Between the Lines

Larry Dignan, Andrew Nusca and Rachel King

T-Mobile feels pain amid Sprint, Verizon, AT&T customer gains

By | February 25, 2011, 4:57am PST

T-Mobile on Friday said it lost 318,000 contract customers in the fourth quarter, a dismal performance relative to rivals Sprint, Verizon Wireless and AT&T.

In the fourth quarter, T-Mobile said it lost 23,000 net customers. In the third quarter, T-Mobile added 137,000 net customers and 371,000 in the fourth quarter a year ago.

Clearly, the gains of other carriers mean pain for T-Mobile.

To wit:

“High contract churn and significant contract customer losses in the fourth quarter of 2010 indicate that we still have a fair amount of work ahead of us and that any turnaround will take time,” said Philipp Humm, CEO of T-Mobile USA in a statement.

T-Mobile’s total churn was 3.6 percent in the fourth quarter, up from 3.4 percent in the third quarter and 3.3 percent in the fourth quarter a year ago. Contract churn was 2.5 percent in the fourth quarter.

The company reported fourth quarter net income of $268 million on revenue of $5.36 billion.

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Larry Dignan is Editor in Chief of ZDNet and SmartPlanet as well as Editorial Director of ZDNet's sister site TechRepublic.

Disclosure

Larry Dignan

Larry Dignan has nothing to disclose. He doesn’t hold investments in the technology companies he covers.

Biography

Larry Dignan

Larry Dignan is Editor in Chief of ZDNet and SmartPlanet as well as Editorial Director of ZDNet's sister site TechRepublic. He was most recently Executive Editor of News and Blogs at ZDNet. Prior to that he was executive news editor at eWeek and news editor at Baseline. He also served as the East Coast news editor and finance editor at CNET News.com. Larry has covered the technology and financial services industry since 1995, publishing articles in WallStreetWeek.com, Inter@ctive Week, The New York Times, and Financial Planning magazine. He's a graduate of the Columbia School of Journalism and the University of Delaware.

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0 Votes
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And the "largest" 4G network when it is not 4G. That and I can honestly say I do not know anyone that has good service with T-Mobile outside of city limits or populated areas. Which is fine I guess for many people but the few people I know that have T-Mobile lose their service as soon as they hit an expressway that is not near a city or populated town. Out in the rural areas it no work.

I guess other people's experiences could be different because just like any cell company it depends on your market area. I get great service with AT&T and others do not.
@bobiroc
3G is EDGE on Tmo... sooooo slow
@bobiroc
I wish one day the coverage is no longer an issue, just like that we can watch TV anywhere without any problem. beach tent
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I been a T-mobile customer for at least 10 years and waiting for my cancelation the 7 of this month.... not because of the signal issue but their customer support" is has gone from excellent to terrible" really sad.. as much as I dislike ATT and Verizon I will be making the switch next month. it takes me about one hour to get customer support every time I call and when some one answers sometimes I get cut off" are you kidding me? I had most of my family with this company just because of that, not the phones, as most people know they suc" the selection is very limitted and do not compete with the rival companies, then again most companies now days hire people based on how much they are willing to pay and not how much knowledge they have, mostly kids from high school who just want to get their paycheck and go home at the end of the day, really doubt that they get any type of training on customer service. so ATT here I come
@purrungas - I am an AT&T customer and employee, and we would be DELIGHTED to have you join us. I have an iPhone and love it, but there are many other impressive smartphones available. If I can be of assistance, please contact me. John jv6398@att.com
T-Mobile is a total bust here in the States, and Humm is promising to resucitate a dying horse. For me, between the spottiness of their coverage in non-metro areas, the utter lack of professionalism on the part of immature goof-off employes in the stores, and inummerable wrong numbers in the middle of the night from indigents and crazy old ladies screaming for their meds not caring who they are screaming at (even in voicemail) I just couldn't take it anymore, terminated early, switched back to Verizon, have a trouble-free experience now, (albeit unhappily more expensive) and am simply awaiting the last bill with ETF. Ouch, but hey, return from insanity costs, just like everything else.
I love T-Mobile. My experience is great customer service with good service. I really don't have many complaints.
If you think moving to AT&T will be for better customer service...THINK AGAIN!! Their customer service is awful.
0 Votes
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I totally agree
sackbut 26th Feb 2011
@NorthTex
Well they should have never sold their souls to AT&T...

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