CNC is a regional cable provider that offers two types of annual contracts:

$-$ Basic Contract: basic digital channels for $$50$ per month.

$-$ Premium Contract: basic channels plus exclusive sports and movie channels for $$120$ per month.

This year CNC has $4,000$ Basic and $2,000$ Premium active contracts and estimates that there are $10,000$ potential customers who are currently getting their cable services from other providers. In answering the following questions, assume that customers are homogeneous in their preferences and choose their cable provider and subscription according to a Multinomial Choice Model $($MNL$).$

For next year, CNC is evaluating the possibility of offering only the Premium service.

How many contracts the company should expect to sign in this case? Would you support this strategy?