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AT&T offers Internet, mobile phone services, landline phone services and digital TV. Assume that there are two customer segments: Millennial and Traditional, for a total
AT&T offers Internet, mobile phone services, landline phone services and digital TV. Assume that there are two customer segments: Millennial and Traditional, for a total of 50 million customers. Their willingness to pay and share of the market is:
Willingness to pay | Willingness to pay | ||
Segment | Mobile + Internet | Phone + TV | Market Share |
Millennial | $95 | $25 | 30% |
Traditional | $30 | $115 | 70% |
If AT&T has a price menu of two packages: Mobile + Internet for $95 and Phone + TV for $115, what would be the total revenue under this model?
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