Layer3 TV, which was founded only in 2013, currently operates a broadband-delivered subscription service in five US cities – Denver, Los Angeles, Chicago, Washington DC and Dallas/Fort Worth in Texas.
It has marketed itself as a next-generation TV service, having built up a reputation for delivering more than 275 high-definition channels via the internet rather than traditional cable.
T-Mobile, which describes itself as the “Un-carrier” – a title aimed at reinforcing its claim to offer superior consumer-friendly services – issued a bullish statement outlining its ambitions.
“Today, the Un-carrier is shifting its strategy into overdrive by acquiring fellow disruptor Layer3 TV,” the statement read.
“With Layer3 TV’s leading technology and talented team, T-Mobile plans to launch its own disruptive new TV service next year, tapping into the amazing content available from creators today to disrupt legacy cable and satellite TV’s distribution model.”
Although the company did not explain what its new nationwide TV service would entail, such as how much consumers would have to pay, it said that the super-fast LTE (Long Term Evolution) network lay at the heart of its mobile video strategy.
“T-Mobile’s network just continues to expand and improve with new nationwide low-band spectrum and more advanced technologies deployed than any other wireless company,” T-Mobile said.
For Agathe Blanchon-Ehrsam, CMO at strategic consulting firm Vivaldi, T-Mobile’s expansion into high-quality video distribution should also allow it to take advantage of addressable advertising opportunities.
“The targeted and segmented data that T-Mobile collects will allow for more streamlined and targeted advertising,” she told Adweek.
“But even better is if the behavioural and actionable insights lead to curated content delivery and personalised audience engagement, which doesn’t interrupt like advertising, but enhances the viewing experience,” she added.
Sourced from T-Mobile, Adweek; additional content by WARC staff