T-Mobile US, the leading telecom operator in the United States, said its Capex for the year 2022 will be between $13 billion to $13.5 billion.
T-Mobile’s Capex was $12.326 billion in 2021 and $2.92 billion in Q4 2021.
Cash purchases of property and equipment, including capitalized interest, are expected to be between $13.0 billion to $13.5 billion for the current year, T-Mobile said.
T-Mobile today claimed that its 5G network covered 310 million people across 1.8 million square miles, delivering nearly 5x more geographic coverage than Verizon and nearly 2x more than AT&T. T-Mobile plans to bring Ultra Capacity 5G to 260 million people this year and 300 million in 2023.
T-Mobile’s 5G network is covering 94 percent of American’s nationwide, and its customers are not affected by the controversy around aviation issues. T-Mobile said the issue is with one frequency of spectrum called C-band, which T-Mobile 5G does not use today. “T-Mobile customers can continue to use their 5G phones and 5G network with confidence.”
The controversy around aviation issues has already impacted the 5G network roll out by T-Mobile rivals including AT&T and Verizon.
T-Mobile said postpaid net customer additions are expected to be between 5 million and 5.5 million in 2022, expecting to lead the industry for the 8th consecutive year.
Merger synergies are expected to be between $5.0 billion and $5.3 billion, including $2.2 billion to $2.35 billion of SG&A expense reductions, $1.5 billion to $1.65 billion of cost of service expense reductions and approximately $1.3 billion in avoided network build costs.
T-Mobile realized approximately $3.8 billion in Merger synergies in 2021, nearly tripling, with over $1.8 billion of sales, general and administrative (SG&A) expense reductions and over $900 million of cost of service expense reductions, which increased cash flows while funding growth initiatives and network build, and approximately $1.0 billion in avoided network build costs.
