AT&T sees 20 percent cut in U-verse content costs after DirecTV merger

AT&T said it expects to cut programming costs for its U-verse television product by more than 20 percent with its $48.5 billion purchase of satellite television provider DirecTV - savings that will be the biggest portion of the deal's cost benefits.

The acquisition will also enable AT&T, the country's No. 2 wireless carrier, to offer a pay TV and wireless bundle to an additional 45 million US customers, the company said in a regulatory filing with the Securities and Exchange Commission. The filing adds details to a bid that has boggled some analysts who see little benefit to the mobile carrier.