uploads///Telecom Q Prepaid Net Additions

AT&T’s Prepaid Net Additions in 4Q17


Feb. 22 2018, Updated 9:07 a.m. ET

AT&T’s prepaid customer growth

Earlier, we discussed AT&T’s (T) postpaid phone customer net additions over the last few quarters. In this part, we’ll look at AT&T’s prepaid customer net additions. AT&T’s prepaid subscriber growth continued to be strong in 4Q17. It added 140,000 net prepaid customers in 4Q17, with strength coming from the Cricket and AT&T Prepaid brands. That figure, however, was significantly lower than analysts’ estimate. AT&T’s prepaid customer base grew ~13.3% year-over-year.

Costs associated with prepaid subscribers are much lower than those associated with postpaid subscribers, making prepaid subscribers more profitable. Acquisition, maintenance, and upfront expenses are all lower for prepaid customers.

Article continues below advertisement

Peer comparison: Prepaid net additions

In comparison, in calendar 4Q17, Sprint (S) and T-Mobile (TMUS) added 63,000 and 149,000 net prepaid subscribers, respectively. Meanwhile, Verizon (VZ) lost 184,000.

At the end of 4Q17, T-Mobile’s prepaid customer base was the largest, at 20.7 million customers. AT&T and Sprint followed, with 15.3 million and 9.0 million prepaid subscribers, respectively. Verizon had 5.4 million prepaid customers.


More From Market Realist

    • CONNECT with Market Realist
    • Link to Facebook
    • Link to Twitter
    • Link to Instagram
    • Link to Email Subscribe
    Market Realist Logo
    Do Not Sell My Personal Information

    © Copyright 2021 Market Realist. Market Realist is a registered trademark. All Rights Reserved. People may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.