T-Mobile USA loses subscribers in Q1

www.WirelessFederation.com/news: The first quarterly loss of subscribers has been posted by T-Mobile USA, the fourth-largest U.S. wireless carrier. While the company had a net gain of 415,000 customers in the year-ago quarter, it had a net loss 77,000 customers this quarter. Since, nearly every adult in the U.S. now has a cell phone, the other two large carriers, Verizon Wireless and AT&T Inc posted a smallest quarterly subscriber increases in many years. Germany's Deutsche Telekom AG owned T- Mobile had 33.7 million customers at the end of the quarter, up from 33.2 million customers a year earlier. According to T- Mobile, 118,000 contract customers -- more valuable to wireless services than prepaid customers -- departed during the quarter and in the same period, a net 41,000 prepaid customers started using its services. Even though traditional "postpaid" services stuttered, prepaid wireless service market continued to be popular during the first quarter. Due to a decline in contract revenue, which fell 3 percent to $4.11 billion, 2 percent drop in the revenue has been posted by the telco in the first three months of the year to $5.28 billion. The company's profit rose despite the drop in revenue and helped by lower operating expenses. Company’s net income was $362 million, up from $322 million last year.

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