uploads///Telecom Q Postpaid Phone Net Additions

Reading T-Mobile’s Postpaid Phone Net Addition Expectations for 3Q17

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T-Mobile’s postpaid phone net additions in 3Q17

In this part of our series, we’ll take a look at the postpaid phone net customer additions that we can expect to see from T-Mobile (TMUS) in 3Q17. Wall Street analysts foresee 625,000 postpaid phone net customer additions in 3Q17, excluding customers in its DIGITS plan. The telecom company is planning to exclude its DIGIT customers from the postpaid phone base.

In 2Q17, T-Mobile added 786,000 postpaid phone net customers, up from 646,000 in 2Q16 and down from 798,000 in 1Q17. The YoY (year-over-year) growth was primarily due to the strong market acceptance of its “UN-carrier” plan initiatives and promotional activities. The sequential fall was primarily due to the increased competitive intensity in the US wireless space.

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Peer comparison of postpaid phone net additions in 2Q17

In calendar 2Q17, Verizon (VZ) added 358,000 postpaid phone net subscribers, while AT&T (T) lost 89,000 postpaid phone customers. Meanwhile, Sprint (S) gained 88,000 postpaid phone net customers.

Remember, postpaid handset customers, especially smartphone users, are of significant value for telecom companies. Users of Apple’s (AAPL) iPhone or Google’s (GOOG) Android tend to have relatively higher data usage, and so they’re the most lucrative users for wireless carriers.

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