T-Mobile Offers Everything Free To Battle AT&T, Sprint, And Verizon

Telecom & Wireless

Published: October 26, 2009 6:28 am

Last Updated: March 11, 2020 8:42 am

The T-Mobile US division of German telecom giant Deutsche Telekom (NYSE:DT) has run a distant fourth in cellular subscribers in America well behind AT&T (NYSE:T), Sprint (NYSE:S), and Verizon Wireless (NYSE:VZ)(NYSE:VOD).

T-Mobile means to close some of that gap between itself and its rivals, but it may start a price war in the process.

T-Mobile announced that it will offer plans with no annual contracts and rates as low as $29 a month. The most expensive monthly plan the carrier will offer under its new program is $79,99 for unlimited talk, text, and web access.

The plan appears to be much more flexible that those offered by The Big Three carriers. It uses its two-year subscription plans and inexpensive access to premium phones to keep customers tied to high subscription plans for long periods of time. T-Mobile means to break those bonds and could cause a price war among the carriers as each tries to keep the customers it has from defecting to more attractive programs.

Douglas A. McIntyre

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