AT&T’s WarnerMedia might be punting on its original streaming service plans

WarnerMedia’s plans for a three-tiered streaming service appear to be in flux. The AT&T-owned company is reportedly scrapping that idea and opting instead to offer HBO, Cinemax and the library of Warner Bros. content in a single subscription service that would cost between $16 and $17 a month, The Wall Street Journal reported, citing unnamed sources.

The service would first be offered as a beta product later this year and could be offered broadly as early as next March.

TechCrunch will update the article if WarnerMedia responds to a request for comment.

This latest development follows a number of changes over at WarnerMedia, including the departure of HBO CEO Richard Pleper and Turner president David Levy.

AT&T first opened up in November about its plans for its WarnerMedia streaming service. The company said at the time that the service would have three tiers — an entry-level, movie-focused service; a premium tier with original programming and blockbusters; and a bundle that includes them both.

During an earnings call a few months later,  AT&T CEO Randall Stephenson expounded on the service and said it would have a “two-sided business model.” The idea was to include subscription-based, commercial-free programming on the high-end as well as an entry-level portion of the service that will be ad-supported, according to the Stephenson’s comments at the time.

Whatever the structure ultimately ends up being, the aim is to leverage the entertainment properties AT&T gained by way of its Time Warner acquisition last year.