T-Mobile Lost 471K Customers Last Quarter


According to Business Wire, T-Mobile USA lost 471,000 customers in the first quarter of 2011. They also gained 192,000 in the same quarter. So although it’s not quite as bad as it sounds, a net loss of 279,000 is fairly bad news. This turnover is called “contract churn” in the industry. If a carrier’s “churn” nets zero then they’re generally doing okay. If they are losing customers faster than gaining new ones, that’s a problem.

The reason for the decline in numbers? T-Mobile cited increased competition (something sure to help AT&T’s with various governmental entities) as the primary factor. It wasn’t until near the end of the quarter (March 20th) that two parties formally agreed to the purchase of T-Mobile by AT&T — but rumors of T-Mobile selling out or merging with another U.S. carrier had been flying for months before the AT&T talks were final.

That kind of discussion doesn’t bode well with long-term customers, like myself, and certainly played a part in the “contract churn”. What will be significantly telling will be Q2 2011’s numbers, which will include not only those who are simply leaving T-Mobile, but will also include those those who don’t want to go to AT&T.

What about you?

Are you an AT&T customer? Do you welcome all your new T-Mobile neighbors? Do you think T-Mobile’s network will help increase your data speeds and increase its reach? Do you think adding all those new customers will simply slow down AT&T’s network even more?

Are you a T-Mobile customer? Do you plan on riding out the AT&T acquisition, or are you going to jump-ship to another carrier before that happens? What’s your biggest concern with the change-over?

Let us know in the comments!

Source: Business Wire

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About The Author
Joe Levi
Joe graduated from Weber State University with two degrees in Information Systems and Technologies. He has carried mobile devices with him for more than a decade, including Apple's Newton, Microsoft's Handheld and Palm Sized PCs, and is Pocketnow's "Android Guy". By day you'll find Joe coding web pages, tweaking for SEO, and leveraging social media to spread the word. By night you'll probably find him writing technology and "prepping" articles, as well as shooting video. Read more about Joe Levi here.