How long will T-Mobile USA be growth driver for DT?

T-Mobile USA drove Deutsche Telecom's results again, adding 4.4 million customers in 2005, a 25 percent increase from the previous year. Net revenue was $14.1 billion for the year. While DT says T-Mobile USA is the growth driver for the company, how long will it remain so? The German telecom company faces a huge bill to upgrade to 3G services to follow its rivals, who are already far ahead in the high-speed data race. Right now high-speed data doesn't seem to have an impact on T-Mobile, which is competing on cheap prices and continues to lead in several regions in customer satisfaction. But DT CEO Kai-Uwe Ricke knows he needs to start moving because others besides carriers, including cable providers, are vying for wireless subscribers. As expected, he said T-Mobile will bid for next-generation spectrum but declined to estimate costs associated with buying spectrum and building a next-gen network. How much is the company willing to shell out to make T-Mobile competitive in the future?

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