AT&T (T) - Get Report is quietly closing down the Yaveo Hispanic streaming service that its DirecTV unit launched with much hoopla in 2014 when the satellite-TV provider jumped into the industry-wide race to lure customers with Internet-based video channels.
The move comes as AT&T (T) - Get Report maneuvers to unveil a still unnamed video service in January. CEO Randall Stephenson, speaking at an investor conference earlier this week, said the service would feature an array of channels including programming developed by AT&T through its joint venture with Peter Chernin, the former 21st Century Fox (FOXA) - Get Report executive.
Stephenson provided few details but told the conference, sponsored by UBS, that AT&T was "very interested" in putting together "a bundle of DirecTV content (that subscribers) can acquire over a mobile device or a single screen in the home."
"Putting together a bundle of DirecTV content they can acquire over a mobile device or a single screen in the home: that is something we are very interested in...You should assume we're doing something," Stephenson told the conference.
But in the process of building a new entertainment service that might rival everything from Netflix (NFLX) - Get Report , Time Warner's (TWX) HBO NOW and Dish Network's (DISH) - Get Report SlingTV, AT&T elected to close down Yaveo. The Latino-focused channel posted news of its shutdown on its web site, saying that the service would no longer be offered after 11:59 pm on Dec. 15.
The site gave the reason as the need for AT&T to continue to work on integration of DirecTV, which the teleco giant acquired in July for $48.5 billion.
DirecTV announced the launch of Yaveo in December 2014 as a $7.99 a month streaming service to provide subscribers with popular Hispanic-language TV programs, movies, music and children's programming.
It also offered live sports and entertainment program and such channels as beIn Sports en Espanol, Cine Sony Televison and Hola TV, according to its press release at the time. The service was offered on Roku and Xbox 360 apps as well as mobile and tablets.
"We continue to believe in the value and viability of an Internet-delivered service offering unique, high-quality Spanish-language content," Yaveo said on its web site. "Once we complete the integration, we plan to evaluate new and unique opportunities to better serve the Hispanic community."
AT&T couldn't be immediately reached for comment.
This article is commentary by an independent contributor. At the time of publication, the author held a position in AT&T