T-Mobile USA announced its first set of financial earnings since finally making the iPhone available on its network last month. Carrying the iPhone is being considered T-Mobile's saving grace, mixed with its new "UnCarrier" plans that cut the contract out of the mix for smartphones.
So how did the iPhone 5, 4S, and 4 do in its first month at the fourth-largest carrier stateside? T-Mobile says it moved 500,000 iPhones in total since it being available on its network on 12 April - which, when you think about it, isn't too shabby considering the iPhone 5 has been available for quite some time.
Furthermore, T-Mobile says it saw the first increase in customers since the first quarter of 2009, signalling its new UnCarrier plans might just be doing the trick. T-Mobile currently sits at roughly 34 million subscribers, an increase of about 579,000 customers in Q1.
As we explained in March, the UnCarrier plans allow customers not to sign a two-year contract, but instead pay full price for the iPhone 5 at time of purchase or $99 (£65) up front with $20 a month in payments for the next 24 months. That will round out to $579 over two years, or $70 cheaper than Apple's unlocked version. Once the payment period is up, the phone is unlocked and yours to take to any carrier.
Even with the solid performance, T-Mobile saw its revenue drop from $4.9 billion in Q4 2012 to $4.7 billion in Q1 2013. Net income is down year on year to $107 million from $200 million, though up from the previous quarter.
T-Mobile is looking forward to the future, as its merger with MetroPCS, another US carrier, was approved in April. “We ended the quarter with strong operational momentum, which is continuing into the second quarter, driven by the successful launch of our Un-carrier ‘Simple Choice’ service plan and the introduction of the iPhone into our device line-up," said T-Mobile CEO John Legere.
"Things only get more exciting from here, having brought T-Mobile USA and MetroPCS together to create the wireless industry’s value leader and premier challenger.”