Deutsche Telekom’s US subsidiary added 1.3 million customers during the quarter and had a churn rate of 0.8%
T-Mobile US has published its Q2 figures which include its churn rate was 0.8% while its nett additions were 1.3 million. This means it now has more than 100 million postpaid customers and has raised it expectations regarding new customers this financial year. It now predicts that it will attract between 5.4 million and 5.7 million (up by 200,000 at the bottom end).
For comparison, AT&T had about 115.47 million mobile subscribers at the end of Q2 this year and Verizon 114.8 million subscribers at the end of March.
During Q2, T-Mobile’s service revenues were up by 4% on the same period last year, helped by its first subscriber price increases in a decade. Service revenues rose to $16.4 billion (€15.1836 billion) beating analysts’ forecasts of $16.3 billion.
Peter Osvaldik, CFO at T-Mobile, said that new subscribers came from rural areas and densely populated conurbations. He said the numbers do not include customers adding a second line: “These are high-quality customers that are flocking to this network and are actually willing to pay for it.”
Refreshing change
In May, T-Mobile gained 3.5 million subscribers after finally completing the $1.35bn acquisition of no-frills provider Mint Mobile after gaining approval from the Federal Communications Commission (FCC). As regulators always do, the FCC had had concerns about the effect the acquisition might have on competition in the market.
To allay these concerns, T-Mobile has agreed to allow Mint customers to change providers, without financial penalty during the 60 days after the acquisition won approval. It also committed to uphold Mint’s popular prepaid service that costs $15 a month for existing and new customers “for the foreseeable future”.
Fixed expectations
The operator also added 406,000 to its fixed wireless access customer base in Q2, which T-Mobile US says consistently leads Ookla’s speed tests to and is hailed as the best provider by consumers, Opensignal finds that T-Mobile has the best US network experience overall.
And while polishing its own trumpet, T-Mobile US also took the opportunity to point out its “total 5G and ultra-capacity 5G coverage area continues to far exceed that of the next closest competitor. The company’s unique multi-layer approach to 5G, with dedicated standalone 5G deployed nationwide across 600MHz, 1.9GHz, and 2.5GHz, delivers customers a consistently strong experience and 87% of 5G traffic is on sites with all three spectrum bands deployed.”