T-Mobile gets iPhone in 2013: Will it matter?

T-Mobile gets iPhone in 2013: Will it matter?

Summary: It's unclear whether the iPhone will change the competitive landscape in T-Mobile's favor or simply be table stakes.

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T-Mobile USA will be joining the Apple iPhone party and be able to match rivals Verizon Wireless, AT&T and Sprint. What's unclear is whether the iPhone will change the competitive landscape or simply be table stakes.

In a statement outlining Deutsche Telekom's 2013 investing plans, the company said (emphasis mine):

The higher investment volume is to be used to roll out the broadband infrastructure in Germany and the United States in particular. In the mobile communications network, this will be done using the state-of-the-art technology LTE. Around EUR 6 billion is earmarked for rolling out the broadband infrastructure in the German fixed network with optical fiber and vectoring between 2013 and 2020. In addition, T-Mobile USA has entered into an agreement with Apple to bring products to market together in 2013.

tmobilead
A deal with Apple gives T-Mobile a more direct route to the iPhone.

In short, T-Mobile will be building out its LTE network to attempt to match rivals and the iPhone plays a big role. T-Mobile has tried to lure unlocked iPhones to its network. 

Going forward, Deutsche Telekom said that it expects revenue in Germany to stabilize in 2014 and "record organic growth again." In the U.S., T-Mobile is also projected to growth.

In the U.S., T-Mobile has bolstered its spectrum and network via the acquisition of MetroPCS. That deal is expected to close in the first half of 2013. See: T-Mobile, MetroPCS to merge in $1.5bn deal

Simply put, T-Mobile is more prepared to compete with the iPhone and an LTE network. The problem is that all the major carriers in the U.S. will have the same arsenal. Sprint's investment to get the iPhone has had mixed results, but a recent capital infusion from Softbank will help. AT&T and Verizon continue to land Apple iPhone customers.

What exactly can T-Mobile bring to the table for customers? T-Mobile has preached value, but that equation may change once it sees the data consumption that the iPhone requires.

tmobileq3

 

Topics: Networking, 4G, Apple, iPhone, Telcos

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6 comments
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  • T-Mobile and Metro PCS merger

    After the failed attempt of AT&T to acquire T-Mobile, they have then incurred a good amount of money to the tune of a couple of billion dollars even though the acquisition did not push thru. That's probably where they got the finances to merge with Metro for a $1.5bn deal. Now, they can expand their network because of the merger. Well played T-Mobile, well played.
    evan33
  • Cost. It's all about cost...

    T-mobile is by far less expensive than the other 3 carriers.
    Verizon, ATT, Sprint, then T-Mobile.

    I can see customers coming to T-Mobile from the other 3 once they get the iPhone.

    This is assuming T-Mobile keeps their prices down...
    Angryshortguy
  • It matters

    mostly to T-Mobile customers. They may get some new business from people who are sick of being treated like crap by Verizon and ATT, and impatient about sprints LTE rollout, but I doubt there'll be any mass migration.
    new gawker
  • AT&T is basically the cable company

    AT&T has been pushing customers around with shoddy business ethics, improper pricing which seems to change with the direction of the wind, incompetent customer service, and in Seattle, "dead zones" where calls drop to this day after years of repair promises unkept.

    T-Mobile's entry into the field is a welcome addition. God bless competition. As AT&T customers such as myself come to the end of another 2-year stint, '13 could well be T-Mobile's lucky year.
    gregv2k
  • T-Mobile is too late

    I honestly think that T-mobile is really late when you really think about it because the iPhone has been out for how many years? For them to just now get the phone is pointless. Don't get me wrong I'm pretty sure that the phone will sell pretty good either way. It's the iPhone. I think that the people who are overpaying on Verizon and AT&T will go to T-Mobile. T-mobile will probably give a pretty good plans hopefully with their unlimited "4G" lol
    chazieb1
  • TMOBILE HAS a shot.. and it all has to do with mvno

    tmobile has giving mvnos the green light.. from the best one solavei (my49monthly dot com) to simple mobile, tele cel, ultra mobile, there mvno offer hspa +42mbps.. tmobile will be the king of the prepaid area with there gsm network (sim cards)
    Jamel Gay