AT&T's business model following the WarnerMedia divestiture is a focused connectivity provider operating across two integrated segments whose financial characteristics, customer bases, and competitive dynamics differ meaningfully but whose infrastructure investments increasingly overlap as fiber and 5G networks converge. The Mobility segment is AT&T's most important business by revenue, profitability, and strategic significance. With approximately 100 million wireless subscribers — spanning consumer postpaid, consumer prepaid (through Cricket Wireless), and business accounts — the Mobility segment generates approximately 80 billion USD annually in service revenue. Revenue in wireless is generated through monthly service fees (postpaid plans typically ranging from 35 to 75 USD per month per line, depending on data tier and plan type), equipment revenue from device sales (typically sold at break-even or slight loss to drive service relationship), and ancillary revenue from insurance, extended warranties, and international roaming. The economics of postpaid wireless — AT&T's highest-quality revenue tier — are characterized by high barriers to switching (device financing commitments, number portability friction, and family plan bundling all increase switching costs), high monthly recurring revenue per account (a family of four on postpaid generates 150–200 USD monthly in service revenue), and relatively low variable cost per subscriber once the network infrastructure is in place. Network operating costs — spectrum licenses, tower leases, backhaul, and maintenance — are predominantly fixed, meaning that each additional subscriber added to the network improves the operating margin on the existing infrastructure investment. The Communications segment is more complex and includes businesses in very different stages of their lifecycle: AT&T Fiber (in growth phase with expanding coverage and subscriber penetration), traditional wireline voice (in accelerating decline as customers cut landlines), and business connectivity services (competitive but relatively stable as enterprise contracts renew). AT&T Fiber is the most strategically important component, generating revenue through broadband subscriptions (typically 55–85 USD per month) in markets where AT&T has deployed fiber infrastructure to residential and small business addresses. The fiber business is capital-intensive during buildout — each fiber-to-the-home connection requires significant infrastructure investment — but generates high-margin recurring revenue once customers are connected and achieves low churn rates as fiber internet is a superior product to cable competitors' DOCSIS technology in bandwidth, latency, and reliability. The wireline voice business — landline telephone service — is declining rapidly as consumers abandon home phones for mobile and as enterprise customers migrate voice to cloud-based VoIP solutions. AT&T manages this decline by extending copper-based services only where legally required by state public utility commissions, allowing the subscriber base to attrit naturally while minimizing maintenance investment in declining infrastructure. The strategic intent is to convert customers from legacy copper services to fiber broadband wherever fiber is available, retaining the customer relationship on a higher-value product while eventually sunsetting the legacy infrastructure. The business services component — providing connectivity, cloud, cybersecurity, and managed services to enterprise and government customers — benefits from long-term contracts (typically 3–5 year terms) that provide revenue visibility but also limits upside when market conditions improve. AT&T's enterprise connectivity business competes with Verizon Business, Lumen Technologies, and to a lesser extent managed service providers who bundle connectivity with cloud and security services. The company's FirstNet contract gives it a specific advantage in government and public safety markets that Verizon and others cannot easily challenge. The bundling strategy — encouraging customers to take both wireless and broadband services — is a key commercial lever. Customers who take AT&T wireless and AT&T Fiber from the same provider have lower churn rates, higher lifetime value, and generate cross-sell opportunities for additional services. The convergence bundle of mobile and broadband is increasingly the standard offer in U.S. telecommunications, with all major carriers attempting to capture the household's full connectivity spend rather than competing for individual service categories. The prepaid wireless segment, operated primarily through Cricket Wireless, serves price-sensitive consumers who prefer no-contract service and simpler plan structures. Cricket generates lower ARPU (average revenue per user) than AT&T's postpaid brand but requires less credit risk management and serves a demographic that is additive to AT&T's core postpaid subscriber base rather than cannibalistic of it.