& cplSiteName &

T-Mobile to Pick Up 'Evil' Family Fees

Dan Jones
1/9/2014
50%
50%

LAS VEGAS -- CES 2014 -- T-Mobile USA's latest bid to tempt customers from its rivals is to pay the early termination fees on family plans and offer trade-in cash for eligible devices.

CEO John Legere, who wasted no time here in describing the way family plans are currently operated in the industry as "evil," said T-Mobile will offer families up to $350 to cover early termination fees on up to five lines from another carrier and up to $300 trade-in value on working devices.

(Note: A friend used an estimate tool to see how much they would get in trade-in for a couple of older Android devices on Verizon, and found they would get only a few dollars, so consumers should check out such details first.)

Family Ties
The backdrop is always pinker at a T-Mobile event.
The backdrop is always pinker at a T-Mobile event.

T-Mobile's move comes only days after Sprint Corp. (NYSE: S) announced its "Framily" plans, where members don't have to share data (or anything else). (See Sprint Launches No-Sharing 'Framily' Plans.)

And, of course, it's less than a week since AT&T Inc. (NYSE: T) made a pre-emptive strike on T-Mobile's subscriber base with its offer of cash for any of Legere's customers who want to switch. (See AT&T Lures T-Mobile Subs With $450 Promise.)

Legere claimed that T-Mobile US Inc. 's "Uncarrier" strategy to date is already paying big dividends. He said the operator added 1.6 million subscribers net in the fourth quarter of 2013, making it the "biggest quarter for 8 years" for the operator. Overall, it added 4.4 million subscribers in 2014. (See T-Mobile Talks Up a Banner Year in LTE.)

Rising Subs
Legere trumpets the success of the 'Uncarrier' strategy.
Legere trumpets the success of the 'Uncarrier" strategy.

He brushed off questions about Wall Street fears that T-Mobile might be instigating a price war amongst mobile carriers in the US. "A price war? No... But we're going to shake them up... A healthy profit [and a] growth business is clearly our objective."

Related posts:

— Dan Jones, Mobile Editor, Light Reading

(8)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
DanJones
50%
50%
DanJones,
User Rank: Blogger
1/10/2014 | 11:42:47 AM
Re: Anyone switching?
Well Neville Ray is the one that would deal with the spectrum in that situation, he wasn't exactly complimentary about Sprint's network and upgrade efforts either.
Sarah Thomas
50%
50%
Sarah Thomas,
User Rank: Blogger
1/9/2014 | 5:43:00 PM
Re: Anyone switching?
I took that to mean, "a pile of [valuable] spectrumi n search of a [T-Mobile network] capability" -- that they could do more with it than Sprint. Either way, he may have talked smacked but he didn't protest much about rumor speculation.
DanJones
50%
50%
DanJones,
User Rank: Blogger
1/9/2014 | 5:11:13 PM
Re: Anyone switching?
Legere also called Sprint, "a pile of spectrum in search of a [network] capability," so there's no love lost there. And laughed at  the "framily" plans and "spanky" (spark) network upgrade.
Sarah Thomas
50%
50%
Sarah Thomas,
User Rank: Blogger
1/9/2014 | 5:02:46 PM
Re: Anyone switching?
Wonder how Softbank feels about that. And, Hesse has a contract that he's in for the next five years. Would that still apply if they merged?

Before Legere came along, I always thought Hesse was the funny CEO. His humor was also more subtle. He once compared de la Vega to John Wilkes Booth, but at least he didn't say he "liked him better when he was fat."
DanJones
50%
50%
DanJones,
User Rank: Blogger
1/9/2014 | 4:51:03 PM
Re: Anyone switching?
My read on what he said was that if it was to happen he wanted to be leading brand in the organization.
Sarah Thomas
50%
50%
Sarah Thomas,
User Rank: Blogger
1/9/2014 | 3:28:07 PM
Re: Anyone switching?
There is little, if any, further consolidation available among the large telecom providers.

That theory will very soon be checked!  Legere seemed to really hint that the Sprint merger was happening in his keynote. We'll see if it passes regulatory muster if so.
Phil_Britt
50%
50%
Phil_Britt,
User Rank: Light Sabre
1/9/2014 | 3:21:24 PM
Re: Anyone switching?
You're reight about a price war, and it's probably about time for one. Prices have been going up uncheckeck for a while, and this type of price war can help force them compete on service.

Of course, such a price war can have long-term unitended consequences as well, hurting the long-term health of the companies, as happened with the airlines. The air carriers were perennial money losers until the recent consolidations. There is little, if any, further consolidation available among the large telecom providers.
Sarah Thomas
50%
50%
Sarah Thomas,
User Rank: Blogger
1/9/2014 | 1:08:33 PM
Anyone switching?
Smells like a price war to me. Verizon and Sprint's CEOs both dismissed these kind of offers as marketing stunts that are usually short lived, but T-Mobile's offer is pretty big. I bet it will get a lot of takers. There's little to no risk if there is no ETF.
Educational Resources
sponsor supplied content
Educational Resources Archive
From The Founder
Cisco's Conrad Clemson, recently promoted to head up the company's Service Provider Apps & Platforms developments, talks to Light Reading's Founder and CEO Steve Saunders about how he's bringing cloud video, mobile and virtualization together to empower network operators.
Flash Poll
Live Streaming Video
Charting the CSP's Future
Six different communications service providers join to debate their visions of the future CSP, following a landmark presentation from AT&T on its massive virtualization efforts and a look back on where the telecom industry has been and where it's going from two industry veterans.
LRTV Custom TV
CommScope – Meeting the Demands of Tomorrow's Networks

3|24|17   |     |   (0) comments


Phil Sorksy, Vice President International at CommScope, discusses addressing the challenges faced by service providers today, and as future trends emerge.
LRTV Huawei Video Resource Center
AMS-IX & Huawei's OSN 902

3|24|17   |     |   (0) comments


Huawei shows how its OSN 902 platform helps the Amsterdam Internet exchange to connect the world using multiplexing.
LRTV Huawei Video Resource Center
Huawei's Smart Energy Innovation Center

3|24|17   |     |   (0) comments


In Nuremberg, Huawei showcases its latest capabilities in the digitalization of Internet resources, network infrastructure and intelligence at its Smart Energy Innovation Center.
Valley Wonk
OFC & Hyperscale: A Good Mix?

3|24|17   |   01:50   |   (0) comments


Cloud and telecom players want different types of equipment for their networks, as the chatter at OFC reveals.
LRTV Custom TV
Etisalat on NFV Journey

3|24|17   |   10:37   |   (0) comments


Etisalat is a service provider that prides itself on bringing innovative technologies to the markets it serves. It was one of the first operators to implement 3G and leads the pack in fiber penetration. Now, Esmaeel Al Hammadi, Etisalat's SVP of Network Development, explains the operator's journey to virtualization, beginning with the network core, as well as the ...
LRTV Huawei Video Resource Center
Huawei at CeBIT 2017: Day 3

3|22|17   |     |   (0) comments


Light Reading reports from CeBIT 2017 in Germany, where Huawei is exhibiting on the application of technologies and key business verticals such as transportation, smart city, manufacturing, media and finance.
LRTV Documentaries
No Regrets: Cox's Finkelstein on Fiber & More

3|22|17   |     |   (0) comments


At the Cable Next-Gen Technologies & Strategies event in Denver, Cox's Jeff Finkelstein examines the cable capex conundrum.
LRTV Documentaries
Cable Next-Gen: The 'Mile High' View From Denver

3|22|17   |   11:56   |   (0) comments


Alan Breznick kicks off the Cable Next-Gen Technologies & Strategies event in Denver, casting his thousand-yard stare over cable's current competitive landscape.
LRTV Huawei Video Resource Center
Huawei at CeBIT 2017: Day 2

3|21|17   |   2:27   |   (0) comments


Light Reading reports from CeBIT 2017 in Germany, where Huawei is exhibiting digital transformation solutions around IoT, smart data centers, OpenCloud ecosystem and its newly announced storage-as-a-service solution.
LRTV Custom TV
Driving Better Mobile Customer Experience While Transforming the Mobile Network

3|21|17   |   7:47   |   (0) comments


The Citrix NetScaler mobile gateway is an intelligent traffic management solution which can markedly improve the customer experience provided by mobile operators, even when traffic is encrypted. Critical network services can be consolidated and virtualized using NetScaler. Because of the unique architecture, NetScaler can be deployed on any hypervisor, on a ...
LRTV Custom TV
Mastercard: What's Next for Mobile Payments?

3|21|17   |   7:49   |   (0) comments


2017 marks the fifth consecutive year for Mastercard at Mobile World Congress and it was a great time to reflect on the amazing advances the payments industry has made as well as discuss "What's Next' in the digital commerce future. We spoke to James Anderson, executive vice president of digital payments at MasterCard, about digital wallets to tokenization to ...
LRTV Custom TV
Mastercard: 2 Billion Adults 'Trapped' in Cash Economy

3|21|17   |   03:51   |   (1) comment


Despite advances made in the last several years, two billion adults around the world are trapped in a cash economy and lack what we take for granted -- a safe way to receive, save and use money. Shamina Singh, executive vice president of sustainability and president of the Mastercard Center for Inclusive Growth, chats about how Mastercard is developing new ways to ...
Upcoming Live Events
May 15-17, 2017, Austin Convention Center, Austin, TX
May 15, 2017, Austin Convention Center - Austin, TX
June 6, 2017, The Joule Hotel, Dallas, TX
All Upcoming Live Events
Infographics
With the mobile ecosystem becoming increasingly vulnerable to security threats, AdaptiveMobile has laid out some of the key considerations for the wireless community.
Hot Topics
High-Band 5G: Let's Address the Range Question, Shall We?
Dan Jones, Mobile Editor, 3/21/2017
Eurobites: A1, Nokia Turn It Up to 11
Paul Rainford, Assistant Editor, Europe, 3/22/2017
FTTH No Slam Dunk for Cable
Carol Wilson, Editor-at-large, 3/23/2017
Top Priorities for B/OSS Transformation
James Crawshaw, Senior Analyst – OSS/BSS Transformation, Heavy Reading, 3/20/2017
Like Us on Facebook
Twitter Feed
BETWEEN THE CEOs - Executive Interviews
TEOCO Founder and CEO Atul Jain talks to Light Reading Founder and CEO Steve Saunders about the challenges around cost control and service monetization in the mobile and IoT sectors.
At MWC 2017, Qualcomm's CTO Matt Grob talks to Light Reading's CEO and Founder Steve Saunders about the progress being made in the development of the technologies and standards that will underpin 5G.
Animals with Phones
Neither Do We Click Here
Is that a prerequisite?
Live Digital Audio

Playing it safe can only get you so far. Sometimes the biggest bets have the biggest payouts, and that is true in your career as well. For this radio show, Caroline Chan, general manager of the 5G Infrastructure Division of the Network Platform Group at Intel, will share her own personal story of how she successfully took big bets to build a successful career, as well as offer advice on how you can do the same. We’ll cover everything from how to overcome fear and manage risk, how to be prepared for where technology is going in the future and how to structure your career in a way to ensure you keep progressing. Chan, a seasoned telecom veteran and effective risk taker herself, will also leave plenty of time to answer all your questions live on the air.