T-Mobile Is Diving In to Better Serve SMBs

By Todd R. Weiss  |  Posted 2015-03-18 Print this article Print

The mobile carrier said it aims to expand in the small and midsize business segment by offering simple pricing, simple data plans and new support services.

NEW YORK—T-Mobile is now targeting small and midsize businesses (SMBs) to grow its own operations and revenue as the company continues its ongoing efforts to battle competitors by cutting prices and improving services for its customers.

In the last two years, T-Mobile has unveiled a series of what it calls "Un-carrier" events that have ended mobile contracts for consumers, removed overage charges, created rollover data capabilities and more, unlike the company's competitors.

Now, the company has unveiled its latest iteration of its Un-carrier announcements—"Un-carrier for Business," or Un-Carrier 9.0—which is all about bringing similar simplicity, increased value and improved services to customers who own, run and work in the millions of SMBs across the United States.

"We're going to do for businesses what we've already been doing for consumers," John Legere, president and CEO of T-Mobile, said at a March 18 press event in New York City, where the new strategy was announced. "Eliminate pain points and force change. The majority of U.S. businesses—a full 99.7 percent—have less than 500 employees and don't have the money or resources to waste debating, negotiating and deciphering the carriers' hidden pricing.  Today, we're upending how business buys wireless with 100 percent transparent pricing, the best rates, business family discounts and more."

About $83 billion in revenue industry-wide in the mobile market comes from serving business customers among the four largest carriers, said Legere, Some $72 billion of that is spent with the two largest carriers, Verizon Wireless and AT&T, he said. Only about $3.8 billion of that market is captured by T-Mobile, with the rest going to Sprint.

With that gap in mind, T-Mobile is now moving to capture more of that market by offering mobile plans that the company hopes will attract new business customers and convince them to move over to T-Mobile.

Under the simplified Un-carrier for Business pricing, businesses will pay $16 per line per month for up to 19 lines of service, with each one including 1GB of high-speed data. Pricing for 20 to 999 lines is $15 per line per month, including 1GB of high-speed data per line, while pricing for 1,000 lines or more is $10 per line per month.

More data can be added as desired for $10 per user for 2GB of data per month. Larger "pools"of data are also available for purchase as needed, starting at $4.75 per GB for up to 100GB or $4.50 per GB for up to 500GB. Data pools of more than 1TB per month are priced at $4.25 per GB.

Business Services Also Included

In addition, the Un-carrier for Business program also offers SMBs a free and simple way to start their own Websites through a free dot-com domain and Website tools in a partnership with Web hosting company GoDaddy.com for all business customers who purchase data allocations from T-Mobile.

Business customers will also gain the ability to get branded email addresses for their companies, rather than generic Gmail or ISP-based email addresses through an arrangement with Microsoft that will allow customers to now have custom-branded email domains, according to T-Mobile.

Discounts are also available for the family members of new business customers so that they also can save on their phone plans.


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