Carrier T-Mobile adds 2.4 million customers in first quarter of 2014

Discussion in 'iPhone' started by EbookReader, May 1, 2014.

  1. EbookReader macrumors 65816

    Joined:
    Apr 3, 2012
    #1
    http://www.usatoday.com/story/tech/2014/05/01/tmobile-first-quarter-earnings/8556799/

    SAN FRANCISCO — T-Mobile on Thursday said its pricing moves helped it add 2.4 million customers in the first quarter, up from 579,000 a year earlier.





    1Q of 2013: 0.6 million net customers
    2Q of 2013: 1.1 million net customers
    3Q of 2013: 1 million net customers
    4Q of 2013: 1.65 million net customers

    1Q of 2014: 2.4 million net customers
     
  2. CEmajr macrumors 601

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    Charlotte, NC
    #2
    Guess that's where those Verizon and Sprint customers have been going Q1. Humbling quarter for Verizon. Good job T-Mo.
     
  3. albertfallickwa macrumors 6502a

    albertfallickwa

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  4. I7guy macrumors G5

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    #4
    Yeah, revenues up 1 billion for verizon. Lousy quarter.
     
  5. CEmajr macrumors 601

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    #5
    The impact of customer loss is not immediately felt in the financials. Do you really think Verizon is fine with losing customers to AT&T and T-Mobile? I doubt they can maintain those margins with the other carriers competing so aggressively in price and good enough coverage.
     
  6. keitarou macrumors 6502

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    Dec 7, 2012
    #6
    With EDGE, they will have good revenue for years to come. Humbling because they lost phone customers. Eventually, if Verizon continues to lose customers, their revenues will go down. Hopefully Verizon will do something about it when they lose enough customers and be more consumer friendly which will only benefit you even more.
     
  7. gretafour macrumors regular

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    Rochester, NY
    #7
    great news indeed. T-mo is our best hope for preventing pure three-company oligarchy!
     
  8. maflynn Moderator

    maflynn

    Staff Member

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    Boston
    #8
    The increase in customers came at the expense of profits. Their uncarrier promotion is not sustainable but at least its pulling in customers they haven't had.
     
  9. I7guy macrumors G5

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    #9
    It depends on the customers they lost. They might be happy to get rid of short term low value higher cost customers. The future will tell.

    ----------

    That's an if, not when. I'm not defending verizon but merely posting the other side of verizon is doomed because they suck.
     
  10. mattwallace24 macrumors regular

    Joined:
    Nov 25, 2010
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    Connecticut
    #10
    That seems to be the consensus of most of the stock analysts -- falling ARPU/margins, larger than expected quarterly loss of $150M, and a huge 61% increase in operating expenses are hard to sustain in the long run.

    The good news is they did gain a huge # of customers last quarter putting lots of pressure on Sprint to finally make their offer. Based on news reports that offer is now being quickly prepared. It certainly helped TMO's stock price today.

    Don't think an acquisition of TMO by Sprint would necessarily be good for TMO customers, as Sprint has a long history of botching these integrations. However, I suspect part of TMO's aggressiveness is to force such a deal. Legere will probably get a HUGE parachute if this deal is approved. While I suspect many will wish for him to become the CEO of the combined company, I can't find many times (actually can't think of any) where the acquired company CEO survives over the buying company's leadership.
     
  11. SHirsch999 macrumors 6502a

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    #11
    How many of those customers are on the free 200 mb/mo tablet plan?
     
  12. Gincoma macrumors 6502

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    Sep 10, 2013
    #12
    Its not immediatly felt in financials???? Are you serious with that comment lol need to be sure of your facts before you state something like that just saying
     
  13. MBHockey macrumors 68040

    MBHockey

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    New York
    #13
    You seem to really know the facts.

    AMIRITE LOL??
     
  14. Gincoma macrumors 6502

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    Sep 10, 2013
    #14
    your point??? oh yeah "lol" you derps and your "loling"
     
  15. CEmajr macrumors 601

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    Charlotte, NC
    #15
    Yes.

    When you leave an old carrier do you immediately not owe them anymore money? ETF? Last bill? Prorated billing charges? That's money still coming in when you leave them.

    That whole process is 1-2 months of final revenue for the carrier before you're totally done with them.

    For example, if someone cancels on Jan. 15, their final bill+ETF is due on Feb. 15. That person then has an additional 1-2 months to actually pay those bills until collection action is taken. So all the way out until April 15th. Then even if they did pay it on Feb. 15th, the final bill+ETF is likely high enough to match what would've been 2 months of additional revenue to Verizon had they not cancelled service.

    So unless Verizon lost all of those customers at the very beginning of January and all of them payed their ETFs and final bills immediately, then financials aren't going to reflect the loss of that revenue in that quarter. It would normally not be until the following quarter for the financials to reflect a net customer loss. It's the same with customer gain. T-Mobile just gained 2.4 million last quarter, but due to the nature of how billing works, the revenue from those customers won't impact their financials until Q2.
     
  16. mattopotamus macrumors G5

    mattopotamus

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    Jun 12, 2012
    #16
    wonder how many stay. I made the switch, but the service is atrocious and I live in Atlanta. Paying my phone off this week and going back to att =/
     
  17. YMark macrumors 6502a

    YMark

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    Nov 7, 2008
    Location:
    Arizona
    #17
    Avoid T-Mobile if you're in Phoenix. I switched from Verizon and TMO sucks. Sucks in Cave Creek, some parts of Scottsdale, and Peoria as well.
     
  18. ET iPhone Home macrumors 68040

    ET iPhone Home

    Joined:
    Oct 5, 2011
    Location:
    Orange County, California USA
    #18
    Dear Sprint,

    Take note.

    Sincerely,
    ET iPhone Home
     

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