T-Mobile US Company Profile










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T-Mobile US
Company Profile

by Michael Gariffo

Docid: 00017529

Publication Date: 2105

Report Type: VENDOR

Preview

T-Mobile US spent most of its life as
one of the "Big Four" wireless voice, messaging, and data services providers
in the US, alongside AT&T, Verizon Wireless, and Sprint. This carrier
emerged from the 2013 merger of T-Mobile
International’s US operating division and MetroPCS. It
operated under the T-Mobile and MetroPCS Mobile brands and has been
majority owned by Germany’s Deutsche Telekom. In recent years, the
carrier became a greater and greater threat to incumbent leaders like
Verizon Wireless and AT&T, culminating in 2020 with the company finally
closing a deal it had been attempting to complete for years: a merger
with Sprint. Now, T-Mobile is moving forward as a combined carrier with
the customers, networks, and assets of both T-Mobile and Sprint at its
disposal. This report will cover the histories of both carriers that
combined to form the "new" T-Mobile, as well as the combined company’s
present and future outlook.

Report Contents:

Fast Facts

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Name: T-Mobile USA, Inc.

Headquarters

12920 SE 38th Street

Bellevue, WA 98006

Phone: (425) 378-4000

Toll Free: (800) 318-9270

Fax: (425) 378-4040

Web: http://www.t-mobile.com/

Type: Wireless service provider

Service Areas: US, Puerto Rico, US Virgin Islands

Founded: 1991

Name: Sprint Corporation (now a part of T-Mobile)
Headquarters:
6200
Sprint Parkway
Overland Park, KS 66251-4300
Phone: (800) 829-0965
Web: https://www.sprint.com/
Type: Telecommunications Service Provider
Service Area: Nationwide US, Puerto Rico, US Virgin Islands
Founded: 1986 (predecessors date to 1899)


Profile

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T-Mobile US is a national provider of wireless voice, messaging, and data
services focused on being an "Un-carrier" by continually attempting to
disrupt industry-standard practices for the betterment of the customer
experience. Prior to its merger with Sprint, the
Bellevue, Washington-based carrier covered a nationwide service area that
included more than 300 million citizens. Although it has yet to release any
figures on its combined network’s reach, its own infrastructure was already in
direct competition with the likes of Verizon and AT&T for size and capacity. It
should now be able to easily meet, if not exceed, the networking assets of either
competitor with Sprint’s infrastructure added in. The publicly
traded firm is still 67 percent owned by German telecommunications company Deutsche Telekom (DT). The carrier was
originally
formed as a result of a merger between T-Mobile International’s US operating
division – a DT subsidiary – and MetroPCS. T-Mobile currently remains an
independent entity owned by its German parent company.

While the merger with Sprint may be the most impactful moment in T-Mobile’s
history, it was not one that arrived without major setbacks and financially
painful failures. Its failures began
with an unsuccessful attempt to take a different path to becoming a top-tier
carrier, a plan to combine with AT&T in 2011. This was followed by a period
In 2014 when T-Mobile was
rumored to be
the target of a $19 billion acquisition plan by Japan’s SoftBank, which
eventually instead purchased a majority stake in rival Sprint. At that time, T-Mobile CEO John Legere told CNET that
the company "is not interested in being gobbled up by
another competitor looking for more wireless spectrum," and, "The T-Mobile brand and people will stay."1 Legere’s assertions
remained true and the company remained independent until rumors of a combination
once again came to a boil in 2017. The newly loosened regulatory
landscape provided by the Trump administration resulted in a
renewed attempt at the type of mega-merger that the telecom world could have
expected to be blocked by the US government in previous years. Despite
the more permissive legal atmosphere, Sprint’s parent company, Softbank, and
T-Mobile’s parent company, Deutsche Telekom, were once again unable to reach
terms that satisfied everyone. However, that all changed in 2018 when the companies
again announced that they were ready to
officially merge T-Mobile US with Sprint. The combined carrier would retain the
T-Mobile name and would continue to be led by T-Mobile’s executive team. Over
the course of 2019, T-Mobile and Sprint fought a year-long war with regulators,
disgruntled consumer groups, advocates for smaller telecom companies, and other
displeased parties. However, when all was said and done, the carriers received
their final required regulatory approvals in very late 2019. At the end of the
year, the duo announced an early 2020 closure window for their $26.5 billion
merger, reducing the number of major carriers in the US by one, and creating a
third competitor with the network and customer figures to directly
compete with Verizon Wireless and AT&T.

History & Milestone Events

T-Mobile

T-Mobile originated as Western Wireless, a PCS
provider for several western states that was formed out of the 1994 merger
of General Cellular and Pacific Northwest Cellular. These companies were
both founded by John Stanton. The company began marketing an analog
cellular service (CELLULAR ONE) for rural areas and a digital PCS service
(VoiceStream) in select metropolitan areas. Noteworthy moments from the
company’s past have included:

  • 1994 – Western Wireless establishes
    VoiceStream.
  • 1999 – VoiceStream Wireless is spun off
    from its parent company.
  • 2000 – VoiceStream merges with
    Omnipoint and Aerial Communications to create the new VoiceStream
    Wireless.
  • 2001 – Completes a transaction with
    Germany’s Deutsche Telekom to become part of T-Mobile International
    and the subsidiary of Deutsche Telekom. The deal is scrutinized by US
    regulators over fear of national security risks.
  • 2002 – Renamed T-Mobile USA and markets
    its GET MORE! wireless voice and data services in California and
    Nevada. Becomes the first national wireless carrier to offer Wi-Fi
    services, which it introduces at Starbucks locations.
  • 2003 – With Ericsson and Nortel, begins
    an EDGE overlay of its nationwide network, becoming the first national
    carrier to offer video messaging.
  • 2004 – Announces plans to introduce
    mobile broadband network services.
  • 2006 – Awarded 120 AWS spectrum
    licenses, valued at $4.2 billion, in a FCC auction. Announces plans
    for its UMTS/HSDPA network. Unveils its HotSpot@Home service.
    Reaches an agreement for Ericsson and Nokia to begin implementing W-CDMA
    technology on its network.
  • 2007 – Co-founds the Open Handset
    Alliance.
  • 2008 – Acquires SunCom Wireless, adding
    1.1 million subscribers in North Carolina, South Carolina, Tennessee,
    Georgia, Puerto Rico, and the US Virgin Islands … With Google,
    unveils the G1 mobile phone, the first to run Android.
  • 2009 – Completes its HSPA 3G rollout.
  • 2010 – Announces plans to upgrade its
    3G network to HSPA+ in 100 metropolitan areas.
  • 2011 – Reaches an agreement for
    AT&T to acquire it for $39 billion, although this transaction is
    later canceled due to opposition from the US Department of Justice.
    Announces nationwide availability for its 4G network.
  • 2012 – Sees Deutsche Telekom and
    MetroPCS Communications sign a definitive merger agreement to combine
    T-Mobile USA and MetroPCS. Eliminates 1,900 jobs after closing seven
    call centers.
  • 2013 – Introduces its new unlimited
    "Simple Choice" plans with no annual contract. Merges its
    operations with MetroPCS to form T-Mobile US, which begins trading on
    NYSE as "TMUS."
  • 2014 – Signs an agreement to purchase
    700MHz A-Block spectrum licenses from Verizon Wireless for $2.37
    billion. Announces that it would begin paying the early termination
    fees of customers who jump from AT&T, Verizon Wireless, or Sprint.
  • 2015 – T-Mobile announces several new
    "Un-carrier" moves including "Binge-On," a policy
    that allows subscribers to stream unlimited amounts of video, albeit
    at a maximum resolution of 480p, if the content is being streamed from
    a participating provider. The offering launched with most major
    content providers on board, including Netflix and Hulu.
  • 2016 – T-Mobile launches and tweaks the T-Mobile One plan, a
    unified subscription that replaces essentially all of its existing
    options with a single, customizable plan that provides unlimited voice,
    text, and optional unlimited data services in addition to including all
    typically "hidden" fees as part of the monthly bill.
  • 2017 – Following months of talks and years of speculation,
    T-Mobile and Sprint formally announce the end of merger talks, having
    been unable to reach agreeable terms for all parties.
  • 2018 – Despite having just announced that talks
    were off in the previous year, T-Mobile and Sprint once again resumed
    attempts to merge, submitting a formal application on June 18 to the
    Federal Communications Commission. Later in the year, the duo receive
    approval from the US Committee on Foreign Investment, a key milestone
    due to the parent companies of T-Mobile and Sprint being based in
    Germany and Japan, respectively.
  • 2019 – T-Mobile and Sprint reach a $26.5 billion
    agreement to merger into the "new" T-Mobile, a carrier that includes all
    assets from both companies, with the exception of a portion of each
    carrier’s prepaid business, which was divested to third parties,
    primarily DISH Network, in order to appease regulators fearful that no
    other company would be able to compete directly with the triad of
    mega-carriers the merger would create. After a full year of regulatory
    and legal battles, the pair announce a closure date very late in the
    year.
  • 2020 – T-Mobile and Sprint announce the final
    closure of their merger on the somewhat ironic date of April 1, 2020.
    The combined carrier includes over 100 million customers, and enough
    networking assets to greatly accelerate and expand T-Mobile’s 5G and
    general infrastructure growth. Shortly after the closure of the merger,
    high-profile CEO John Legere announced that his previously-revealed
    plans to leave the company would be accelerated. He departs shortly
    thereafter, leaving long-time T-Mobile exec Mike Sievert to replace him.
    Later in the year, the combined companies announces plans to wind down
    the Sprint brand as a consumer-facing entity by late summer.
  • 2021 – T-Mobile outlines new "Supercharged for All"
    5G proliferation roadmap, detailing its plans to bring faster
    connectivity to mobile and home broadband customers via C-Band spectrum
    and "Ultra-Capacity" 5G services.

Sprint

While Sprint is on its way out of existence as an independent brand, its new
position as a major part of the structure of the "new" T-Mobile means that its
assets, strengths, and weaknesses will play an important role in the ongoing
success of T-Mobile as a carrier. To that end, it is important to understand the
path Sprint took to the moment it merged with the competitor it previously led.
Below is a description and timeline for Sprint, ending in 2019 with its
agreement to merge with T-Mobile.

Sprint was founded in 1899 as the Brown Telephone Company in Abilene, Kansas.
The company went through a series of name changes between 1899 and 1986,
operating as Brown Telephone Company, United Utilities, and United
Telecommunications (or Telecom). The modern-day company manifested itself in
1986, when United Telecommunications acquired part of a small long distance
company named Sprint. Major milestones include:

  • 1899 – Brown Telephone Company is founded.
  • 1987 – Morgan O’Brien launches Fleet Call,
    the predecessor to Nextel; Sprint completes the first nationwide 100%
    digital fiber-optic network.
  • 1992 – Sprint becomes the first carrier to
    offer commercial Internet access.
  • 1993 – Sprint and Centel merge to provide
    local, wireless, and long distance services.
  • 1994 – Nextel acquires all of Motorola’s
    SMR radio licenses in the US.
  • 1995 – Nextel begins to service the top 50
    markets in the US; Craig McCaw invests $1.1 billion in the company.
  • 1996 – Sprint completes the first
    nationwide 100% digital PCS wireless network; Nextel becomes the first to
    combine digital cellular, two-way radio, and text-numeric paging in one
    phone using Motorola’s iDEN technology.
  • 1997 – Nextel rolls out a national iDEN
    network.
  • 1998 – Sprint buys out its partners in
    Sprint PCS, making it a wholly-owned subsidiary; Sprint unveils plans to
    offer the Integrated On-demand Network (ION) that will allow customers to
    throttle their bandwidth allotment and receive all types of content – voice,
    data, Internet, and video – over a single phone line.
  • 1999 – Sprint announces plans to merge
    with MCI WorldCom in a deal that would have created the largest long
    distance carrier in the US; the deal is eventually blocked by antitrust
    regulators in the US and Europe.
  • 2000 – Nextel Worldwide service becomes
    the largest all-digital wireless coverage in the US and more than 70
    countries.
  • 2001 – Nextel services reach the top 100
    markets in the US, and Direct Connect walkie-talkie service is launched
    nationwide; Nextel is the first to introduce a wireless Java phone in North
    America; Sprint cancels the ION project; Sprint PCS reaches the 14 million
    subscriber mark and enters into an international joint venture with Virgin
    Group, as well as beginning the process of migrating to next-generation
    services using technology based on the CDMA standard.
  • 2002 – Sprint launches PCS Vision, its
    next-generation network service based on CDMA2000 1XRTT, to bring high-speed
    wireless data services to the US; Nextel launches the industry’s first
    Global Positioning System (GPS)-enabled phone (with Motorola).
  • 2003 – Sprint PCS enters the Wi-Fi market;
    Sprint announces that it will end the tracking stock for Sprint PCS and
    re-integrate the FON group and the PCS group; Gary Forsee becomes Sprint
    President and CEO.
  • 2004 – Nextel launches Wireless Broadband
    and doubles its coverage area in the first year of service; Sprint unveils
    plans to deploy high-speed Evolution-Data Optimized (EV-DO) technology
    across the PCS network; Sprint announces a merger with Nextel, which will
    put it firmly in third place as a wireless provider in the US.
  • 2005 – Sprint Nextel begins operations.
  • 2006 – Sprint spins off its local
    communications division as EMBARQ on May 17, 2006; Sprint Nextel announces
    that it will deploy a 4G WiMAX network that will provide broadband wireless
    services to its customers.
  • 2007 – Sprint and Clearwire plan to merge
    WiMAX networks; Sprint announces that it will market the WiMAX network under
    the Xohm brand; Gary Forsee steps down as the company’s chairman, president,
    and CEO; his resignation underscores Sprint’s struggle to integrate the $36
    billion purchase of Nextel; Sprint and Clearwire call off the WiMAX joint
    venture; Sprint soft launches its WiMAX network in Chicago and
    Baltimore-Washington D.C.; Dan Hesse takes over the helm as president and
    CEO.
  • 2008 – Sprint announces a write-down of
    $29.7 billion in good-will from the Nextel merger in the fourth quarter of
    2007, creating a loss for the quarter of almost that amount; Sprint and
    Clearwire combine their next-generation wireless Internet businesses and
    with the closing, Sprint contributes all of its 2.5 GHz spectrum and its
    WiMAX-related assets, including its XOHM business, to Clearwire; Sprint
    enters into an MVNO arrangement with Clearwire that enables it to resell
    Clearwire’s 4G wireless services under the Sprint brand name; Sprint
    launches a 3G/4G dual-mode aircard that will switch between mobile WiMAX
    service and Sprint’s 3G CDMA wireless service; Sprint loses over 4.5 million
    customers for the year.
  • 2009 – Sprint launches a new plan that
    combines the Simply Everything plan with mobile broadband, as well as
    announces new pricing plans for its Nextel Direct Connect business users;
    Sprint’s prepaid mobile unit, Boost Mobile, launches a $50-a-month
    nationwide calling plan, with unlimited voice, text, and Web access; Sprint
    announces that it will lay off an additional 8,000 employees by the end of
    Q1. Sprint Nextel announces a 7-year deal with Ericsson that will outsource
    all Sprint network operations to Ericsson. Sprint acquires iPCS and Virgin
    Mobile. 
  • 2010 – Sprint brings to market a 4G
    Android-powered smartphone; Sprint continues to roll out 4G service to more
    US cities. Sprint announces that for the fourth quarter 2010, it landed 1.1
    million net subscribers, its first subscriber gain since the second quarter
    of 2007. 
  • 2011 – Clearwire will suspend further
    expansion into the retail market and plans to build out its network. Sprint
    reduced its voting shares in Clearwire to avoid a default trigger on its
    debt. Joseph J. Euteneuer appointed as Chief Financial Officer. Files a
    formal complaint with the FCC to block the proposed acquisition of T-Mobile
    USA by AT&T. Signs a $20 billion 15-year network sharing deal with
    LightSquared. Files a lawsuit in federal court in the District of Columbia
    in an effort to block the proposed T-Mobile/AT&T merger. 
  • 2012 – Sprint announced it no longer has a
    majority stake in Clearwire. Sprint said it will end Nextel service on June
    30, 2013.
  • 2013 – In July, SoftBank and Sprint Nextel
    merged. As part of the transaction, SoftBank invested approximately $21.6
    billion (JPY 1.8 trillion) in Sprint, and Sprint was renamed Sprint
    Corporation. Sprint completed the acquisition of the remaining interests in
    Clearwire that it did not previously own in a transaction worth $3.4
    billion. 
  • 2014 – Marcelo Claure, founder of
    Brightstar, is named CEO of Sprint, replacing Dan Hesse.
  • 2015 – SoftBank increased its stake in
    Sprint to 83%. Sprint announces a new strategy to overhaul the company into
    four regions that focus on customer service and retention. 
  • 2016 – Sprint announced that it would
    create or return 5,000 jobs to the US in various functions including sales
    and customer support. This announcement came after President-elect Donald
    Trump began pushing companies to bring jobs back to the US from overseas. 
  • 2017 – In an effort to compete with AT&T
    and Verizon, Sprint bought a one-third stake in streaming music company
    Tidal for $200 million. 
  • 2018 – Sprint and T-Mobile announce that
    they will merge in a transaction valued at $26 billion. The combined company
    will utilize the T-Mobile name. Marcelo Claure is elevated to Executive
    Chairman and Michel Combes is appointed CEO. Combes previously served as
    president and CFO. Sprint is awarded $26.9 million in damages from Wireless
    Buybacks as a result of a handset trafficking scheme. Andrew Davies is
    appointed CFO. Sprint and T-Mobile receive approval from the Committee on
    Foreign Investment in the US to move forward with their merger. 
  • 2019 – Following a year-long battle with
    regulators, Sprint and T-Mobile receive all necessary approvals and announce
    plans to close their merger early in the following year.

Strategy

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Prior to its merger with Sprint, T-Mobile aggressively pursued its "Un-carrier" strategy, which includes
several elements. Through this Un-carrier value proposition, T-Mobile sought to
address consumer "pain points" and frustration with wireless service cost and
complexity. Although the company has announced relatively few plans for its
post-merger strategy, there is little evidence that it wishes to give up its
role as a proven industry disrupter. This is the logical path given the fact
that, over the years, this policy has led to several successful promotional and
permanent offerings designed to ease the process of acquiring and maintaining
services for subscribers. These have included:

  • Simple Choice Plans
    Eliminating annual service contracts and providing "affordable"
    rate plans without caps or overage charges.
  • JUMP (Just Upgrade My Phone)
    Streamlining the mobile handset upgrade process.
  • Reduced Fees – Includes international
    calling rates and roaming fees, as well as international data roaming.
  • Reimbursed Fees – Includes the
    early termination fees of users switching from other carriers.
  • Unlimited Streaming Both
    audio and video streaming are offered on an unlimited basis (from
    participating content providers) via the company’s Music Freedom and
    Binge-On plans, respectively.
  • 5G for All Provides access to free 5G
    phones via trade-in, as well as greatly expanded availability of mobile and
    in-home 5G broadband services and incentives to switch from competing carriers.

With all of that in mind, the primary focus of T-Mobile’s strategy
exploiting the combination of its newly acquired Sprint
assets to expand its 5G network availability. This includes leveraging network infrastructure,
services, and existing subscription plans to proliferate not only the reach of
its 5G network, but also the number of customers taking advantage of it. The seemingly daunting process of
combining to massive, nationwide telecommunications networks and their
respective customer bases is not something that can be accomplished quickly, no
matter how great a focus is placed on it. That is why T-Mobile continued to
operate the Sprint brand for some time following the merger, to make the
transition smoother until such time as it could successfully integrate the
millions of customers brought on board with Sprint. At the time of writing, that
transition, at least from a customer's perspective, is largely complete.
However, internally, T-Mobile's quarterly reports suggest the process of fully
integrating assets and deriving synergies is ongoing.

Strengths

T-Mobile was a "Big 4" carrier in the US, alongside AT&T, Verizon
Wireless, and Sprint. Now, with the addition of Sprint, it is a "Big 3"
carrier, and a direct threat to the duopoly of AT&T and Verizon Wireless
which has dominated the wireless carrier market in the US for more than
a decade.

Although the addition of Sprint’s assets is certainly a boon to the combined
carrier’s network, it was already ascendant prior to the transaction. Its rapid
expansion goals allowed it to invest funds into acquiring blocks of wireless
spectrum to expand its own network capacity, such as its 2014 acquisition of AWS
and PCS spectrum from Verizon. This produced a nationwide network that could
directly compete with Verizon Wireless’ in many, many independent tests, an
amazing feat for a company that spent most of its life with a tiny fraction of
the customers and resources enjoyed by its largest competitor.

This level of success is largely due to how the carrier exploited its
relatively meager assets under the
leadership of its well-known, occasionally controversial former CEO John Legere. His
"Uncarrier Moves" and unorthodox habit of disrupting the wireless industry led
the carrier from its position as dead last among the top four carriers, to a more impressive
third-place finish, with it surpassing Sprint before it ever made any firm plans
to acquire its former competitor. While it remains to be seen if new CEO Mike
Sievert intends to continue using Legere’s playbook over the long term, it does appear to be the
most likely scenario. Sievert served under Legere as COO of the company before
taking over leadership, during which time he participated heavily in many
Uncarrier launches and policy changes. Sievert’s ability to maintain the
momentum T-Mobile will have coming out of this merger is one of the major
deciding factors in the long-term future of the company.

Another of these factors is the combined carrier’s ability to compete in the
most cutthroat area of telecom services right now: 5G. T-Mobile was already
among the leaders in this arena prior to the merger, with it claiming the crown
as the first of the "Big 3" carriers to launch "nationwide" 5G services. As is
often the case with telecom claims, it is arguable exactly how nationwide
T-Mobile’s network is, and it is worth mentioning that the speeds it provides
are a fraction of those offered by the much smaller, much more sparsely
populated mmWave-based 5G service areas offered by Verizon Wireless and AT&T. However,
the fact that T-Mobile was able to at least technically claim
this title should go a long way in attracting consumers that are hungry for the
faster download speeds and greater network capacity promised by 5G services.

That said, T-Mobile is remains in the thick of integrating the
surprisingly robust 5G assets Sprint managed to accumulated prior to its demise.
The now defunct company had already launched quite a few 5G service areas using
its 2.5GHz spectrum in cities like Atlanta, Chicago, Dallas, New York, and
Washington, DC. T-Mobile has only now begun fully leveraging the 2.5GHz spectrum 5G
services this merger provided in a few metro areas across the country. When the full scope of Sprint’s 5G assets are brought online, it
may be hard for AT&T and Verizon Wireless, both of which are creating their 5G
networks from scratch, to keep pace with its growing fifth generation
deployments.

Weaknesses

Like all major telcom companies, T-Mobile faces several risk factors, among them:

  • Wireless Spectrum Issues – Related to
    spectrum scarcity, cost, and regulations concerning its use.
  • Network Capacity Issues – As data services’ demand
    increases T-Mobile continues to implement new ways to provide customers
    with large amounts of data per month, while maintaining its own network
    health by restricting factors like streaming video resolution, audio
    stream bit rates, and more. Although this seems to have worked to this
    point, it has aroused the ire of more than a few consumers, and had
    previously
    garnered the attention of the FCC as it was believed to constitute a violation of
    net neutrality laws. While the FCC changed its opinion drastically
    under the Trump administration, another shift in the stance of US
    regulators under the new Biden administration could spell disaster for the zero-rated data services that
    have become the backbone of T-Mobile’s feature set.
  • Growing too Fast for its Own Good – T-Mobile leapfrogged Sprint to become the third-place wireless carrier in the US.
    However, that was accomplished with massive ad spending, slashing consumer
    costs, and other risky business maneuvers. While this strategy earned the company itself, and its
    long-time, outspoken leader John Legere, a
    reputation of being a maverick and a disruptor of the wireless industry,
    it also put the carrier in the precarious position of needing to make
    its significant spending back every quarter. That has, to this point,
    largely worked out for T-Mobile, but it now has to foot the bill for its
    merger with Sprint, as well as all of the associated costs thereof. The
    impacts of this can be seen in the past several quarters of the
    company's financial results. Thankfully, it seems as if it has only had
    a minor slowing effect on the carrier's financial growth, and a positive
    impact on its customer base.
  • Turning Sprint’s Reputation Around –
    Prior to merging with T-Mobile, Sprint had spent several years as
    something of the butt of the jokes around the wireless carrier industry.
    It earned a, largely deserved, reputation for having the worst network,
    worst customer service, and least profitable operations. Despite
    attempts to turn this around, nothing seemed able to accomplish much.
    Sprint plummeted while T-Mobile ascended. Now, T-Mobile finds itself in
    the unusual position of having to pick up those pieces and use them to
    build itself up. It will have to prove to Sprint customers and the
    general public that it is truly the better carrier of the two, able to
    provide the same level of service and disruptive, consumer-positive
    moves that it has provided in recent years, despite now serving a
    considerably larger customer base.

Outlook

While T-Mobile is almost certainly in the most dominant position it has ever
been in, thanks to the Sprint merger, it is also in perhaps the most precarious
in its history. This is due to the fact that its resources will now be stretched
thinner than ever due to multiple factors. Among them are the ongoing
integration of Sprint’s network, its need to fulfill all of the regulatory
milestones it promised to federal authorities in order to secure the approvals
needed to close the Sprint merger, and its ongoing responsibilities to
shareholders to keep the company profitable in the face of the greatest
financial disruption in its history.

Since we remain in the earliest days of the "new" T-Mobile, it remains
impossible to determine exactly how well it will stand up under this massive
weight. Further complicating the situation is the company’s new leadership.
While Mike Sievert most definitely learned the ways of industry disruption at
the knee of former CEO John Legere, his relatively short tenure has not existed long
enough yet to determine if he is independently capable of providing the same
flashy, terrifying-to-competitors, bombshell announcements Legere came to be
known for. If he can manage to continue the momentum of Legere’s "Uncarrier"
philosophy, all while pleasing all of the masters that were mentioned in the
previous paragraph, then Legere’s apparent confidence in him as a replacement
will have been well earned.

While Sievert and everyone on the T-Mobile team will be working tirelessly
towards this goal, the duopoly of AT&T and Verizon Wireless will, with all their
ample resources, be continuing to work towards crushing their newly ascendant
competitor back down to where it began. So far, their efforts have proven
relatively unsuccessful, with T-Mobile continuing to paint both organizations as
harshly anti-consumer, as stodgy and slow-moving, and as the inferior choice to
its young, growing network. While all of this may appear true in ads, the
reality of the situation is that both companies have a staggering amount of
resources to put towards making sure the new T-Mobile fails. Although both were
relatively complacent when T-Mobile was a rising upstart, existing as a true
threat only to Sprint, they are now almost certainly bending their ample
toolkits towards combating a company that, for the first time in over a decade,
has a real chance of unseating them from the top two spots in the US wireless
market.

Product Lines

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T-Mobile provides wireless voice, text,
and data services nationwide, with a network that covers "all major
metropolitan areas."

The carrier focuses on three
primary product and service categories: Branded Postpaid, which traditionally accounts for
the majority of
its revenues; Branded Prepaid; and Wholesale, which encompasses T-Mobile’s M2M and
MVNO customers operating on the T-Mobile network but managed by wholesale
partners.

Table 1 includes the wireless voice and data services that the company offers.

Table 1. T-Mobile US Services

Service

Description

Voice

Individual, Family, Prepaid, and Business wireless voice plans over its
networks, under the T-Mobile brand.

It also offers Mobile Broadband-only plans with overage coverage; as well as
no-contract weekly and monthly plans for e-mail, Web browsing, photo
sharing, and video streaming.

Messaging

Domestic and international text messaging, IM, picture and video
messaging, Album, E-mail, and message blocking.

Internet and E-Mail

Network-based Internet access for basic feature and smartphones; as well
as services for other devices.

Business Plans

Customizable
features for SMB and enterprise businesses, with additional
features available for larger workforces. T-Mobile also offers
Wi-Fi and international services for businesses.

T-Mobile HotSpot

Network services for various devices and PC cards.

In-Home Broadband T-Mobile offers, in a few select markets, access to in-home
broadband services via its 5G network. The company has hinted at
plans to expand these offerings nationwide, but has, so far,
kept rollouts of this services to a minimal level.

International Services

International-specific Talk & Text plans that include long distance,
roaming, and hotspot services. T-Mobile also sells devices for
international calling while traveling.

411 and More

Live 411 operator services for looking up phone numbers and accessing
other features.

Competitors

T-Mobile’s direct competitors now only include the other two large national carriers: AT&T
and Verizon Wireless. The company also competes with numerous smaller
regional carriers and MVNOs (mobile virtual network operators), such as TracFone,
Consumer Wireless, and others that tend to offer no-contract, prepaid service plans.

AT&T: http://www.att.com/
TracFone Wireless: http://www.tracfone.com/
Verizon Wireless: http://www.verizonwireless.com/

Activity

[return to top of this report]










Mergers, Acquisitions, and Divestitures

T-Mobile marked a major milestone in its history,
simultaneously announcing the full unification of the Sprint and
T-Mobile brands, and officially launching its “nationwide
standalone 5G network.” As planned, the company noted
the full unification of the Sprint brand into the new T-Mobile,
officially ending an era with the absorption and rebranding of
all Sprint-branded assets. Going forward, all products and
services will be offered under the T-Mobile name, and all former
Sprint customers will be served by T-Mobile for billing and
customer service purposes. In addition to this major transition,
T-Mobile also announced
that the “world’s first nationwide standalone 5G network” is now
live. The final push to make the next generation network
nationwide included a wave of rollouts that brought an additional
30 percent coverage expansion. In total T-Mobile now offers 5G
access to 250 million individuals spread across 7,500 cities and
towns. The carrier notes that its Standalone Architecture (SA)
allows it to create a network in which “transformative
applications are made possible.” It claims its engineers have
already seen a 40 percent improvement in latency during testing,
over competing solutions. Additional information on coverage
areas is available at the above link.

(08/06/2020)

T-Mobile has sent a
request to California’s Public Utilities
Commission (CPUC) to roll back three main requirements it had
previously agreed to in order to secure regulatory approval for
its merger with Sprint. The
trio of requests includes a two-year delay in new 5G coverage and
speed targets from their original 2024 deadline; the right to use
FCC testing for commitment milestones instead of a newly created
system; and authorization to eliminate a requirement that it add
1,000 full-time jobs. The carrier largely blamed its inability to
meet its original targets on the ongoing COVID-19 pandemic and
its effect on business and network proliferation progress. While
the novel coronavirus has surely impacted the carrier, as it has
nearly all businesses, the request for leniency in its
commitments is unlikely to sit well with the critics of its plans
to merge with Sprint. Many of them warned that T-Mobile may be
making promises it had no intention of keeping, in order to
secure the regulatory nods needed for its transaction to proceed.
CPUC had not responded to the request at the time of writing.

(06/23/2020)

New T-Mobile CEO
Mike Sievert revealed at a recent investor
event
that the company is aiming at this Summer as the
timeframe when it will wind down Sprint as a consumer brand.
Now that the two carriers have officially closed on their merger,
T-Mobile, as the combined company is called, has been working to
integrate networks and assets, but has been keeping the Sprint
branding alive for the consumer market. That will apparently
change this summer when the consumer-facing segments of
T-Mobile will join the already-transitioned enterprise services
segments in abandoning the Sprint brand name. Sievert noted that
the company has always been targeting the summer as its
timeframe, but did admit that delays relating to the ongoing
COVID-19 pandemic pushed the target window back from early
summer to mid summer. While some reports have
pegged August 2 as the official sunset date, T-Mobile has not
provided a specific date.

(05/13/2020)

Products and Services

T-Mobile introduced a
new slate of services designed to “help fuel a resurgence by
America’s small businesses in the post-pandemic, digital-first
world.” The new T-Mobile for Business line of services includes
smartphone plans that have been “purpose-built for business with
unlimited 5G access,” broadband services, and Facebook
advertising. The last item includes up to three one-on-one
consultations with digital marketing experts and $200 of digital
ad credits for use on Facebook or Instagram. The new solutions
will be available beginning June 1. Additional details on all
aspects of the new T-Mobile for Business offerings can be found
within the company’s press release.

(05/20/2021)

T-Mobile announced
its intention to participate in the federal Emergency Broadband
Benefit (EBB) program. It joins Comcast, which also
recently announced its participation, in offering discounted
broadband to eligible families. In T-Mobile’s case, this discount
provides a discount of up to $50, or $75 if the family in
question inhabits tribal lands. Customers can access the discount
through the T-Mobile, Sprint, Metro, and Assurance Wireless
brands across the US, Puerto Rico, and US Virgin Islands.
Customers can begin signing up for the program on May 12 by
visiting this
site
.

(05/03/2021)

T-Mobile introduced
its new SyncUP
TRACKER
, a mobile tracking device designed to help users
locate lost or stolen items via the carrier’s mobile network. The
units make use of T-Mobile’s 4G LTE infrastructure and GPS
technology to provide “near real-time location tracking even when
miles away.” Additional features include the ability to set up
geo-fencing options that will inform the user when the tracker
leaves their designated area; the option to have the tracker ring
to help locate it by sound; an onboard light sensor to help
detect when the tracker is in a bag; and an IP67 rating for water
and dust resistance. The SyncUP TRACKER runs on a 900 mAh
rechargeable battery, which T-Mobile claims will provide up to
seven days of usage. The SyncUP TRACKER joins competing
items like the Tile product line and Apple’s Air Tags. Each
device will run consumers $2.50 per month, or $60 at full retail
price. It should be noted that a $5 per month service
subscription is also required for use.

(04/28/2021)

T-Mobile unveiled its
latest “Uncarrier Move” in the form of its new 5GforAll initiative. The nationwide effort focuses
on bringing 5G services to the masses through four tentpole
efforts: access to free upgrades to 5G smartphones; upgrade
promotions for customers transitioning from other carriers to one
of T-Mobile’s 5G Unlimited plans; the proliferation of T-Mobile’s
5G-based Home Internet service to new markets; and the launch of
T-Mobile Hometown, a commitment to
“bring 5G to rural America, hire 7,500 new employees in small
towns and rural communities over the next few years, and provide
$25 million in grants for community development projects.”
Additional details on all four areas of the #5GforAll initiative
can be found within T-Mobile’s press release.

(04/07/2021)

T-Mobile announced a
major milestone in its efforts to expand support for the
STIR/SHAKEN protocol designed to combat unwanted spam and
robocalls. The FCC-supported technology allows carriers to verify
calls actually originate from their purported source, preventing
number spoofing and helping to track bad actors. According to the
carrier, it now has STIR/SHAKEN relationships in place with “ALL
major networks in the US to deliver number verification to
customers.” This is thanks to the formation of a new relationship
with Spectrum Voice from Charter Communications. T-Mobile noted
that this milestone took place well ahead of the June 2021
deadline set by the FCC, when the regulator will require all
major network providers in the US to support the technology.
Additional information on STIR/SHAKEN, as well as other T-Mobile
anti-spam measures, can be found within the company’s press release.

(03/25/2021)

OnePlus introduced
its latest flagship smartphone line, including the OnePlus 9 and
OnePlus 9 Pro. The OnePlus 9 is the smaller of the two devices,
sporting a 6.55-inch display that runs at a resolution of
2400×1080 with a 120Hz refresh rate. The smartphone is powered
by Qualcomm’s Snapdragon 888 chipset, with either 8 or 12GB of
RAM and either 128 or 256GB of onboard storage. The unit’s
camera array, which was developed in collaboration with high-end
photo equipment maker Hasselblad, includes a 48MP main
camera, a 50MP ultrawide shooter, and a 2MP monochrome
camera for certain effects. The device also includes a
front-facing camera running at 16MP. Meanwhile, the OnePlus 9
Pro features a 6.7-inch display running at 3216×1440 and 120Hz in
front of essentially the same selection of internal components as
its smaller cousin. The camera arrays are also the same, aside
from the addition of a second, 8MP telephoto lens. Both devices
support 5G and 15W fast charging. The OnePlus 9 is up for sale
now at $729, while the OnePlus 9 Pro can be had for $1,069.
Customers can purchase both smartphones directly from OnePlus
or through an exclusive carrier agreement with T-Mobile.

(03/23/2021)

T-Mobile customers
will soon gain access to a new Pandora app that adds access to
content from SiriusXM. Pandora, which is owned by SiriusXM, will
soon offer an “enhanced” version of its app exclusively to
T-Mobile customers that includes ad-free weekend listening to a
new “Top Tracks” hub. This offer will last through March 2022,
and will feature songs from SiriusXM stations such as The Highway
and Hits 1. The special version of the app is available from
within T-Mobile’s T-Mo
bile Tuesday’s
application.

(03/18/2021)

T-Mobile has reportedly updated
its privacy policy to allow it to automatically
enroll its subscribers into targeted advertising programs, if
they do not opt out. According to The Wall Street Journal, the
carrier plans to begin sharing users’ online activities and usage
data with targeted ad partners on April 26. The carrier told the
Journal that it has “heard many say they prefer more relevant ads
so we’re defaulting to this setting,” However, the move is unlike
to sit well with privacy advocates, as it goes beyond even the
anonymized group tracking both AT&T and Verizon employ by
default. Users wishing to opt out of the tracking can do so by
tapping on the “More” tab’s “Advertising & Analytics” section. In
there, users can switch off the toggle switch marked “Use my data
to make ads more relevant to me.”

(03/09/2021)

T-Mobile introduced

T-Mobile WFX
, a trio of new solutions targeted at providing
connectivity and collaboration for at-home workers. The carrier
The new suite includes T-Mobile Enterprise Unlimited, a set of
wireless plans with unlimited 5G for the same price as T-Mobile’s
shared, pooled rate plans; T-Mobile Home Office Internet, a new
home broadband service designed to provide remote employees
with their required level of bandwidth and security; and T-Mobile
Collaborate, a suite of “mobile-first, cloud-based tools for
business calling, messaging and conferencing from virtually any
device, anywhere.” Pricing for the new services begins at $90 per
line, per month for T-Mobile Home Office Internet and $37 per
line, per month for Enterprise Unlimited with T-Mobile
Collaborate. Additional information about all three services can
be found at the link above.

(03/03/2021)

T-Mobile announced
the deployment of its Ultra Capacity 5G network “in and around
the Miami VA (Veterans Affairs) Healthcare System.” The carrier
claims the new rollout will “improve critical telehealth services
and provide more efficient care across the facility with instant
wireless access to large amounts of patient information.” The
company already provided in-building 4G LTE wireless connectivity
to more than 50 VA Healthcare Systems before this expansion.
More information about T-Mobile’s VA-focused services can be
found here.

(03/01/2021)

T-Mobile doubled
down on its revival of the truly unlimited data plan with the
introduction of an update to its 55+ plan that creates a new
“Max” tier. The change greatly expands the features and options
of the carrier’s senior-focused smartphone plan, adding Netflix
on Us and a new ” Magenta MAX Unlimited 55″ option which
provides the same completely unlimited access to 5G and 4G
services just launched with T-Mobile’s new Magenta Max plan. The
standard Magenta Unlimited 55 plan will remain available, and
will also get access to Netflix Basic on all lines for $35 per
month. Meanwhile, the new Magenta Max Unlimited 55 option will
add truly unlimited data, 40GB of mobile hotspot usage (up from
5GB), and access to Netflix Standard on all family plans for $45
per line, per month. Additional information about both plans,
including a side-by-side comparison, can be found within T-Mobile’s press release.

(02/24/2021)

T-Mobile introduced
Magenta Max, a new, 5G-centric plan for using seeking “unlimited
Premium Data.” The plan’s key feature is its provision of both 4G
and 5G data on a completely unlimited basis, with no normal
throttling based on the user’s data monthly consumption. The
carrier notes that this plan was designed for power users
participating in tasks such as UHD video streaming, gaming, and
more. The plan also includes up to 40GB per month of mobile
hotspot data for connected devices. This announcement comes as
T-Mobile revealed it is also expanding its existing Magenta plan
to now include 100GB of monthly data allowance (up from 50GB)
and 5GB of mobile data (up from 3GB). Pricing for the core
Magenta plan begins at $47 per line, while the new Magenta Max
subscription bumps that up to $57 per line. Additional
information about both plans can be found within T-Mobile’s press release.

(02/22/2021)

T-Mobile President of
Technology Neville
Ray
confirmed in a tweet that his company’s network is suffering “network
issues following severe weather in several areas of the country
and especially across Texas.” The state of Texas has been
experiencing some of its coldest weather in several decades
during the ongoing Winter season, with widespread power outages
being caused by snow and ice storms. However, according to
customer reports on downtime tracking site DownDetector T-Mobile was
suffering more widespread
outages across the US
. Ray promised that the carrier’s
technicians are “working hard to restore service,” and asked
subscribers to “stay tuned, stay safe,” and thanked them for
their patience.

(02/15/2021)

T-Mobile reached an
agreement to bring NBA content to its TVision LIVE service. The
carrier will make the NBA TV package – which is jointly managed
by the league and Turner Sports – available “at no additional
charge” on TVision LIVE’s TV+ tier. Options include live
out-of-market games, highlights, exclusive access to live events
and press conferences, fantasy insight, and other original
programming. The Live TV+ tier also includes professional
football, baseball, golf, and regional sports content; local
broadcast stations; and national sports networks. The service is
available for T-Mobile and legacy Sprint subscribers for $50 per
month.

(01/18/2021)

T-Mobile announced
that it is now supporting new 911 technologies to help first
responders act more quickly and efficiently. The new features,
Location-Based Routing and Next Generation 911 connectivity over
IP, are designed to “speed up emergency response times by
helping pinpoint the location of callers, reducing the need for
call transfers, and enabling a more efficient and effective 911
communication system.” Location-Based Routing does this by
leveraging low latency device-based location technology to ensure
users are connected to the optimal call center the first time,
without rerouting. Meanwhile, Next Generation 911 technology
helps first responders more easily handle high call volumes and
integrate incoming calls into connected response systems like
emergency alert text messages and crash detection systems.
T-Mobile noted that this new level of support joins its recent
adoption of the national 988 Emergency Lifeline number for the
National Suicide Prevention Lifeline.

(12/17/2020)

T-Mobile revealed that its original TVision IPTV service
will be shutting down on December 30, 2020. The service was
launched following the company’s acquisition of Layer3 in 2017,
providing users access to live TV over the Internet. It should be
noted that this offering is not the same as the recently-launched
live TV streaming service which launched on November 1 under the
same name. Unlike the new TVision, the service that is being
sunset required a set-top box and connected TV, with subscription
fees as high as $90 per month. Subscribers of the shuttered
service will be offered free access to the new TVision service
based on their previous subscription duration and tier.

(11/19/2020)

T-Mobile announced
that it has “nearly doubled” the number of cities equipped with
its mid-band 5G network. With this announcement, the company’s
2.5GHz 5G services are now available in 410 cities and towns
across the country. The network supports download speeds of up
to 300Mbps, which T-mobile claims is 7.5 times faster than its 4G
LTE network. T-Mobile noted it has no plans of slowing its rapid
rollout of mid-band 5G, with the goal of reaching 100 million
people by the end of 2020. A full list of new cities added during
this wave of the company’s rollout can be found within its press release.

(10/28/2020)

T-Mobile‘s latest
“Uncarrier” move is targeted squarely at the traditional pay-TV
market, with the company launching its own Web-based live and
on-demand TV solution. Dubbed T-Vision, the new service offers
customers access to over 30 live television
channels
for $40 per month. This subscription can be
expanded with several extras, including 10 regional sports
channels for an additional $10 per month; access to several more
sports networks and NFL RedZone for another $10 per month; and
a selection of “a la carte” premium networks such as Stars, EPIX,
and Showtime, for $5.99 per month and up. In addition to these
add-on offerings, T-Mobile is also launching a budget-minded
standalone service dubbed T-Vision VIBE. This subscription, which
can be purchased with or without a companion T-Vision
subscription, provides access to more than 30 channels not found
within the standard subscription for just $10 per month. T-Vision
will launch with support for a variety of devices, including iOS
and Android tablets and smartphones, Apple TV, Amazon’s Fire
TV, and Google’s Android TV or Google TV. Potential customers
can also purchase a $50 TVision HUB, which uses Android TV to
run the T-Vision app, as well as a selection of other streaming
video apps, such as Netflix. T-Vision will be available to all
current, postpaid T-Mobile subscribers starting November 1. This
will be followed by “legacy Sprint customers” later in the same
month, and the general public sometime in 2021.

(10/27/2020)

T-Mobile announced a
new venture fund specifically targeting 5G innovations. The
simply-named T-Mobile Ventures is a “multi-year investment fund
designed to fuel 5G innovations by backing early and emerging
growth companies developing transformative 5G products and
services for the T-Mobile network.” The carrier will provide
funded startups with benefits such as access to network and
engineering expertise, “go-to-market infrastructure,” and
investment backing. T-Mobile hopes to focus on four key areas of
5G development: edge compute solutions, network security,
distributed workforce solutions, and industrial IoT (Internet of
Things). This new effort joins existing T-Mobile development
outreach programs such as its T-Mobile Accelerator and 5G Open
Innovation Lab.

(10/21/2020)

Google has begun
directly selling
specialized, unlocked versions of Samsung‘s next-gen Galaxy
variants for use with its Fi service. Availability includes the
Galaxy Note20 5G, Note20 Ultra 5G, S20 5G, S20+ 5G, S20 Ultra
5G, and A71 5G. Google Fi’s service includes access to T-Mobile 5G connectivity,
nationwide, to support voice calls, texting, and data access, in
addition to full HD 1080p video calling. As part of the
announcement, Google noted that it will offer credits of
$150-$300 when purchasing a device and activating it on Fi’s
network. A full list of supported handsets – which can either be
purchased outright from the site or unlocked to support T-Mobile – is available via the
Google Fi Web site.

(10/12/2020)

T-Mobile announced
that it is rolling out a new $50 per month high-speed Internet
service across more than 450 US markets. The no-contract Home
Internet service is being positioned, in particular, across a
number of areas that were “abandoned by AT&T” following its decision to
discontinue DSL home broadband at many locations. The offering –
which comes as T-Mobile looks to launch 5G Home Internet across
the US – makes use of the carrier’s combined nationwide LTE
network, and covers more than 20 million households across “vast
swaths of the country.” Although Home Internet will be available
to carrier subscribers and non-customers alike, one must enroll
in T-Mobile’s AutoPay on at least a month-to-month basis to
unlock the $50 rate. A complete list of the rollout areas is available via the T-Mobile
Web site.

(10/12/2020)

T-Mobile, Ericsson, LG, and MediaTek jointly announced
a new accomplishment in experimental networking technology
which could provide faster speeds and broader coverage on the
carrier’s 5G network. The quartet has successfully tested New
Radio Carrier Aggregation (NR CA) technology on a commercially
available smartphone for the first time. The experiment, which
was carried out using an LG Velvet unit, combined connections to
T-Mobile’s 2.5GHz mid-band and 600MHz low-band spectrum to
provide simultaneous high speeds and wide-area coverage. The
provider claims testing showed a 20 percent increase in speed
over its commercially available 5G network, while also providing
a stable connection at the same range as its slower 600MHz
towers. T-Mobile noted that this development will be deployed to
its commercial network to further enhance connectivity, but did
not provide a timeline for when the technology might be publicly
available.

(10/06/2020)

T-Mobile introduced a
new promotion whereby it will allow the activation of up to two
5G lines-of-service for $35 each per month. The “limited time”
deal is touted as helping to “make 5G more affordable for
everyone,” and includes unlimited voice minutes, texting, and
data, 5GB of mobile hotspot data, and 100GB of Google One cloud-based
storage. Eligible new and existing customers can enroll in the
promotion when signing up with Autopay, with the actual discount
kicking in after the first month’s payment of $80. For current
subscribers, a new line has to be activated under those
conditions to take advantage. Further information is available via the
T-Mobile Web site.

(10/05/2020)

T-Mobile announced
that its 5G network is now available in 121 more cities and
towns. The new markets all utilize the company’s mid-band
(2.5GHz) 5G spectrum, offering about 300Mbps download speeds.
With this announcement, T-Mobile’s mid-band 5G is now available
in a total of 210 markets across the US. The numerous service
areas added in this latest rollout include locations in Arkansas,
Delaware, Florida, Georgia, Illinois, Indiana, Maryland,
Massachusetts, Michigan, Minnesota, Missouri, New Jersey, New
York, North Carolina, Ohio, Oklahoma, Pennsylvania, Tennessee,
Texas, and Virginia. The company has no plans of slowing its 5G
expansion, promising to launch “thousands more” locations before
year’s end. A full list of the markets added in this wave of 5G
expansion can be found within T-Mobile’s press release.

(09/28/2020)

T-Mobile is rolling out
new Magenta for Business plans for customers. Both the Magenta
for Business and Magenta Plus for Business subscription tiers
include access to unlimited voice minutes, texting, and 5G data,
and cost $40/month or $50/month per line, respectively, for up to
four lines when enrolled in AutoPay. The promotion includes free
access to Microsoft
Office and Teams apps, as well as other cloud-based services on
“up to two lines per account.” The announcement comes as
T-Mobile revealed plans to upgrade its 7,000+ retail stores – and
more-than-double its staff – to specifically cater to helping
business customers. Further info is available via the
T-Mobile Web site.

(09/21/2020)

ZenKey a multi-factor
authentication solution that was announced just over one year ago
is now officially live. The security product is unique due to its
support from most of the major telecom companies in the US,
including Verizon
Communications
, AT&T,
T-Mobile, and several
others. The purpose of ZenKey is to provide a singular
“network-based identity solution” capable of providing a
two-factor authentication option that is tied to a person’s
smartphone through their network provider, rather than a set of
credentials alone. The product supports both Android and iOS, and
is designed to allow one-tap logins on sites and apps that
support its technology. While ZenKey requires that the
applications and sites in question be partnered with it, the
company has already racked up several participating entities,
including IBM and ForgeRock. It expects to expand its support as
additional partners are brought on board. ZenKey is available for
download from the Apple App Store and via Google Play.

(09/17/2020)

T-Mobile announced a
new achievement in deploying its MU-MIMO-based 5G network.
The company reached a new speed threshold by deploying
commercially available MIMO (Massive Input Massive
Output) radios with 64 total antennae from Ericsson to connect to a
OnePlus 5G smartphone, currently sold at T-Mobile, at a download
rate of 350Mbps per data stream. Due to the dual-stream
capability of the hardware, this makes it possible to transmit
more than 700Mbps of data to connected devices over the 2.5GHz
band. The company notes that this represents a data transmission
of more than 50bps/Hz, a rate “much higher than the single digit
efficiency typically experienced today.” The company did not
provide any timeframe for when customers can expect such
innovations to reach the company’s public-facing network.

(09/10/2020)

T-Mobile introduced
its new T-Mobile for
Business Partner Program
, a combined offering designed to
unify the former T-Mobile and Sprint business partner programs.
According to the carrier, this new program will “create a better
experience for customers and partners” by changing “the way
channel partners work with T-Mobile, making it easier than ever
to create value for customers.” Enhancements made to the new
program include doubling the number of available sales and
engineering experts available to program members, simplified
selling contracts, an updated partner program portal, enhanced
marketing resources, and more flexible sales models. The new and
improved T-Mobile for Business Partner Program is available now.

(09/08/2020)

T-Mobile detailed its
new and expanded Project 10Million program, a
“$10.7B initiative aimed at delivering internet connectivity to
millions of underserved student households at no cost to them.”
The outreach program will see the carrier partnering with school
districts across the country to offer free wireless hotspots,
high-speed Internet services, and mobile data, as well as access
to laptops and tablets, without any costs reaching the end-user.
T-Mobile noted that it is expanding the program to help the
“estimated 50 million students” that need to remain connected
during the ongoing COVID-19 pandemic. Additional details on the
company’s charitable efforts can be found at the Project 10Million Web
site
.

(09/07/2020)

T-Mobile announced a
major new wave of mid-band 5G rollouts across the country. The
company’s latest network update includes a total of 81 markets
spread across California, Florida, Georgia, Illinois, Indiana,
Maryland, Massachusetts, Michigan, Minnesota, Missouri, New
Jersey, New York, North Carolina, Oregon, Pennsylvania, Texas,
Virginia, Washington, and Washington, DC. Customers in these
geographic areas can now access the company’s mid-band
spectrum 5G services, which provide download speeds of up to
1Gbps, with typical rates sitting closer to 300Mbps in real-world
use. With the introduction of these new service areas, the
company’s speedier mid-band 5G is now live in a total of 90
markets across the US. While T-Mobile claims a far larger number
of total 5G markets, the actual download rates in the vast
majority of those locales are much slower, coming in much closer
to the sub-100Mbps speeds provided by 4G connectivity. A full list of rollout sites can
be found within T-Mobile’s press release.

(09/02/2020)

T-Mobile is offering a
new promotion that promises users
up to $1,000 to cover the full purchase of a new iPhone 11 or 11
Pro device, or partial purchase of a Pro Max phone, when entering
into a new carrier contract. This “limited time” offer is now available
at brick-and-mortar T-Mobile retail stores or by visiting
the T-Mobile Web site. The units, the carrier noted, feature an
“unparalleled” camera, “powerful” A13 bionic chip for handling
demanding tasks, and “industry-leading privacy features. Users
will be issued “monthly bill credits” when switching from a rival
provider, upgrading to a new “qualifying” carrier contract, or
adding a voice line to a qualifying line. Canceling users, it
should be noted, will incur payment of the credit allotments and
remaining balance of their device purchase.

(08/31/2020)

T-Mobile revealed a
trio of new, self-branded REVVL smartphones: the REVVL 4,
REVVL4+, and REVVL 5G. All three of the devices are designed to
fall into the “affordable” smartphone category, with each unit
designed for users at different budget levels. The REVVL 4 kicks
things off with a 6.22-inch screen, MediaTek MT6761V/VA chipset,
2GB of RAM, and 32GB of onboard storage. It also includes a
single 13MP rear camera with a 5MP front-facing shooter. The
REVVL 4+ bumps all that up to a 6.52-inch display being run by a
Qualcomm SD665 chipset, 4GB of RAM, and 64GB of onboard
storage. Its cameras include a dual 16MP and 5MP rear-facing
array and a single 16MP front-facing camera. Finally, the top
model in the line, the REVVL 5G ships with a 6.53-inch display
powered by a Qualcomm SD765 chipset, 6GB of RAM, and 128GB
of onboard storage. Its rear camera array includes a 48MP main,
8MP super wide, and 5MP macro lens, with a 16MP front-facing
shooter. As its name would suggest, this model is also the only
one of the trio to support 5G connectivity on the T-Mobile
network. Pricing for the units comes in at $5 per month, or $120
full retail for the REVVL 4; $8 per month, or $192 for the REVVL
4+; and $16.67 per month, or $399.99 for the REVVL 5G. All
installment plans assume 24-month commitments. T-Mobile noted
that all new customers can receive the REVVL 4 or 4+ free with a
new, 24-month contract, while the REVVL 5G will cost a reduced
$200 under the same circumstances.

(08/27/2020)

T-Mobile announced
that it is now making its T-Mobile MONEY service available to all
former Sprint subscribers. The service provides users with a
“no-fee, mobile-first, checking account where customers enrolled
in perks can earn an industry-leading APY of 4.00 percent.”
Additional features include overdraft protection, and early
access to weekly paychecks up to two days before they are
typically deposited. As part of the same announcement, T-Mobile
revealed that the money management service is also gaining
support for cash deposits for the first time, bringing it closer
to the capabilities of a traditional checking account. These
deposits can be made at any of the 55,000 Allpoint ATMs across
the globe, with all T-Mobile MONEY transactions completed at
these machines incurring no fees. Additional information can be
found within T-Mobile’s press release.

(08/24/2020)

T-Mobile announced
that it is expanding its Test Drive program to include business
customers. The program offered the carrier’s retail customers a
way to test its network with no financial risk or commitment.
Now, the company intends to offer the same option to “businesses
of all sizes.” T-Mobile is calling the new version of the program
its “No-Risk Network Trial,” and is offering a free phone,
free service, and a switch incentive to any business willing to
sign up. Specifically, the program provides 90 days of free
service, a Samsung Galaxy A51 5G, and up to $650 in credits to
help users pay off any obligations to a previous provider.
Additionally, businesses signing up for 12 or more lines can also
receive a hotspot to trial its “upgraded LTE network for up to 30
days or 30GB whichever comes first,” while those with 13 or more
lines will receive access to a “T-Mobile for Business expert.”
The company noted that it is expanding the program to allow new
business customers to test out the combined T-Mobile and former
Sprint networks.

(08/12/2020)

T-Mobile has finally,
officially rolled out its Scam Shield
service for the Apple App Store and Google Play. This set of free
solutions is designed to protect customers from robocalls and
scam calls. Features include an enhanced caller ID system; scam
call detection with automated blocking; a free second PROXY
number for Magenta, Magenta for Business, and Essentials
accounts; 12 months of free identity monitoring; and, for a
“limited time,” free number change services for those receiving
too many spam calls at their current phone number. T-Mobile
subscribers can download and activate Scam Shield now, while
Sprint customers will initially have access to the similar Call
Screener app.

(07/27/2020)

T-Mobile revealed its
latest “Uncarrier Move, a
new service known as “Scam Shield.” As its name would suggest,
the offering is designed to provide subscribers with protections
against scams and robocalls through a series of tools and
protections. The collection of free security safeguards included
with the new service consists of proactive blocking of
“suspicious” calls with custom, permanent blocking options;
enhanced caller ID support, with indicators for when a call is
coming from a verified number; a free, second T-Mobile PROXY
telephone number that can be used in place of the customer’s
actual phone number for security purposes; free number changes
for when users receive too many spam calls; a new Scam Shield
App designed to manage all of the aforementioned protections; and
a 12-month trial of ID monitoring from McAfee. The company notes
that all of the aforementioned protections are available to both
T-Mobile and Sprint subscribers. In addition to the slate of
security protections unveiled at the event, T-Mobile also
confirmed August 2, 2020 as the day when it will officially merge
the Sprint and T-Mobile brand names under the New T-Mobile
moniker, rebranding all remaining Sprint assets at that time.

(07/16/2020)

T-Mobile‘s new Home Internet service
officially went live in the greater Grand Rapids area of
Michigan. The home broadband service, which costs consumers
$50 per month, originally launched as an invite-only trial
limited to customers of the carrier’s mobile services. However,
this new expansion is the first publicly available launch for the
offering, making it possible for customers in Kent, Muskegon, and
Ottawa counties to sign up for services regardless of their
mobile carrier. While the Home Internet service currently runs
over T-Mobile’s 4G LTE network and offers about 50Mbps maximum
download rates, the company does eventually plan to migrate the
platform to its 5G network as part of a plan to cover 50 percent
of the US with the in-home service within six years.

(07/09/2020)

Verizon
Communications
received top marks among the fixed
broadband providers measured in the Q2 Speedtest Global Index published by Ookla. The
research company found that the broadband provider averaged
maximum download speeds of 117.14Mbps, ahead of the
second-place finisher, Comcast, at 107.89Mbps.
The remainder of the top six finishers included Cox Communications in third
(102.11Mbps), Spectrum (92.96Mbps), AT&T (82.78Mbps), and Centurylink (36.18Mbps).
Meanwhile, latency tests also placed Verizon on top with a ping
of just 9 milliseconds. Other finishers here included Cox (12ms),
Comcast (14ms), Spectrum (18ms), AT&T (18ms), and CenturyLink
(22ms). On the mobile side of things, AT&T’s 5G proliferation
earned it the speed prize, with a score of 41.23Mbps, followed by
T-Mobile at 33.69Mbps,
Sprint, which is soon to be
merged with T-mobile’s network, at 31.53Mbps, and Verizon Wireless in
fourth at 30.77Mbps. One bright spot for Verizon Wireless came in
Ookla’s 5G test, which clocked its download speeds at 870.5Mbps,
followed by a very distant second place AT&T at 78.68Mbps, Sprint
at 64.82Mbps, and T-Mobile at 64.26Mbps. It should be noted that
Verizon’s 5G speeds remain available only within very limited
areas of several major metro areas where Verizon’s mmWave 5G is
live.

(07/08/2020)

T-Mobile announced a
major expansion of its support for RCS (Rich Chat Services)
messaging services on Android devices connected to its network.
The carrier originally launched RCS support five years ago,
making it the first major provided in the US to support the
technology. Now, it is teaming with Google to reveal that it is
expanding support across the T-Mobile and Metro PCS networks to
include messages sent to users on any RCS-enabled network
anywhere on the globe. This new level of functionality is made
possible, in large part, thanks to T-Mobile and Google’s
implementation of the GSMA’s Universal RCS Profile, which standardized RCS protocols
around a single format to make inter-carrier messaging simpler.
Customers using RCS services can expect to see benefits such as
typing indicators, read receipts, support for higher resolution
photos and videos, increased security, and more. It should be
noted that both parties must be using networks and messaging
applications which support RCS for full functionality.

(05/26/2020)

T-Mobile announced
its new Connecting Heroes initiative, a program to provide first
responders across the US free access to 5G services. The carrier
claims the 10-year commitment will save first responders as much
as $7.7 billion over the course of its run by eliminating any
fees related to 5G accessibility. Eligible agencies include all
public and non-profit state and local fire, police, and EMS
departments. Interested agencies must sign up to participate in
the program at T-mobile’s
Connecting Heroes Web site
. T-Mobile currently offers 5G
services across 6,000 markets, covering more than 250 million US
citizens.

(05/25/2020)

T-Mobile announced a
new promotion under which small and mid-sized businesses
(SMBs) with workers switching to one of its subscriptions can
receive up to 90 days of service free of charge. The carrier said
it chose to make the offer to small and mid-sized businesses in
order to “help them navigate the COVID-19 crisis.” The promotion
works via a one-time $100 port-in bill credit per ported line,
and is available through June 30th. Qualifying plans include the
Business Unlimited or Magenta for Business, both of which are
available exclusively through T-Mobile for Business. The company
noted that this is part of a larger effort to support small and
mid-sized businesses through the outbreak.

(05/12/2020)

T-Mobile announced that its 2.5GHz 5G services are now live in New
York City. This is the first market where the carrier’s full
“layer cake” of 5G frequencies are all active. The “cake” in
question includes the new 2.5GHz coverage, as well as the 5G
services already being offered over T-Mobile’s 600MHz and
millimeter wave (mmWave) 28GHz spectrum. This variety of
frequencies allows the carrier to offer its fastest 5G download
speeds in the small areas where users have access to
high-frequency mmWave towers, while providing slower, but still
speedy 2.5GHz and 600MHz spectrum access over a much wider
area. T-Mobile’s ability to complete its NYC layer cake was
likely helped along by its continued integration of Sprint’s
mobile networking assets into its own; Sprint launched 5G
services over 2.5GHz in NYC several months before the carriers
completed their merger. It should be noted that only the Samsung
Galaxy S20+ and S20 Ultra support all three frequencies, among
T-Mobile’s current device lineup.

(05/06/2020)

Alliances and Joint Ventures

T-Mobile announced a
new partnership with Zyter to “bring virtual healthcare solutions
– including telehealth and remote patient monitoring and care
team collaboration – to more healthcare organizations and their
patients, providing access to virtual care for underserved
communities.” The goal of the alliance is to bring healthcare to
underserved and unserved portions of the US population through
Web-based technologies and wireless telecom networks. Under the
terms of the agreement, Zyter will provide its Zyter Telehealth,
Zyter Remote Patient Monitoring, and ZyterHome services to
patients via T-Mobile’s 4G LTE and 5G networks. The duo will also
collaborate to deliver integrated healthcare solutions to
existing and “potential” T-Mobile customers nationwide. No
specific terms for the agreement were disclosed.

(04/27/2021)

T-Mobile and Lumen announced a new
collaboration under which the pair will leverage T-Mobile’s 5G
network to power its Edge Computing platform. The goal of the
alliance is to help “enterprises effectively build, manage and
scale applications across highly distributed environments.” Lumen
plans to offer the new service at edge locations across the US, with
customers gaining access to 450,000 global route miles of fiber,
more than 180,000 on-net buildings, and 2,200 public and private
data centers via its network, in addition to the 5G
infrastructure T-Mobile brings to the table. This announcement
comes just one day after a similar collaboration was revealed
between Verizon and AWS surrounding their edge computing
offering.

(04/07/2021)

T-Mobile announced a
multi-faceted deal with Google that will see the search
giant becoming the default provider for multiple third-party
services used by T-Mobile customers. First, Google’s Messages
app will now ship as the default text messaging solution on all
T-Mobile-Branded Android smartphones. The carrier noted that it
chose Google’s take on an SMS application due to its support for
RCS (Rich Communication Services) capabilities such as higher
quality image and video transmission, read receipts, and dynamic
group chats. Meanwhile, T-Mobile also revealed that it will wind
down its attempts at an in-house live TV service–Live, Live +,
and Live Zone–on April 29. In their place, T-Mobile will offer a
$10 discount to anyone wishing to subscribe to Google’s YouTube
TV service through the carrier, bringing its starting price down
to $54.99 per month. YouTube TV will also now be prominently
featured in T-Mobile’s TVision HUB streaming video service.
Additional details about the new collaboration can be found
within T-Mobile’s press release on the matter.

(03/30/2021)

T-Mobile announced
the third batch of companies it named to participate in its 5G
Open Innovation Lab’s Spring 2021 program. This initiative –
which launches “this month” – is designed to help develop a
“software ecosystem for 5G and edge computing.” Additions in this
round focus on early-stage startups that have secured financing,
as well as “mature” Series C companies that will focus on
powering use cases and important edge-computing capabilities.
The newest members include A5G Networks, AccelerComm,
Agolo, Attila Security, Blue White Robotics, Continual, EdgeQ,
LogDNA, MantisNet, NavTrac, Proximie, SensorUp, Simetric, Teal,
and Tupl.

(03/22/2021)

T-Mobile joined forces
with the Curiosity Lab at Peachtree Corners and the Georgia
Institute of Technology to announce the creation of a new “5G
Connected Future incubator program.” The initiative is designed
to “support the growth and development of entrepreneurs and
startups as they work to build the next big thing in 5G.” The
program will be headquartered within a 500-acre “smart city
technology park” with access to T-Mobile’s 5G services. The
facility currently supports 8,000 residents and employees and
features a 25,000 square foot Innovation Center and 3-mile
autonomous vehicle test track. To support the location, T-Mobile
has deployed its Extended Range 5G and Ultra Capacity 5G
network across the park. The connectivity will be used to support
tasks such as autonomous vehicle and drone operation, robotics,
industrial activities, and mixed reality training. Additional
information about the program’s future plans can be found within
T-Mobile’s press release.

(02/17/2021)

T-Mobile revealed a
pair of major 5-year agreements with Nokia and Ericsson that will see the
duo playing a major role in the carrier’s ongoing expansion of
its 5G network in the US. Under the terms of the deals, Nokia
will supply its AirScale radio access solutions, including its
macro and small cells across low, mid-band and mmWave
spectrum, while Ericsson will supply its Ericsson Radio System
portfolio, including active and passive antennae and other
networking hardware. Both companies claim their hardware will
enable faster download speeds and broader network capacity while
improving performance in the 2.5GHz mid-band. No financial terms
for either agreement were disclosed.

(01/14/2021)

T-Mobile has reached an agreement with
Vermont’s Green Mountain Transit whereby it will lay the
technology to equip “all local buses” with free Wi-Fi services
for passengers, regardless of their carrier of choice. An initial
pilot kicks off for vehicles running in Chittenden County, with
an urban rollout to follow “later this year,” in locations such
as Burlington, Montpelier, Milton, and Vergennes. The move is
part of a new investment, throughout the state, that also sees
T-Mobile open the doors on new brick-and-mortar stores in
Burlington and Essex Junction, the carrier’s first locations in
Vermont.

(09/28/2020)

Personnel and Organizational

T-Mobile‘s 5G Open
Innovation Lab (5G OI Lab) announced that it is launching its
first application development field lab for the agricultural
industry. The goal of the new initiative–located in Snohomish
County, Washington–will be to leverage the carrier’s 5G-capable,
CBRS LTE-based network, and edge computing platform to help
agricultural stakeholders “collaboratively develop new
capabilities” and “minimize future food service disruptions for
consumers and regional agribusiness.” The project will take place
at two locations: Swans Trail Farms, a retail farm and event
venue featuring apple orchards, strawberry fields, and a pumpkin
patch; and Andrew’s Hay, Inc, a commercial grower and supplier of
feed for horses, cattle, livestock, and seed crops. Additional
information about this project and T-Mobile’s future plans can be
found within its press release.

(02/03/2021)

Financials

T-Mobile posted its
financial results for the first quarter of the 2021 fiscal year.
For the period, the carrier’s revenue was $14.19 billion, a huge
increase over the pre-merger $8.85 billion posted for the first
quarter of 2020. However, net income for the period amounted to
$933 million, representing a slight decline from the $951 million
posted for the year-ago quarter. This resulted in diluted
earnings per share of $0.74, down from the $1.10 per share posted
for the same quarter in the previous year. On the customer front,
T-Mobile gained a net total of 1.36 million subscribers, the vast
majority of which were postpaid subscribers. At the end of the
quarter, with the Sprint customers calculated in, T-Mobile
registered a total of 103.4 million accounts, up from the final
pre-merger quarterly total of 68.54 million reported for the Q1
2020.

(05/05/2021)

T-Mobile reported 71
percent Y2Y revenue growth – led by an “industry-leading” number
of net additions, including postpaid net additions, and postpaid
phone net additions – for the 2020 fourth quarter. The
three-month period ended December 31, 2020 included sales of
$20.3 billion, compared to 2019 Q4 revenues of $11.9 billion. Of
this amount, Service revenue improved 60 percent year to year to
$14.2 billion. At the same time, quarterly earnings totaled a
relatively flat $750 million, or $0.60 per share. Income was
affected in particular by “expense increases” due to the Sprint
merger, with merger-related costs totaling $686 million (Q4) and
$1.9 billion (FY). Regarding the full-year term, T-Mobile’s sales
were $68.4 billion, an amount that is up by 52 percent from 2019
revenues of $45 billion, with Service revenue in particular up 46
percent to $50.4 billion. Full-year income was $3.1 billion, or
$2.65 per share, marking an 11 percent Y2Y decline from 2019
earnings of $3.5 billion, or $4.02 per share. Regarding customer
additions, T-Mobile reported net growth of 1.7 million customers
(Q4), marking its 24th consecutive quarter of “industry-leading
performance,” with 5.6 million over the full year. Other
statistics included total customer count increasing to 102.1
million; postpaid net additions hitting 1.6 million (Q4) and 5.5
million (FY); and postpaid phone net customer additions of
824,000 (Q4) and 2.2 million (FY).

(02/08/2021)

T-Mobile announced a
massive expansion of its Home Internet pilot, and reported
“strong” year to year revenue growth of more than 74 percent for
the 2020 third quarter. The news, it should be noted, is no doubt
made possible by this year’s merger with Sprint that propelled it
to “record-high postpaid net additions” that it claims equate to
“nearly as much as the rest of the industry combined.” Revenues
totaled $19.3 billion, an amount that compares to 2019 Q3 sales
of $11.1 billion. Of this amount, Service revenue alone improved
62 percent, accounting for $14.1 billion. Income, meanwhile, was
$1.3 billion, or $1 per share, a total that is up by 49 percent
from 19Q3 earnings of $870 million, or $1.01 per share. Net
customer additions – which the carrier noted marked the
“record-high” 23rd consecutive quarter of “industry-leading
performance” – were 2.035 million, with a total customer count of
100.4 million. Postpaid net additions were 1.98 million, while
postpaid phone net customer additions were 689,000. T-Mobile also
announced the
expansion of its Home Internet pilot service to an additional 130
markets across nine states. This $50/month service was created to
bring “more competition to home broadband – especially in
underserved rural markets – through LTE-based coverage.” 5G
home broadband services, T-Mobile claims, are also “coming
soon.” A list of the newly launched coverage areas – which
include portions of Michigan, Minnesota, New York, North Dakota,
Ohio, Pennsylvania, South Dakota, West Virginia, and Wisconsin –
are available via the T-Mobile Web site.

(11/09/2020)

T-Mobile claims to
have finally surpassed AT&T as
the #2 mobile service carrier in the US. On the strength of its
April 2020 merger with Sprint, the provider noted with the
reporting of its 2020 second quarter financials that its total
customer base has grown by 49 percent, year to year, to 98.3
million. By comparison, #1 Verizon Wireless had
120 million subscribers, while #3 AT&T counted 92.2 million, for
the period. Revenues were likewise driven by the Sprint merger,
and improved by 59 percent year to year to $17.7 billion,
compared to the $11 billion that the standalone T-Mobile pulled
in for the year-ago quarter. Service revenue, alone, improved 50
percent Y2Y to $13 billion. T-Mobile’s earnings, meanwhile, were
$110 million, or $0.09 per share, which marked an 88 percent
dropoff from 19Q2 profits of $939 million, or $1.09 per share. In
all, T-Mobile had a flat 1.2 million net customer additions, of
which 1.1 million were flat postpaid.

(08/10/2020)

Legal News

A lawsuit that names Apple and T-Mobile as co-defendants
will move forward to a court hearing, despite a request from the
companies to enter private arbitration with the plaintiffs. The
suit alleges that a bug in the iPhone operating system combined
with T-Mobile’s policy of recycling phone numbers created a
breach of privacy. The software problem impacted how device
identifiers were handled, in some cases causing iMessage and
FaceTime communications to be routed to an unintended recipient.
According to Bloomberg, a US District Court judge rejected the companies’
argument that provisions in T-Mobile’s terms and conditions
require consumer disputes to go into private arbitration. “Apple
is not a party to the T-Mobile agreement, and Apple has not
shown” that it can enforce those provisions, the judge stated in
her ruling.

(03/09/2021)

Regulatory

The Federal Communications Commission (FCC) revealed the
results
of its recently-completed C-Band spectrum auction. In
total, the airspace sale brought in $81 billion in gross bids
from a total of 21 bidders. The big winner of this latest
spectrum distribution was Verizon Communications.
Bidding under the name “Cellco Partnership,” the telecom company
spend a total of $45.45 billion on 3,511 licenses. Verizon’s
direct competitor AT&T came in
a distant second place with $23.4 billion spent on 1,621
licenses, while T-Mobile
spent just a fraction in third place at $9.34 billion paid for
254 licenses. US Cellular also acquired 142 licenses for $1.28
billion. All participants are expected to use their purchased
spectrum to expand their mid-band 5G services across the US. A
total of 5,684 licenses were distributed during the sale.

(02/25/2021)

The Federal Communications Commission’s (FCC‘s) Enforcement Bureau
announced a $200 million settlement with T-Mobile over the
investigation into Lifeline program violations by Sprint prior to
its acquisition by that carrier. The regulator noted that the
payment is the “largest fixed-amount settlement the Commission
has ever secured to resolve an investigation.” The penalty is the
result of an investigation by the Enforcement Bureau which found
that Sprint was claiming monthly subsidies from the US Treasure
for 885,000 Lifeline subscribers, despite the fact that those
subscribers were not actively using the service. This violates
the FCC’s “non-usage” rule, making Sprint liable for the $9.25
per user monthly subsidy that was being provided for each of
those 885,000 subscribers. Sprint was obligated to de-enroll any
subscribers that did not use their Lifeline funded services for a
period of 30 days. However, its failure to do so is now costing
its new owners significantly more than the company made in
illegal Lifeline contributions. Additional information on the
settlement can be found within the associated
Consent Decree
.

(11/04/2020)

DISH Network
agreed to extend its loan of 600MHz spectrum licenses to T-Mobile
during the ongoing COVID-19 pandemic, but with a catch. When
Federal Communications Commission (FCC) Chairman Ajit Pai requested
that all service providers extend their Keep Americans Connected
pledge until June 30, DISH Network was among those expected to
comply. This was compounded when T-Mobile sent a “Request for Extension of
Special Temporary Authority”
to the FCC claiming that DISH’s
spectrum was necessary for it to continue supporting the needs of
customers working and learning from home due to a 57 percent rise
in usage. It concluded that extension of the STA was “therefore
necessary for T-Mobile to continue to meet consumer demands.”
However, according to Fierce Wireless, DISH
replied that it was unwilling to comply with the request, telling
the regulator that the purpose of its grant was to “help T-Mobile
increase capacity during the crisis to serve customers, not to
use DISH’s spectrum as part of a commercial marketing effort.” It
based this complaint on the fact that it believes its 600MHz
spectrum was publicized as part of the carrier’s own offerings,
“in an apparent effort to acquire new subscribers.” That said,
DISH has approved a “day-to-day” extension which will continue
providing the T-Mobile network with access until the US
Department of Justice (DOJ)
weighs in on the issue. DISH noted the day-to-day lease will
expire on June 30, regardless of whether a decision has been
rendered by the DOJ by that time.

(05/27/2020)

References

[return to top of this report]

1 Reardon, Marguerite. "T-Mobile
CEO Throws Cold Water on Sprint Take-Over Rumors."
CNET.
January 2014.

About the Author

[return to top of this report]

Michael Gariffo is an editor for Faulkner
Information Services. He tracks and writes about enterprise software and
the IT services sector, as well as telecommunications and data networking.

[return to top of this report]