T-Mobile CEO John Legere is worried about the fate of Sprint wireless customers. He wants to assist them to come out of the current situation.
The offer is coming at a time when T-Mobile is no longer looking for investments from Sprint promoter SoftBank.
American wireless industry remembers that Sprint has lost 864,000 retail subscribers in Q2 2014 and reported a year-to-year decline in corporate and wireless service revenue. Sprint has a new CEO to work on the new numbers.
On the other hand, T-Mobile posted 1.5 million net customer additions with over 1 million branded net customer additions for the second quarter, including branded postpaid net additions of 908,000 and branded prepaid net additions of 102,000. T-Mobile wants more.
T-Mobile CEO a special offer today to Sprint’s Framily users.
Starting next week, whenever a T-Mobile Simple Choice customer throws a lifeline to a Sprint (or AT&T or Verizon) customer and brings them to the Un-carrier, both receive free and unlimited LTE data for a full year on T-Mobile’s LTE network. T-Mobile Simple Choice customers who already have unlimited LTE data receive a $10 credit each month for twelve months.
Earlier this week, Sprint introduced a new offer for T-Mobile, AT&T and Verizon customers. The U.S. telecoms launched a new family plan with a fixed data cap and no option for unlimited LTE data. When families exceed their cap families are hit with overages to the tune of $15 per gigabyte.
T-Mobile confident about future
T-Mobile is investing $4.6 billion in Capex (capital spending) this year.
Despite competition from AT&T, Verizon and Sprint, T-Mobile has recently revised its guidance for 2014. It said its branded postpaid net additions for 2014 are now expected to be between 3 and 3.5 million against the prior guidance of 2.8 to 3.3 million.
However, T-Mobile is worried about its branded postpaid phone ARPU that decreased sequentially by 2.3 percent to $49.32 due to the continued growth of Simple Choice plans.
Branded postpaid Average Billings per User (ABPU) rose 1.8 percent to $59.79 in the second quarter of 2014.
Branded prepaid ARPU increased 3 percent to $37.16.
Baburajan K
editor@telecomlead.com
