T-Mobile US (NYSE:TMUS) is launching new pay-as-you-go prepaid pricing that it says simplifies its offering. The changes, which go into effect Aug. 17, could help boost T-Mobile's momentum in the prepaid market.
Under T-Mobile's current pay-as-you-go prepaid plans, customers pay either $0.10, $0.13, $0.19 or $0.33 per minute for voice calls depending upon how many minutes they buy over a defined period of time, with the lower costs applying to packages of more minutes. Customers also pay $0.10 to send and receive texts and $0.25 to send and receive pictures and videos. The existing plans also do not include LTE data.
The new plans offer customers a single flat rate of $0.10 per minute or message for talk and text. The plans will come with a $3 monthly minimum, which gives customers 30 minutes of talk or 30 text messages. Further, T-Mobile said it will give pay-as-you-go prepaid customers the option of buying on-the-go daily and weekly LTE data passes of $5 for a 1-day pass of up to 500 MB of LTE data or $10 for a 7-day pass of up to 1 GB of LTE data.
T-Mobile recently boasted it now has 15.64 million total prepaid customers, above compared to Sprint's (NYSE: S) 15.19 million prepaid subscribers.
In the second quarter T-Mobile reported 102,000 branded prepaid net customer adds, which was down from 465,000 in the seasonally strong first quarter of 2014, but up when compared to a loss of 87,000 net additions in the second quarter of 2013 on a pro forma combined basis when adding in MetroPCS.
- see this release
- see this CNET article
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