T-Mobile's cheaper plans help raise forecast for subscriber growth

[July 27, 2022]  (Reuters) - T-Mobile US Inc on Wednesday raised its subscriber growth forecast for the second time this year as the wireless carrier's relatively cheaper plans lured customers reeling from decades-high inflation.

A T-Mobile logo is advertised on a building sign in Los Angeles, California, U.S., May 11, 2017. REUTERS/Mike Blake/File Photo

The company expects to add net monthly-bill paying subscribers of between 6 million and 6.3 million in 2022, up from a prior forecast of 5.3 million to 5.8 million.

T-Mobile's decision not to raise prices for its wireless plans has helped it rake in more customers in a price-conscious market, while rival telecom companies AT&T Inc and Verizon Communications Inc have had to raise rates to combat higher costs.

The carrier added 723,000 subscribers in the second quarter, much above FactSet estimates of 573,100.

(Reporting by Richard Rohan Francis, Eva Mathews and Niket Nishant in Bengaluru; Editing by Arun Koyyur)

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