Will Google Inc (GOOG) Revolutionize the Way We Watch TV?

But as customers gravitate toward streaming services, U-Verse may suffer in comparison to Comcast, whose speeds are faster. For streaming customers, speed is crucial.

AT&T’s recent earnings only adds to concerns that the company may be forced to play second fiddle to its biggest competitors -Comcast and Verizon. The company’s net income dropped $80 million to $3.82 billion. But sales were up 1.6%, slightly ahead of analyst predictions. Disappointing profits were blamed on the rising cost of smartphones, which most service providers discount in order to entice customers to sign contracts.

Comcast wins

Either way, Comcast has positioned itself to take advantage of the shift in consumer viewing habits. The company is one of the top home Internet service providers in the country, which means, even if its customers drop cable TV, they’ll likely beef up their Internet speed. The company reported a 8% increase in its high speed Internet business, with its Comcast Video online streaming service growing 2.7%.

Additionally, Comcast owns a piece of Hulu. With more than four million paid subscribers and millions more who watch videos for free on the service, Comcast is poised to reap rewards from a move toward digital streaming.

For the investment dollar, Comcast is by far the best bet when it comes to the future of television. But Google Inc (NASDAQ:GOOG) isn’t far behind by integrating with Comcast to connect devices. The only potential loser of the three is AT&T, who may need to focus a little more effort on its home Internet service and a little less on its TV segment in order to keep up with the changing market.

The article Will Google Revolutionize the Way We Watch TV? originally appeared on Fool.com and is written by Stephanie Faris.

Stephanie Faris has no position in any stocks mentioned. The Motley Fool recommends Google. The Motley Fool owns shares of Google. Stephanie is a member of The Motley Fool Blog Network — entries represent the personal opinion of the blogger and are not formally edited.

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