T-Mobile peddles self-branded 5G hotspot

T-Mobile announced its first T-Mobile-branded 5G hotspot, which it describes as an affordable way to use its 5G network “with more 5G bars in more places.”

The device – available starting next Thursday, June 16 – taps into T-Mobile’s 600 MHz Extended Range 5G for nationwide coverage, as well as Ultra Capacity 5G, or 2.5 GHz, for super-fast speeds “in hundreds of cities.”

The 2.5 GHz signals aren’t as widely available as those on the lower-band 600 MHz, but the carrier has set a goal of reaching 260 million people covered with the mid-band spectrum this year. It already covers 225 million people with the 2.5 GHz spectrum, which it acquired thanks to Sprint.

According to T-Mobile, new and existing customers can get the T-Mobile 5G Hotspot for free with 24 monthly bill credits when adding a line on an eligible 50GB or 100GB Mobile Internet plan or for $99 when adding a line on an eligible 5GB Mobile Internet plan.

Users of the new hotspot device can connect up to 32 devices for simultaneous connectivity. According to T-Mobile, “that’s enough to power a party of your closest friends at the park, the beach, the café – all day – or enough to power your office on the go.”

Who needs it?

Some long-standing questions for these and similar hotspot devices: Who needs it, and why not just use your phone as a hotspot?    

Bill Ho, principal analyst at 556 Ventures, said the “phone vs. dedicated hotspot” has been the question for the longest time.

“The hotspots usually have better antennas over a phone,” he told Fierce. “The buyer would likely be price insensitive to adding an additional mobile internet line to achieve better data performance. I think it’s a better positioning for T-Mobile Business segment users who may want to share their connection. “

Looking at the current lineup of devices on T-Mobile’s website, he noted that the Inseego 5G MiFi M2000 is the only 5G option as the T10 and Linkzone 2 are LTE devices, so this new device provides another choice. The Inseego device’s full price is $336 vs. the new hotspot’s of $198.

Hotspots are especially useful for small business in remote and fluid office setups, said industry analyst Avi Greengart, president of Techsponential.

“They can also make sense for families and travel. It allows sharing a cellular signal to multiple devices and device types sometimes with better antenna performance, while the dedicated battery means you won’t be rapidly killing your phone’s battery if you can’t plug the hotspot in,” he told Fierce.

T-Mobile’s network now includes low band 5G in more remote locations and very fast mid-band 5G in many cities and suburbs, making a 5G hotspot a really useful tool, and even a meaningful upgrade from older 4G hotspots, he said. In sum, “this is a good deal.”