LOS ANGELES —
Still, Stephenson has talked about how the growth of online video helps boost demand for its Internet and mobile services. Last month, AT&T entered a joint venture with the Chernin Group to invest in online video services.
DirecTV would continue to be based in El Segundo, California, following the merger, the companies said. AT&T is based in Dallas.
Shares of AT&T declined 70 cents, or 1.9 percent, to $36.04 in midday trading Monday, while DirecTV's stock fell $1.24, or 1.4 percent, to $84.94.
Business Writers Dee-Ann Durbin in Detroit and Michelle Chapman in New York contributed to this report.