AT&T whips up unique services bundle with an Amazon cherry on top, but sweetness fades after a year

HBO alone has kept masses of consumers tethered to cable cords, in fear of a diet of Netflix and local news, but AT&T is offering a new slim bundle boasting some of the most in-demand media.

AT&T's new $39.99 HBO bundle serves up a slice of U-Verse service with a dollop of HBO and a year's worth of Amazon prime on top.

AT&T's U-Verse delivers Internet service at up to 45 Mbps and offers subscribers access to the telecommunication's nationwide network of wireless hotspots at no additional charge. The service also includes premium TV programming, both live and on demand.

The $39.99 HBO bundle also includes its namesake, HBO, along with its on-demand companion app. The bundled also includes a year's worth of Amazon Prime, which costs $99 annually by itself.

Amazon Prime grants users free two-day shipping on Amazon orders, access to the online retailer's rising collection of streaming videos. Prime membership also opens up Amazon's Kindle library, as well as its new streaming service: Prime Music.

If all of that sounds like a sweet deal, take a breath as buyer be warned -- the $39.99 Internet and TV dinner check is only good for 12 months, then standard rates are added to the tab. Adding to the unattractive small print is a $99 installation fee.

Though cable companies fight the practice of cord-cutting with all-out warfare, threatening programmers who would dare leave the realm, the numbers of consumers walking away from traditional programming models continues to rise. But the heresy continues to spread as heavyweights like Verizon and Sony attempt to embrace the à la carte model of TV programming.

Verizon CEO Lowell McAdam stated his belief it's only a matter of time now that the model will emerge in prominence in some form or the other.

"No one wants to have 300 channels on your wireless device," McAdam said. "Everyone understands it will go to à la carte. The question is, what does that transition look like?"

Cord-cutters may be small in number now, but their message resonates with those still tethered to traditional programming models. Cord-cutters such as Seth Holt, 33, have chosen to stand against the traditional model, but he concedes that it isn't for everyone.

"If you're happy with your service and think you're getting a fair price, good for you. Stay," he said. "But if you're like we were and have 200 channels when you're only maybe watching five, it's actually really easy to switch. You don't have to be super technical and IT-minded to get it to work."

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