MetroPCS interested in buying AT&T/T-Mobile assets

By on October 21, 2011 at 9:45 PM.

MetroPCS interested in buying AT&T/T-Mobile assets

MetroPCS is interested in purchasing spectrum and subscribers from AT&T and T-Mobile, Bloomberg said Friday. Leap Wireless and Dish Network were also approached and Leap may still be interested in making an offer. The deal with MetroPCS would likely amount to less than $4 billion. In August, The Wall Street Journal revealed AT&T had hired Bank of America’s Merill Lynch to advise it on selling as much as $8 billion in assets. Later that month, the United States government sued to block the planned merger when the U.S. Justice Department said the deal would “substantially lessen competition” in the U.S. wireless market. Read on for more. More →

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Spotify surpasses 250,000 U.S. subscribers

By on October 14, 2011 at 11:55 PM.

Spotify surpasses 250,000 U.S. subscribers

Spotify now has more than 250,000 subscribers in the United States, Reuters reported recently. The service also now has more than 2 million paid subscribers around the globe. The figures have not yet been confirmed by Spotify, but Reuters said CEO Daniel Ek disclosed the numbers in September. Spotify, which made its U.S. debut in July, offers users free ad-supported access to a library with millions of songs. It also offers a $4.99 monthly option with unlimited streaming and no ads, or a $9.99 subscription that supports offline mode, access from mobile devices, ad-free music playback and unlimited streaming. Its recent partnership with Facebook has been seen as a driving force for its success in the United States. The company also announced on Friday that its service is now available on Boxee. More →

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AT&T offers to sell assets to Sprint in bid to win T-Mobile deal approval

By on September 20, 2011 at 1:01 AM.

AT&T offers to sell assets to Sprint in bid to win T-Mobile deal approval

AT&T has approached several U.S. wireless carriers offering to sell assets, spectrum and wireless subscribers in an effort to win the government’s blessing for its planned acquisition of T-Mobile USA, Bloomberg reported on Monday. MetroPCS, Leap Wireless, CenturyLink, Dish Network and Sprint were among the the companies approached in the private talks. AT&T’s move is no doubt a response to recent lawsuits that were filed by the Department of Justice and Sprint. The Department of Justice filed a lawsuit on August 31st in an attempt to block the merger, which it said would “remove a significant competitive force from the market.” Seven U.S. states also joined the DOJ’s suit last week. Sprint sued on September 6th and said the merger would “stifle innovation” in the U.S. wireless market. AT&T’s discussions to sell assets may not be enough to sway the Department of Justice in AT&T’s favor and the talks are still preliminary, Bloomberg said. More →

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Sprint reports big Q2 loss as it sheds 101,000 postpaid subs

By on July 28, 2011 at 7:30 AM.

Sprint reports big Q2 loss as it sheds 101,000 postpaid subs

Sprint on Thursday reported greater than expected losses in the second quarter despite modest revenue growth. The nation’s No. 3 carrier pulled in $8.3 billion in its June quarter, up 4% from the same quarter a year prior, but it wasn’t enough to bring the company back into the black. Sprint’s net losses in the second quarter totalled $827 million, 11% worse than the $760 million loss it reported in the second quarter of 2010. On the bright side, however, those losses include $588 million in bad investments and a $52 million tax charge from the state of Michigan, so Sprint would have shown sequential and year-over-year improvements if not for those losses. Sprint also reported its best subscriber churn of late in the second quarter, adding more than a million new subscribers despite shedding 101,000 net wireless postpaid customers. “Sprint’s second quarter results, including our fourteenth consecutive quarter of improved customer care satisfaction, our best ever postpaid churn, more than 1 million net wireless subscriber additions and wireless service revenue growth, validate that our focus on providing simplicity, value and an unmatched customer experience is working,” said Sprint CEO Dan Hesse in a statement. Of note, sprint also announced a deal with LightSquared on Thursday that will see it bring 4G LTE services to 260 million Americans by 2015. Sprint’s full earnings release follows below. More →

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Netflix could lose 2.5 million subscribers following rate increase

By on July 26, 2011 at 7:40 PM.

Netflix could lose 2.5 million subscribers following rate increase

Netflix could shed as many as 2.5 million paying customers as a result of its recent move to significantly increase the monthly cost of its DVDs-by-mail rental service. Netflix announced earlier this month that it would be adjusting its monthly rate plans. Whereas subscribers had been able to stream unlimited digital content and receive DVD rentals by mail for as little as $9.99 per month, Netflix’s new combination plans start at $15.98 per month, a 60% increase. Research firm TDG polled 500 Netflix customers who subscribed to DVD and streaming combination plans at the time Netflix announced the price hike. Based on the results of that survey, TDG estimates that Netflix stands to lose between 12% and 15% of combo plan subscribers within the next six months due to the new plan pricing. That would translate to between 2 million and 2.5 million subscribers — or a minimum of nearly $240 million annually. Many subscribers who might stay around also say they intend to switch off of their current combo plans; 34% told TDG they will switch to a streaming-only plan and 44% said they will opt for a DVD-only plan. Netflix warned investors during its earnings call that the rate plan changes could have a negative impact on its business in the near term. More →

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Verizon Q2 earnings top estimates; CEO will step down

By on July 22, 2011 at 7:45 AM.

Verizon Q2 earnings top estimates; CEO will step down

Verizon Communications on Friday reported second-quarter earnings that topped the Street’s estimates, though it failed to match AT&T’s impressive wireless growth during the quarter. Revenue climbed to $27.5 billion in the June quarter, up 2.8% from the same quarter last year. EPS was up 6 cents sequentially to $0.57, a huge swing from the second quarter in 2010 when Verizon reported a loss of $0.42 per share. In wireless, the carrier netted 2.2 million subscribers — or “total connections,” rather — excluding gains made through acquisitions, and service revenues climbed 6.6% year-over-year. Verizon now reports total connections, which include machine to machine devices and other non-standard subscribers, and its total now sits at 106.3 million. The carrier also said that it activated 2.3 million iPhone 4 handsets in the June quarter. “In terms of earnings growth and the acceleration of revenue growth, this has been one of Verizon’s best quarters since the 2008 economic downturn,” said Verizon Chairman and CEO Ivan Seidenberg in a statement. “We expanded sequential margins in both our wireline and wireless businesses, and in the second half of the year we expect Verizon to build on this strong, positive momentum to continue to drive profitable, sustainable growth.” The company also noted that Ivan Sandberg will step down as CEO, replaced by Lowell McAdam. Sandberg will retail is his as chairman of the board. Verizon’s full press release follows below. More →

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RIM rolling in EMEA region, adds a million subs in under three weeks

By on July 7, 2011 at 7:55 PM.

RIM rolling in EMEA region, adds a million subs in under three weeks

Research In Motion on Thursday announced some serious heat in the Europe, the Middle East and Africa (EMEA) region — the BlackBerry maker said it recently added more than a million new subscribers in less than three weeks. “BlackBerry continues momentum across EMEA with 1 Million+ new subscribers added in less than 3 weeks,” RIM posted from its Twitter account. RIM no longer includes subscriber additions or totals in its quarterly earnings reports, but when it last did in the three-month period ending November 2010, the vendor had netted more than 5 million new subscribers for a total of just over 55 million. Last quarter, RIM said it shipped 13.2 million BlackBerry smartphones and 500,000 PlayBook tablets despite a very difficult quarter. More →

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Twitter surpasses 200 million users, more than 70% are international

By on April 29, 2011 at 9:50 PM.

Twitter surpasses 200 million users, more than 70% are international

Twitter’s vice president of international strategy, Katie Stanton, recently confirmed that the social network now has more than 200 million users. With 70% of those users are tweeting from outside of the United States. Japan is home to the Emperors’ share of tweets with more than 25% of posts originating from there. Twitter, which launched in July of 2006, adds a whopping 500,000 new users per day.

More →

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Verizon surpasses 500,000 4G LTE subscribers

By on April 21, 2011 at 2:33 PM.

Verizon surpasses 500,000 4G LTE subscribers

Verizon Wireless confirmed that it has more than 500,000 subscribers using its 4G LTE network. The HTC Thunderbolt, which launched as Verizon’s first 4G LTE phone, is responsible for 260,000 of those subscriptions. The wireless carrier said that it added about 500,000 4G LTE customers this quarter in addition to the 65,000 early adopters who signed on in Q4. Big Red will continue to build out its 4G LTE device portfolio in the coming months. In addition to the HTC Thunderbolt and Samsung DROID Charge – announced on Thursday – it has plans to launch 4G support for the XOOM, an LTE version of the Samsung GALAXY Tab, and the Motorola DROID Bionic later this summer. It also currently offers three 4G LTE USB modems and two 4G LTE hotspot devices. More →

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AT&T reports Q1 earnings; iPhone activations up by 1 million in spite of Verizon iPhone launch

By on April 20, 2011 at 8:28 AM.

AT&T reports Q1 earnings; iPhone activations up by 1 million in spite of Verizon iPhone launch

AT&T on Wednesday reported its earnings for the first quarter of 2011. The report is highlighted by impressive iPhone activations that were up by almost 1 million units year-over-year to 3.6 million. Many analysts believed Verizon Wireless’ launch of the iPhone 4 in early February would have a tremendous impact on AT&T’s iPhone business, but the effects were far less significant than expected. First-quarter revenue came in at $31.2 billion, up 2.3% over the same quarter last year, but operating income dropped from $6 billion in the first quarter of 2010 to $5.8 billion in the first quarter this year. The carrier added 2 million wireless subscribers in the first quarter of 2011 for a total of 97.5 million as of the end of March. Thanks in large part to the iPhone 4, AT&T also sold a record 5.5 million smartphones in the quarter. Smartphone users now combine to comprise 46.2% of AT&T’s postpaid subscriber base, which played a large role in pushing wireless revenue up 10.2% over the first quarter in 2010 to $15.3 billion. Wireless data revenue was up by $1 billion in the quarter, and branded computing subscribers — a category that includes tablet, aircard and other data-only product users — were up about 100% over the same quarter last year to 3.4 million. AT&T only sold 322,000 tablets in the quarter, roughly 258,000 of which were booked as prepaid, further supporting the notion that first-quarter iPad sales were far less impressive than analysts had expected. Hit the jump for the full release. More →

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AT&T says iPhone users aren’t fleeing to Verizon faster than expected

By on March 2, 2011 at 6:33 PM.

AT&T says iPhone users aren’t fleeing to Verizon faster than expected

Speaking to reporters on Wednesday, AT&T Mobility boss Ralph de la Vega said that iPhone users aren’t defecting to Verizon Wireless any faster than the carrier expected.”We haven’t seen any surprises, and everything is pretty much within our expectations,” de la Vega stated. Verizon Wireless finally launched its first Apple smartphone — the iPhone 4 — last month, and some analysts believed hoards of AT&T iPhone users would flock to Verizon as a result. AT&T, of course, has found itself under much scrutiny resulting the iPhone’s from poor performance on its network in several major metropolitan regions. De la Vega would not share specific numbers so in there may in fact be a mass exodus underway, but early indications do not lead us to believe that is the case. Analysts at Wells Fargo said earlier this week that AT&T is expected to lose 150,000 contract customers in the first quarter of 2011, down from the 225,000 it originally projected. More →

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Sprint’s Q4: subscribers up, churn down; still losing money

By on February 10, 2011 at 12:56 PM.

Sprint’s Q4: subscribers up, churn down; still losing money

Ladies and gentlemen, it is with great pleasure that I inform you that U.S. wireless provider Sprint, for the first time in thirteen quarters, has reported gains in post-paid subscribers. Ending its long drought, the Now Network added a total of 1.1 million new subs; 58,000 of which were post-paid. Sprint also reported a drop in churn during its earnings call, down to 1.86 in Q4 from 2.11 in Q3. It isn’t all good news, however. The company still posted a $929 million loss on revenues of $8.3 billion in Q4, or $0.31 per share. Sprint’s stock was trading slightly higher on the news. More →

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AT&T reports Q4 earnings; 4.1 million iPhone activations, 442,000 tablet activations

By on January 27, 2011 at 9:05 AM.

AT&T reports Q4 earnings; 4.1 million iPhone activations, 442,000 tablet activations

AT&T on Thursday reported its fourth-quarter 2010 earnings, revealing a modest 2.1% year-over-year growth in consolidated revenue. Profits fell substantially to $1.09 billion or $0.18 per share in the fourth quarter of 2010, from $2.7 billion or $0.46 per share in the same quarter in 2009. Excluding unusual items, however, AT&T earned $0.55 per share — a penny above analyst estimates. The nation’s No. 2 carrier activated 4.1 million iPhone handsets in the quarter, while Apple iPad and Samsung Galaxy Tab activations came in at 442,000 combined. Net wireless subscriber additions totalled a record 2.8 million, and AT&T was home to 95.5 million wireless subscribers as of the end of the year. The carrier added 8.9 million wireless customers in 2010, its best year ever. Hit the break for AT&T’s full press release. More →

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