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Here's how New T-Mobile plans to disrupt the current US in-home broadband market — and why it will be successful… T-Mobile CEO John Legere offered a peek into how the company will bring its Un-Carrier initiative into the cable broadband market if it gets the go-ahead to merge with Sprint.
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The combined company, New T-Mobile, plans to disrupt the current US in-home broadband market — dominated by Comcast, Charter, AT&T, and Verizon — by offering an alternative option: a low-priced 5G home internet service featuring fast speeds, self-installation, no annual service contract, and its Layer3 TV service. T-Mobile plans to kick off its Home Internet service by using a 4G LTE router running its existing LTE network. After the merger, the router will be upgraded to include 2.5 GHz spectrum and 5G compatible hardware.
Why would New-T-Mobile expand beyond wireless?
- Increasing competition in a market other than wireless will help incentivize regulators to approve the T-Mobile-Sprint merger. New T-Mobile's service will offer consumers options: Nearly one-third (29%) of US households either have no service or lack a second option for wired broadband service. That share jumps to over 61% in rural households. New T-Mobile's entry could force legacy providers to expand their coverage areas to avoid the risk of losing existing customers who gain a second option and to capture ones without any option that might migrate to New T-Mobile.
- It's an opportunity for new revenue streams and customers. New T-Mobile expects to add 9.5 million customers to its home broadband service by 2024. It will also offer services to over half of US households by 2024.
Here's why the move will be a success...
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