1.
GET TO KNOW T-MOBILE
IN JUST 8 SLIDES

2.
What does T-Mobile do?
T-Mobile is the third-largest wireless carrier in the U.S., based on
subscriber numbers. The self-proclaimed “Un-Carrier” sells cellular
voice and data plans for phones and tablets, as well as cellular service
for wearable devices and mobile hotspots. The carrier operates the
Metro PCS brand and is partially owned by Deutsche Telekom, a
German telecommunications company which holds 66% ownership of
T-Mobile.
Image source: T-Mobile.

3.
Cellular subscribers: As a wireless carrier, T-Mobile’s primary focus
is gaining wireless subscribers — and the company does this very well.
Over the past 10 quarters, T-Mobile has managed to add at least 1
million net subscribers per quarter. As of Q3 2015, the carrier had a
total of 61 million subscribers, surpassing Sprint’s 58 million
subscribers.
0
1
2
2
3
NetCustomerAdditions(millions)
Data source: T-Mobile SEC filings.
T-Mobile’s key segments

4.
Revenue per user: Like all other wireless carriers, T-Mobile is also
focused on its average revenue per user, or ARPU. In Q3 2015, T-
Mobile’s ARPU was $43.45, compared to rival Sprint’s $45.04.
T-Mobile’s key segments
0
13
25
38
50
T-Mobile Sprint
ARPU
Source: Strategy Analytics.

5.
While T-Mobile’s made huge gains in both its subscriber numbers and
its 4G LTE network, the carrier still falls short of Verizon, AT&T, and
Sprint’s network performance, according to the latest data from
RootMetrics.
T-Mobile’s network performance
Source: RootMetrics.

6.
How T-Mobile performed in the
most recent quarter
• Total revenue was up 7% year over year, to $7.8 billion.
• Net income of $138 million, or $0.15 per share, compared to a loss of
$94 million in the year-ago quarter.
• Free cash flow of $411 million.
• Net subscriber growth of 2.3 million.
• Reached a total of 300 million LTE points-of-presence (POPs) in
2015, ahead of schedule.
• Set guidance for full-year branded postpaid net adds to 4.2 million.
Image source: T-Mobile.
Q3 2015

7.
How T-Mobile is expanding
Through a series of Un-Carrier events, the carrier offers many of its
subscribers free video streaming through more than 20 sources (like
Netflix, Amazon Prime, and others), and free music streaming
through apps like Apple Music, Pandora and Spotify.
Image source: T-Mobile.

8.
How T-Mobile is expanding
The carrier also offers international calling and data usage at no extra
charge, monthly data rollover for most subscribers, and recently
increased the monthly amount of 4G LTE data provided to customers
at no extra charge.
Image source: T-Mobile.

9.
Potential trouble spots
While giving all those things away to subscribers is spurring T-
Mobile’s growth, it comes at a price. T-Mobile will eventually have to
raise prices in order to sustain its business. Deutsche Telekom CEO
Timotheus Höttges told Re/code last year that T-Mobile’s strategy is
unsustainable, and that, “You have to earn your money back at one
point in time.”
Image source: T-Mobile.

10.
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