T-Mobile Quarterly Results Show Benefits of AT&T Merger

T-Mobile USA's recently released quarterly report offers proof of just how badly the company needed to merge with AT&T to stay afloat — and how the merger is good for everyone involved.

In the report, issued on May 6, T-Mobile USA said it lost roughly 28,000 prepaid customers and 471,000 postpaid subscribers. Additionally, the company saw a net rise in its Cash Cost per User (CCPU).

Telecommunications analyst Roger Entner says these numbers show how merging with AT&T was a much-needed decision for T-Mobile and its parent, Deutsche Telekom:

"Where would T-Mobile be in five years from now without the AT&T merger? ... Deutsche Telekom chose the easy and financially prudent path out: Sell the company rather than rebuild the company and go through a costly corporate rebuilding and repositioning. The agreement with AT&T came just in time."

Entner goes on to point out that, with the merger, T-Mobile now has a great deal of potential to become a major force in the telecom world:

"The US market is competitive and companies can come back from near death when they do things right."

The Communications Workers of America support the AT&T/T-Mobile USA merger because of the benefits to consumers and the workforce.

T-Mobile results show AT&T arrived just in time

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