"The U.S. mobile service market has grown intensely competitive over the last three years as growth in new smartphone subscribers tapers off. U.S. operators have ramped up incentives to lure subscribers from competitors and encourage their own to stay longer—their game plans have switched gears from ARPU growth to churn management," said Harry Wang, Parks' senior director of research, in a prepared statement. "The migration away from a two-year contract has made service switching easier for consumers, and consequently mobile service providers are facing more pressure on churn."
From the article "Parks: Loyalty Programs, Data Rollover Important To Likely Switchers" by Colin Gibbs.
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Beyond that, AT&T also gets revenue by licensing those movies and TV series to other pay-TV providers and subscription Net TV services such as Netflix. "Video and entertainment will remain the key dri...
