T-Mobile’s capital expenditures
T-Mobile (TMUS), the third-largest US wireless carrier, has been continuously investing in capex to improve its network. In the first quarter, T-Mobile spent $1.8 billion on cash capex, excluding capitalized interest, compared to $1.3 billion in the first quarter of 2018 and $1.1 billion in the fourth quarter of 2018.
The sequential and year-over-year increase was mainly due to growth in the network build. T-Mobile continued the deployment of the 600 MHz low-band spectrum and started laying the groundwork for 5G technology.
Expected capex investments in 2019
T-Mobile expects its cash capex for 2019, excluding capitalized interest of $400 million, to be $5.4 billion–$5.7 billion. The target includes expenditures for 600 MHz and 5G deployment. In fiscal 2018, T-Mobile spent $5.2 billion on cash capex excluding capitalized interest.
In comparison, AT&T (T) expects its gross capex to be in the $23.0 billion range.