|reply to FFH |
You don't really just need 3 providers. You can keep a 4th and the forth can be the discount provider that has no contracts, offers customers discounts for bringing their own phones, including the iPhone and actually giving directions on how to set it up. Who ever is in number 4 will be that carrier. But with Sprint itself it is going to need to change the way it does busienss. by them raising their prices even after they cried about not being able to compete against TMO-USA/AT&T Mobility. And now they're telling people they are considering charging extra for their LTE network. That will NOT keep people happy, even regardless if they offer unlimited data. What is next with them, overages and shared plans? I wouldn't doubt it at this point, especially when they have a HUGE network build out to pay for.
Sprint is designed as a growth company, like all of Craig McCaw's other companies.
The problem is that the wireless industry is starting to saturate. Once the growth in data plans ends, the players will only be able to grow by taking customers from each other.
At that point, Sprint's lack of profitability and high debt load will really put it at a disadvantage against the other national carriers. This is especially true with an enlarged T-Mobile.
And that is their problem- money. Sprint will run out of it and fast if they don't find something to get customers. the iPhone will only last for so long. Once TMO starts rolling out their HSPA fully they'll be taking iPhone5 customers from AT&T and alike. People will be shopping on price and nobody but TMO is set up for that. Sprint think's they're better than TMO when it comes to pricing, when in reality, they're NOT a ATT Mobility or CellCo style of company.
Sprint will end up being an MVNOE and moving on that side. It would make sense for them with all of the MVNOs they currently have using their network. The only other option would be them selling out and the owners of TracFone taking over, and turning them into a true discount provider.
Hell- As of today Straight Talk is now using the Sprint Home Device and giving away home phone for $15 a month with EVERYTHING included, $20/30 will net you international calling on a home phone. Something Sprint would never do.