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T-Mobile decides not to mess with your unlimited planFrom The 3:59 show: Talking about the carriers latest quarter, merger plans and more.
Let's talk about T-Mobile. It posted blowout numbers yesterday, particular with phone subscriber growth, once again leading the industry in that metric. But more importantly, I got a chance to talk with the CFO Braxton Carter, who told me that they weren't expecting to raise prices for their unlimited data plans any time soon. Now That's important, because we've seen in the past few weeks, AT&T, Verizon, and Sprint all either introduced new plans, or new tiers of plans, that have been more expensive. So for a while now, this has been sort of a golden age for bargain-seekers in the wireless world, but it seemed like this was gonna change. But least T-mobile kind of holding steady they're not raising prices. Right, and they're kind of the, they're the ones that changed everything up. They want to keep getting in new customers, but are they making alot of money too? Like, their They've done well with getting customers, but is it showing on their bottom line? Yeah, so their profits were up year over year. In particular service revenue, which is a pretty key metric there, that was also up. They're basically growing by adding new customers. And that's basically what the CFO said, was that they didn't want to sacrifice any kind of long-term gains for sort of the short-term bumb of like Getting more money out of customers in the near-term. Can you tell us a bit about why they would want to merge with Sprint? Ultimately, it's about Spectrum. And then, so the assets that Sprint has that they can use to expand their 5G network. They talked a lot about 5G yesterday and the combination of Sprint's assets with T-Mobile's assets would give them a deeper, broader network. So what's the catch though, why aren't they increasing their prices? I don't think it's because they're very nice. No it's not all nice. It's about customer growth. They think that if they keep their prices lower, they can keep customer growth going, which Has been true, they've lead the industry in customer growth for 18 consecutive quarters. So it's still working. They're still number three though, right? They're still number there, in terms of the base, they're still pretty far off from Verizon at&t so they think there's a lot of runway to grow. Nice