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Growth Slows at T-Mobile

Posted In: Business | CDMA

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T-Mobile USA added 621,000 net new customers in the fourth quarter, mostly prepaid, compared with 670,000 in the third quarter and 951,000 in the fourth quarter a year ago.

T-Mobile’s net adds follow those reported this week by the nation’s two largest carriers. Verizon Wireless added 1.37 million in the fourth quarter, and AT&T added 2.1 million subscribers in the quarter.

For the year, T-Mobile added more than 4 million net new customers, including 1.13 million acquired as part of the SunCom Wireless acquisition last February, ending the year with 32.8 million customers.

T-Mobile’s prepaid net additions were 355,000 in the fourth quarter of 2008 compared with 377,000 in the third quarter and up from 218,000 in the fourth quarter of 2007. Prepaid customers include FlexPay no-contract customers, the company said.

Contract churn was 2.4% in the fourth quarter, in line with the third quarter of 2008 and up from 1.8% in the fourth quarter of 2007. Blended churn, including both contract and prepaid customers, was 3.3% in the fourth quarter of 2008.

In a statement, T-Mobile USA President and CEO Robert Dotson said the aggressive buildout of its 3G network positions the company to deliver full-blown 3G services and seize on the upside in consumer data adoption. “Game-changing 3G-enabled devices like the T-Mobile G1 with Google are delivering a steady stream of new mobile services, while creating some of the highest levels of customer satisfaction we've ever seen at T-Mobile,” he stated.

With the launch of the G1 with Google and the Samsung Behold, both 3G converged devices, nearly 40 percent of devices sold to contract customers in the fourth quarter were converged devices, of which more than half were 3G enabled, the company said.

The carrier plans to release full fourth-quarter financial results on Feb. 27.

More FirstNews 01/29/09:
•  Growth Slows at T-Mobile 
•  Qualcomm's 1Q Income Halved by Investment Losses
•  Qualcomm Keeps Pressure on DTV Date 
•  BlackBerry Storm Hits 1 Million Mark 
•  Sybase Bests Itself
•  Aylus Networks Releases MediaCast for Carriers
•  IntelliNet to Intro Integrated Femtocell Gateway
•  FirstNews Briefs for Jan. 29, 2009

 

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