Customers don’t care about dividends and cost structure. They care about cost to value. With this price structure, T will make higher margins. When Direct TV Now launched, it was coupled with low prices, free steaming box and bonus premium channel and thus people jumped in. When price went up and promotion ended, people left.
T lost 3.4 million TV subs in 2019, how many of these customers are coming back? In the market place, how many customers who sub’ing to other services will sign up to T-TV? There must be a huge imaginary segment that is willing to sign a 2 year contract, pay for the steaming box, use their own internet pipe, and pay for stacks of channels which they won’t watch. I wouldn’t hold my breath, this isn’t iPhone exclusivity, watch for the 1Q results.