up. You can save a lot over time.

We laid out this page to help you get the facts and compare them. You can then choose your next step with ease. It is free to read. Keep this page handy.

AT&T promised its Time Warner merger would lower consumer prices.

Just a few months ago, when AT&T sought approval for its merger with Time Warner , it promised that the deal would allow it to lower prices for consumers.

AT&T is looking for new sources of revenue and it’s mostly at customers’ expense — a pattern that shapes how the major carriers rank .

The corporate giant’s first move?.

But after its $85.4 billion purchase of Time Warner, AT&T is still under pressure.

Prior to the merger, the corporate giant dismissed the Justice Department’s argument that the merger would, in fact, raise prices.

The filing stated that consumer should see price benefits quickly after the acquisition is complete.

In the meantime, the Sharks at Billshark are on it.

When AT&T sought approval for its merger with Time Warner, it promised the deal would let it lower prices for consumers.

AT&T quietly more than doubled its administrative fee, a line item at the end of a customer's bill, from 76 cents to $1.99.

Yes.

Prior to the merger, AT&T dismissed the Justice Department's argument that the deal would raise prices.

The Sharks at Billshark are on it.

Billshark negotiates your bills for you — no savings, no fee.

Billshark helps lower internet, wireless, cable, satellite radio, and other monthly bills.

Our experts handle providers for customers and share updates throughout the process.

Customers pay only when Billshark finds savings on eligible bills.

1 A Promise to Lower Prices.

2 The Quiet Administrative Fee Hike.

3 DirecTV Now Goes Up, Too.

4 What AT&T Argued Before the Merger.

5 How Billshark Can Help.

Frequently Asked Questions.

Why did AT&T raise prices after the Time Warner merger?.

How much did AT&T's administrative fee increase?.

Did AT&T raise the price of DirecTV Now?.

What did AT&T argue about prices before the merger?.

How can Billshark help with rising AT&T bills?.

3 Ways the T-Mobile - Sprint Merger May Affect.

Comcast to Raise High Speed Internet Prices: How to Save.

3 Reasons Your Service Bills Keep Rising Fast.

3 Ways AT&T May Be Overcharging.

New AT&T Plans: Pricing and Value | Billshark.

AT&T Hidden Fee Lawsuit | Billshark.

AT&T Throttling Settlement | Billshark.

How Cable Providers Quietly Raise Your Monthly Bill.

$6M in Fake Organic Fruit: What You Should Know.

Save on the Bills You Just Read About.

All Negotiation Services.

Corporate / Business Billing.

Blog - All Categories.

merger with Time Warner.

how the major carriers rank.

AT&T Raises Prices, Despite Its Promise to Lower Them

1 A Promise to Lower Prices

2 The Quiet Administrative Fee Hike

3 DirecTV Now Goes Up, Too

4 What AT&T Argued Before the Merger

5 How Billshark Can Help

Frequently Asked Questions

Why did AT&T raise prices after the Time Warner merger?

How much did AT&T's administrative fee increase?

Did AT&T raise the price of DirecTV Now?

What did AT&T argue about prices before the merger?

How can Billshark help with rising AT&T bills?

Related Blog Posts

3 Ways the T-Mobile - Sprint Merger May Affect You

Comcast to Raise High Speed Internet Prices: How to Save

3 Reasons Your Service Bills Keep Rising Fast

3 Ways AT&T May Be Overcharging You

New AT&T Plans: Pricing and Value | Billshark

AT&T Hidden Fee Lawsuit | Billshark

AT&T Throttling Settlement | Billshark

How Cable Providers Quietly Raise Your Monthly Bill

$6M in Fake Organic Fruit: What You Should Know

Save on the Bills You Just Read About

AT&T Raises Prices, Despite Its Promise to Lower Them page context