T-Mobile Lost 700,000 Subscribers Because It Doesn't Have The iPhone
by Jay Yarow on Feb 23, 2012, 11:45 AM
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 T-Mobile USA lost 802,000 subscribers in the fourth quarter. The main reason for the defections? No iPhone. T-Mobile mentions the iPhone seven times in its earnings press release. Here is each mention; we bolded the biggest stunner in the bunch: - Contract business negatively impacted in the fourth quarter of 2011 by iPhone 4S launches by three nationwide competitors
- Branded contract losses improved through the third quarter of 2011, however the launch of the iPhone 4S reversed this trend to a branded contract customer loss of 706,000 in the fourth quarter of 2011
- CEO Philipp Humm: "Not carrying the iPhone led to a significant increase in contract deactivations in the fourth quarter of 2011."
- The sequential and year-on-year increase in customer losses is a result of intense competitive pressure from the launch of the iPhone 4S by three nationwide competitors in the fourth quarter of 2011.
- Sequentially, the decline in branded net contract customers was driven primarily by higher branded contract deactivations as a result of the launch of the iPhone 4S by three nationwide competitors in mid-October.
- The sequential and year-on-year increase was primarily due to higher churn of branded contract customers as a result of competitive market conditions and all of T-Mobile’s primary nationwide competitors offering the iPhone 4S in the fourth quarter of 2011.
- Sequentially and year-on-year contract churn was negatively impacted by competitors’ launches of the iPhone 4S, which is not offered by T-Mobile USA.
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