Displaying items by tag: TMobile
T-Mobile recently announced plans to roll-out its new 600MHz LTE network in the US, leveraging the massive haul of super-premium low-band spectrum the operator won in the government broadcast incentive auction concluded earlier this year. The announcement came just two months after the company received its spectrum licenses from the FCC.
The first of T-Mobile’s 600MHz LTE network sites were switched on in Cheyenne, Wyoming using Nokia equipment. Starting in rural America and other markets where the spectrum is clear of broadcasting, T-Mobile plans to deploy the new “super spectrum” at “record-shattering pace” – compressing what would usually be a two-year process from auction to consumer availability into a short six months.
The operator said additional 60MHz sites are slated for locations including Wyoming, Northwest Oregon, West Texas, Southwest Kansas, the Oklahoma panhandle, Western North Dakota, Maine, Coastal North Carolina, Central Pennsylvania, Central Virginia, and Eastern Washington. Those deployments and other network upgrades will help T-Mobile increase total LTE coverage from 315 million Americans today to 321 million by the year’s end, it predicts.
“Earlier this month, wireless customers coast to coast proved T-Mobile already delivers America’s best unlimited network. We swept the competition in OpenSignal’s report on all counts—a global industry first. And that was before we started lighting up the world’s first 600 MHz LTE network,” said John Legere, president and CEO of T-Mobile.
To meet this aggressive timeline for getting this “super-spectrum” into customers’ hands, T-Mobile said it has been coordinating closely with infrastructure providers, chipset makers and device manufacturers to bring 600 MHz LTE to customers at breakneck speed. Nokia and Qualcomm have launched new technology, and both Samsung and LG plan to launch phones that tap into this new spectrum in the fourth quarter of this year.
T-Mobile is also working closely with the Federal Communications Commission (FCC) and broadcasters like PBS to clear the spectrum in record time, investing where necessary to preserve programming consumers care about while paving the way for new wireless coverage and competition for consumers.
“To work with T-Mobile in lighting up the world’s first 600 MHz LTE network is a momentous achievement,” said Rajeev Suri, President and Chief Executive Officer of Nokia. “We knew this spectrum would be key for covering wide areas, providing bandwidth in hard-to-reach places, augmenting capacity and improving data speeds, so we began testing and readying 600 MHz network infrastructure equipment and software long before the incentive auction was over.”
German telecom giant Deutsche Telekom posted quarterly results showing core profits up 9 percent thanks to strength in the United States and modest increases in its home market. The company moved up its 2017 outlook for core profit to around €22.3 billion ($26.4) from a previous 22.2 €billion.
T-Mobile US, the third largest mobile operator in the United States, contributed to Deutsche Telekom’s rise in profits, as it maintains a 64 percent stake in the company. T-Mobile recently said it added over a million customers for the 17th quarter in a row, boosting confidence for Deutsche Telekom.
The US operator is reportedly seeking a merger with the fourth ranked mobile operator in the country, Sprint Corp., in a deal that could dramatically alter the US telecommunications market into three huge players, including AT&T and Verizon. However, Sprint’s majority owner, Japan’s SoftBank, is also considering a merger with cable communications provider Charter, Reuters recently reported.
T-Mobile’s possible tie-up with Sprint has seen Deutsche Telekom’s stock rise and fall, gaining up to 12 percent in May when the speculation began, but then tumbling down 4.4 percent in the year to date after no deal emerged. Overall, the company’s revenue increased to €18.89 billion, topping the high end of forecasts by 10 analysts polled by Reuters.
T-Mobile US posted strong results this quarter despite the fact that its competition went big on unlimited offers. The operator reported record low customer attrition and said it was considering a quarterly dividend.
Chief Financial Officer Braxton Carter said, "We're actually starting to have conversations about instituting a small quarterly dividend that we can grow in the future.”
Q2 2017 was a record-breaking quarter in a number of areas for T-Mobile, the company states. The operator delivered record service revenue, strong net income, record Adjusted EBITDA and record-low postpaid phone churn. T-Mobile added 1.3 million total customers, marking 17 straight quarters of adding more than 1 million every quarter.
The company expects to capture all of the industry's postpaid phone growth with 786,000 branded postpaid phone customers in the quarter. Customers are also staying longer, T-Mobile claims, reflected in its record-low branded postpaid phone churn of 1.10% in Q2 2017.
As a result of these strong customer metrics, T-Mobile grew service revenues to record levels, up 8% year-over-year in Q2 2017, it claims. The operator’s consistent level of outperformance has seen it gaining share from larger competitors AT&T and Verizon in a saturated US market through its network improvements and lower prices.
The company had said it was open to various strategic options and has acknowledged it would consider talks with rival Sprint about a potential merger, Reuters reported. However, discussions appear to be on hold, as Sprint, owned by Japan’s SoftBank, is also in negotiations with cable companies Charter Communications and Comcast.
T-Mobile’s net income rose to $581 million, or 67 cents per share, from $225 million, or 25 cents per share, a year earlier. Total revenue grew to $10.21 billion from $9.29 billion. The operator toppled analyst predictions of 38 cents per share on revenue of $9.81 billion, according to Thomson Reuters I/B/E/S.
"We just delivered a quarter with record service revenue, record-low churn, strong net income and record Adjusted EBITDA - all while leading the industry in postpaid phone growth," said John Legere, President and CEO of T-Mobile.
"On top of that, our network just keeps getting better and faster while the Duopoly's networks seem to be choking after we forced them to go unlimited. Make no mistake about it, the Un-carrier will not stop forcing change in this industry and our Q2 results are more proof that consumers are responding!"
What is a Un-carrier? T-Mobile defines the model as “listening to customers, solving their pain points and giving them unmatched value.” Focusing on these simple priorities has “completely disrupted the wireless industry” T-Mobile claims, “and forced the competition to respond to our moves.”
T-Mobile announced on June 26 it had completed the United States’ first mobile broadband data session live in the field using License Assisted Access (LAA) on its commercial network. The field testing, which began in Los Angeles, showed blazing 741 Mbps download speeds using 80 MHz of aggregated spectrum.
In addition, T-Mobile is the first national wireless provider to make LTE-U available to customers. LTE-U uses publicly available 5 GHz airwaves to bolster existing LTE capacity and give a speed boost to what is considered America’s most advanced 4G LTE network. T-Mobile LTE-U is live in select locations in Bellevue, WA; Brooklyn, NY; Dearborn, MI; Las Vegas, NV; Richardson, TX; and Simi Valley, CA, with more rolling out later this year.
For T-Mobile customers, LTE-U delivers even more capacity and faster speeds. And there’s no need to turn on or download anything. It just works for T-Mobile customers in LTE-U locations with compatible smartphones. LTE-U provides similar speed and capacity benefits for consumers as the trifecta of technologies T-Mobile launched last fall – Carrier Aggregation, 256 QAM (Quadrature Amplitude Modulation) and 4x4 MIMO (Multiple Input Multiple Output) – with less licensed spectrum.
“LAA is just the latest example of how T-Mobile is innovating the way forward. While our competitors scramble to deal with the way unlimited data plans are slowing down their networks, we’re already moving on to what’s next,” said Neville Ray, CTO at
T-Mobile. “This means that the fastest LTE network – that’s T-Mobile – will only get faster. I hope AT&T and Verizon like eating our dust!”
Earlier this year, the FCC cleared the way for LTE in unlicensed spectrum, enabling wireless providers to use unlicensed airwaves in the 5 GHz band that are frequently underutilized. LTE-U and LAA devices and equipment intelligently tap into and share underutilized unlicensed spectrum without affecting other users on the same band, including those using conventional Wi-Fi. Building on years of research, development and testing, T-Mobile immediately began the rapid rollout of new network hardware to support LTE in unlicensed spectrum.
LAA enables greater carrier aggregation than LTE-U, so mobile operators can combine larger amounts of unlicensed and licensed spectrum. LAA will allow T-Mobile to deliver even more bandwidth and faster speeds to customers in the future. T-Mobile is first to use this LTE Advanced technology. The Un-carrier plans to further densify its network with small cells which include LAA functionality starting later this year.
Fresh off its game-changing results in the US government’s historic 600 MHz spectrum auction and another industry-leading quarter, T-Mobile became the first US wireless company to announce plans for truly nationwide 5G. On top of expanding and strengthening its LTE coverage, the Un-carrier will use a portion of its $8 billion mother lode of low-band 600 MHz spectrum to deliver 5G coverage from coast to coast.
T-Mobile president and CEO John Legere laid out the Un-carrier’s strategy to deliver 5G coverage to customers across the country in a video blog published on May 2.
“5G will be amazing, and we can’t even imagine all the cool stuff it will bring, just like with our earlier network innovations. That’s why truly mobile 5G has to be nationwide -- period, the end,” said John Legere, president and CEO of T-Mobile. “The carriers are using 5G to either distract from how badly they’re losing today or to give their shareholders some hope they can compete with Big Cable. Their ambitious vision for Fixed 5G to replace home internet will never provide mobile 5G coverage. It makes no sense.”
The Un-carrier will leverage multiple spectrum bands to deliver true nationwide Mobile 5G coverage. The Duopoly are approaching 5G much like a series of hotspots in select cities—with 5G coverage that will completely disappear once customers step outside these limited 5G zones, meaning their 5G experiences disappear too.
T-Mobile CTO Neville Ray penned a blog explaining the breadth and depth of the Un-carrier’s nationwide Mobile 5G.
“There’s no such thing as ‘5G spectrum,’ and in the next decade we’ll see everything moving to 5G,” said Neville Ray, T-Mobile CTO. “Nationwide Mobile 5G will require both high-band AND broad low-band coverage, and having unused nationwide 600 MHz spectrum means T-Mobile is in an ideal position to deliver.”
On top of its nationwide deployment, T-Mobile 5G will enable high bandwidth and massive throughput in urban areas using a combination of mid-band and millimeter wave spectrum.
T-Mobile’s 600 MHz 5G network will deliver increased radio efficiency, immense numbers of connected devices, lower latency and improved battery life and reliability, all of which Mobile 5G will make possible. T-Mobile expects to deploy 5G in its low-band 600 MHz spectrum quickly across its existing nationwide macro network, in contrast with the carriers’ millimeter wave spectrum plans, which would require a number of small cells so massive that providing broad coverage would be impossible.
“The 600 MHz spectrum will allow 5G to be deployed nationwide, bringing the ultimate experiences to T-Mobile’s enterprise customers and consumers throughout the United States,” said Borje Ekholm, President and CEO, Ericsson. “We will support T-Mobile US with 5G radio development for this spectrum. Commercial availability of the product will be aligned with 3GPP standardization and ecosystem support.”
Beyond vastly improved speeds for mobile devices, T-Mobile expects to see a whole new class of innovative mobile applications and solutions emerge, built for broad 5G coverage.
“The 5G networks of tomorrow have the ability to usher in tremendous commercial opportunities for service providers, vertical industries and new entrants,” said Rajeev Suri, CEO of Nokia. “Nokia is proud of its 20-year history of working alongside T-Mobile to build their next generation networks. With its future network plans to pursue Mobile 5G on 600MHz, we stand ready to take T-Mobile into the next decade.”
Along with device and infrastructure partners, T-Mobile will help drive 3GPP certification for 5G in 600 MHz. As 5G standards are defined, chipsets are delivered, and equipment comes to market, T-Mobile will quickly deploy 5G nationwide in a large swath of unused spectrum. 5G rollout is expected to begin in 2019 with a target of 2020 for full nationwide coverage.
The US Federal Communications Commission (FCC) is set to lift a ban on telecommunications companies engaging in merger discussions. Since the FCC announced its plan, Wall Street has predicted that T-Mobile US, Sprint, and Dish will be the first companies to engage in merger talks.
Shares of these companies have risen over the past 12 months on expectations of deal discussions. Each firm is trading at up to 31 times forward earnings, in contrast to the S&P 500 telecom services index’s 18 times.
However, analysts have suggested that the rich valuation of these companies could deter potential acquirers who will have to assume the risk that antitrust regulators may look suspiciously at more consolidation in the telecoms sector after so many mergers in recent years.
Craig Moffett, an analyst at MoffettNathanson, says it seems as though “valuations have already jumped to a near certainty a deal will be announced and approved.” You have to ask yourself, he says, “whether T-Mobile is going to be as eager to do a deal as Sprint.”
Both T-Mobile and Sprint, who have seen their shares rise significantly the past 12 months (142 percent for Sprint and 65 percent for T-Mobile), have declined to comment on whether or not they will pursue merger deals or how valuation considerations could be a major factor.
There has long been talk of a potential merger deal between Sprint and T-Mobile – the third and fourth largest US wireless service providers. Investors have predicted cost cuts and other synergies in the range of $6 billion to $10 billion.
According to a report by Reuters, SoftBank, the controlling shareholder of Sprint, was positioning itself for talks with T-Mobile’s top shareholder, Deutsche Telekom AG, once a US government auction of spectrum ended. The companies that participated in the auction last May were banned from engaging in merger discussions.
Following the end of the auction, the FCC now plans to lift the ban on April 27, when down payments are due from the auction winners. The fact that T-Mobile and satellite provider Dish won the bulk of the auctioned spectrum makes them more appealing merger targets, according to analysts. T-Mobile now has more leverage to improve its network and support unlimited data packages for customers. The company’s financial results have also improved since it last held merger talks with Sprint in 2014.
US telecoms giant Verizon has criticized OpenSignal's Q4 State of Mobile Networks: USA report, saying the data cited is "limited and non-scientific" after it claimed that rival T-Mobile US was "within a stone's throw of matching" Verizon on 4G availability in the country.
The report, based on 4.6 billion network measurements for the Q4 period, claims its testers found a Verizon LTE signal 88.2 percent of the time. T-Mobile, on the other hand, closed the gap, reaching 86.6 percent. The report also says that Verizon and T-Mobile are almost equal when it comes to overall 4G speed metrics.
OpenSignal said in the report its availability metric measures the proportion of time users can access a particular network, as opposed to tracking geographic coverage. Verizon criticized this in a post on Twitter.
"OpenSignal provides crowdsourced data," Verizon wrote on Twitter. "Crowdsourcing favours downtown areas - that's where the majority of the tests come from - so it doesn't reflect the depth and breadth of the 2.4 million square miles of our 4G LTE coverage, by far the most in the industry."
Verizon added, "In addition to limited, non-scientific testing, with OpenSignal not getting a signal - the inability to perform a test is not counted against the results."
To back its statements, Verizon referred to other studies conducted by third parties including RootMetrics, J.D. Power and Nielsen, which Verizon said: "Do a better job of reflecting the actual customer experience." In those tests, Verizon said: "There is no real comparison."
For instance, RootMetrics ranked Verizon top in every category they tested in the first half of 2016, including speed. In contrast to Verizon's criticism, T-Mobile (unsurprisingly) praised the results of the OpenSignal report.
"When you combine T-Mobile's value with great speeds and a coverage map that's virtually indistinguishable to the big guys, well, let's just say 'it's on'," said T-Mobile CTO, Neville Ray.
Samsung continues to struggle with more reports of exploding Galaxy Note 7 smartphones. Therefore, the South Korean company recently said it was “adjusting production” of the device after major distributors ceased offering replacements because of continued safety concerns. Samsung issued a global recall in early September for 2.5 million of its flagship devices following reports of exploding lithium-ion batteries. On October 11, Samsung officially called to halt all sales of the device.
Reports began to surface of replacement devices exploding or catching fire, which prompted U.S. telecoms firm AT&T and its German rival T-Mobile to halt recall exchanges pending further investigations. The faulty devices have caused Samsung’s share price to fall to more than four percent at one point in morning trade, AFP reported. It later recovered to close the day at 1.68 million won ($1,515), down 1.52 percent.
On the 11th October Samsung Electronics called for a worldwide halt to the sale and exchange of its Galaxy Note 7, advising all customers to cease using the device immediately due to the rising number of incidents where phones were exploding. The warning was issued in a written statement. It was the first formal acknowledgement of continued safety concerns and came a day after Samsung acknowledged it was easing production of the Galaxy Note 7.
"Because consumers' safety remains our top priority, Samsung will ask all carrier and retail partners globally to stop sales and exchanges of the Galaxy Note 7 while an investigation is taking place," the statement said.
Samsung further noted that its investigation of the "recently reported cases" involving the Note 7 –many of which were made public by uploading videos of exploded devices to YouTube – were being carried out in cooperation with the relevant regulatory bodies in those markets where the recall was ordered. In the meantime, the company advised any consumer with an original or replacement Galaxy Note 7 to "power down and stop using the device" immediately.
Analysts, according to AFP, have suggested that Samsung, battling ever-fiercer competition in the saturated smartphone market, may have rushed production of the Note 7 with bitter rival Apple's recently released iPhone 7 in mind. The flagship device was crucial to Samsung's growth plans for this year, with the company struggling to boost sales, squeezed by Apple in the high-end sector and Chinese rivals in the low-end market, as profit has stagnated.
The trouble with the Note 7 and the handling of the recall, which analysts say could cost up to $2.0 billion, has also highlighted Samsung's shaky management at a time when it is navigating a tricky generational power transfer within its founding Lee family. Industry experts have criticized the dynasty for controlling the vast group through a complex web of cross-shareholdings, even though they directly own only about five percent of total stocks.
AT&T, Verizon, Dish Network, T-Mobile U.S. and Comcast are amongst 62 bidders that have made upfront payments to the U.S. Federal Communications Commission (FCC) in a forthcoming wireless spectrum auction. The auction will begin on August 16. The FCC has said the price of 126 MHz of television airwaves taken from broadcasters to be sold for wireless use is $86.4 billion.
The auction, dubbed the ‘broadcast incentive’ is one of the FCC’s most ambitious campaigns to date. But industry analysts have suggested that wireless providers may not be willing to fork out so much money for the airwaves on sale to expand their networks. This could force the FCC to either lower their prices or hold and additional auction.
The process all started with a ‘reverse auction’ where broadcasters competed to offer up spectrum to the FCC for the lowest price. The wireless providers will then compete in an auction to offer the FCC the highest price for the spectrum. At the end of the day, the FCC will emerge as a winner either way.
A report by Reuters says wireless firms and other bidders initially had to front 50 percent of the opening price to participate in the auction. At the beginning there were about 100 organizations and individuals who were qualified to take part in the auction, but many didn’t go further because they were put off by having to front the 50 percent.
Some in the industry are doubtful about the high expectations of broadcasters looking to sell spectrum. For example, Recon Analytics analyst Roger Entner said in June that the results confirm that broadcasters have “significantly inflated expectations.” Particularly with the unrest caused by the recent Brexit vote and the upcoming American election, wireless operators are unlikely to take on more debt, Entner said.
Dan Hays, principal at audit firm PwC’s consulting arm Strategy&, believes a second round of the reverse auction is inevitable, and will probably take place later on this year, and could even drag on until early next year. But if the auction does proceed as planned, S&P Global Market Intelligence estimates that a dozen broadcasters, including Univision Communications, CBS Corp, Sinclair Broadcast Group and Media General, could generate up to $13 billion in the spectrum auction.
T-Mobile US Inc. TMUS is gradually expanding its 4G LTE coverage in the U.S. Recently, the company has entered into an agreement with AT&T Inc. to acquire spectrum in the 700 MHz band. This will help the company to provide LTE network in the greater Chicago area. AT&T had acquired this license as part of its takeover of Leap Wireless two years ago. Although the financial terms of the T-Mobile US – AT&T deal have been kept under wraps, the transaction is likely to be closed in the fourth quarter of 2016.
In 2014, T-Mobile US acquired 700 MHz spectrum from Verizon Communications Inc. VZ in a deal worth multi-billion dollar. Ever since that buy, T-Mobile US has systematically increased its 700 MHz airwaves portfolio through 23 transactions. After the completion of the AT&T deal, T-Mobile US will install LTE coverage in the top 10 markets of the U.S.
Notably, in Mar 2016, T-Mobile US sought Federal Communications Commission’s (FCC) approval for a millimeter wave radio test license using the company’s 28 GHz and 39 GHz frequency bands to conduct a test run of the upcoming 5G wireless standard. The company has formed partnerships with Ericsson AB ERIC and Nokia Corp. NOK to set up field and lab trials for 5G networks. A full-fledged 5G network deployment will not start until 2020.