From the revenue extraction POV, the optimum price is such that user is unhappy to pay it, but is still paying, while raising the price even by a small amount would convince the user to cancel the service.
This means that the companies are constantly testing this edge, and check whether too many subscribers start to fall off the edge when the price rises.
This means that the companies are constantly testing this edge, and check whether too many subscribers start to fall off the edge when the price rises.