T-Mobile Is In a Good Position for Rapid Growth: 10 Reasons Why

By Don Reisinger  |  Posted 2013-03-26 Print this article Print

5. Mobile hotspot is important

In all of T-Mobile’s new data plans, the company offers mobile hotspots. That’s an important feature that can’t be overlooked. Companies, especially, like to be able to share hotspots from one device to another and T-Mobile is making that easier. With hotspots and 4G LTE enterprise might warm a bit more to T-Mobile.

6. T-Mobile’s Plans Are Comparatively Cheap

It’s shocking to see how cheap T-Mobile’s plans are. The company’s cheapest option for a smartphone is $50 a month, offering 500MB of data, plus unlimited talk and text. Bumping the data up to 2GB costs customers $60 per month. T-Mobile might have found its stride with its new pricing plans.

7. Simplicity attracts customers

Simplicity is everything in the mobile space right now. With companies like Verizon taking a pick-and-choose approach to plans and what’s in them, customers are confused. What’s worse, they don’t know for sure how much they’ll have to pay when they sign a contract. T-Mobile, however, simplifies all that, by saying that it’ll offer unlimited texting and calling, and it’s up to customers to choose the data plan. It’s simple, and it’ll attract a lot of customers.

8. A new take on device pricing

T-Mobile is doing something very, very interesting when it comes to device pricing. Rather than take on subsidies, the company is doing away with them. In their stead will be a new pricing model in which customers make a down payment on a product and pay a set fee thereafter. For the iPhone 5, for example, customers will need to put $99 down and then pay $20 per month for use of the device. The iPhone 4S will set customers back by $70 at purchase and then $15 after that. T-Mobile claims customers could save over $1,000 through that pricing and its new plans.

9. GSM is an advantage

It’s important to understand just how important GSM is when it comes to being a carrier in the U.S. All over the world, GSM is the standard wireless technology. In the U.S., competitors Verizon and Sprint are using CDMA technology. Most of their devices now come with global connectivity, but not all. Every device sold by T-Mobile and AT&T, because they’re on GSM, can work globally. Those devices can also be ported between the two carriers and to other GSM services without having to buy a new device. That’s a major advantage for T-Mobile that cannot be overlooked.

10. It’s a scalable business model

One of the best things about T-Mobile’s decision to change its pricing and plans is that it’s fully scalable. Even as the company grows larger with new customers, it can offer the same pricing and make out. T-Mobile isn’t engaging in an introductory deal here; the company is in it for the long haul. Its new plans and pricing might just carry it through.

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