T-Mobile Announces Venture Into Enterprise Market
In its latest un-carrier move, T-Mobile is going after the enterprise market, looking to take business customers from AT&T and Verizon with simplified rate cards, said CEO John Legere at an event Wednesday. Legere asked if anyone in the audience…
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was on the Sprint network. When no one raised a hand, Legere said, “You fuckers are lying.” T-Mobile is gunning for Verizon's and AT&T’s business, Legere said. “They think their business is safe, and it’s not.” In 2014, T-Mobile earned 3 percent of the $83 billion spent by businesses on wireless services, so the aggressive pricing -- offering lines with unlimited talk and text and 1 GB of data for $15 each -- is something Legere said he can do because he’s attacking a business that T-Mobile doesn’t have. And customers can add more data per line or in a pool for the whole company at $4.75/GB for a 100 GB minimum, he said. Chief Operating Officer Mike Sievert said today is the beginning of a “major disruption in the business space.” T-Mobile is also partnering with GoDaddy to offer a free .com domain and website optimized for mobile viewing to businesses customers that buy the new plan with at least one line of additional paid data. “I think that’s a big deal, maybe not in mega corporations, but for the businesses that American runs on,” Legere said. T-Mobile also announced the “un-contract” and carrier freedom. Legere said he will sign a contract to his customers that says the rates may go down but they will not go up, making promotional plans permanent. When it comes to getting more customers, Legere is willing to pay early termination fees plus up to $650 for those who are still paying for or renting their phones. He said there's a war analogy to be made in this announcement regarding the business market, saying “we’re bombing their factories.”