After overcoming the U.S. Justice Department's objection that the deal would harm competition, AT&T, the country's number two wireless operator, said it will use its technology to reinvent how consumers receive and view entertainment.
A major aim is to reduce the number of commercials now that customers are accustomed to ad-free services such as Netflix, said John Stankey, chief executive of newly named AT&T unit WarnerMedia.
"One of the big benefits we can bring to the market is lighter ad loads," Stankey told Reuters in an interview.
AT&T, long dominant in the U.S. telephone industry, is now at the forefront of Hollywood with its purchase of Time Warner, which owned HBO, the Warner Brothers film and television studios, and Turner Broadcasting and CNN.
AT&T plans to use mobile phone and video data, supplied by customers who have given permission, to sell targeted advertisements. The thinking is that brands will pay more if they know their message is reaching someone likely to be interested in it.
For example, "if I'm a beer drinker, I'm more interested in seeing things about beer than soft drinks," Stankey said.
Some of Time Warner's Turner networks already have cut the number of commercials. Comedy network TruTV, for example, has reduced ad time by roughly 50 percent.
AT&T "absolutely" should be able to further reduce ad inventory across Turner networks, Stankey said.