T-Mobile Announces Its Plans To Spend $4 Billion For Upgradation Of Its Network

Posted on Feb 24 2012 - 10:59am by CONTRIBUTOR

Editor’s Note: Guest Author Sachin Mishra is in the process of finishing his Computer Science engineering, and having a wide interest in the field of Web Designing and Development.

T-Mobile is a part of one of the largest mobile companies in the world. On 1st July 2010, T-Mobile UK became part of Everything Everywhere Limited – the company formed through the merger of T-Mobile UK and Orange UK. Owned jointly by Deutsche Telekom and France Telecom, Everything Everywhere Limited is the UK’s biggest communications company, with a combined customer base of almost 28 million people and more than 720 retail stores across the country. Everything Everywhere Limited plans to transform the industry by giving customers instant access to everything everywhere, offering the best value, best choice and best network experience in the country.

CEO and president of TMobile company (USA) Philipp Humm announced that, “T-Mobile company is spending $4 billion to upgrade its network, including building out its faster 4G LTE service” — a move tech analysts called long overdue for the nation’s fourth-largest wireless carrier as it moves past a failed acquisition by AT&T Inc. and tries to catch up to larger rivals. Pointing towards the failure, T-Mobile president said it lost 706,000 U.S. subscribers during the fourth quarter as its parent company, Deutsche Telekom, reported a loss of 1.3 billion Euros, or $1.73 billion. T-Mobile also said its contract business was hurt by the launch of the iPhone 4s by its three major competitors.

Last year, Deutsche Telekom agreed to sell T-Mobile USA to AT&T for $39 billion, but the sale was called off after U.S. regulators opposed the deal. T-Mobile hopes will help it stay competitive with rivals AT&T and Verizon Communications Inc., which have both launched 4G LTE networks, and Sprint Nextel Corp., which is building out its 4G LTE service and plans to launch it later this year

4G LTE which stands for long-term evolution is the latest cellular network technology. It uses different cellular-tower and in-phone-chip technology to offer speeds faster than previous networks. T-Mobile has been largely left out of the iPhone market and has seen its users defect in large numbers to AT&T, Sprint and Verizon, which all sell Apple Inc.’s hugely popular device. T-Mobile doesn’t have a deal in place with Apple to sell the iPhone itself, and that is unlikely to change this year as the company spends massive amounts of money on the network upgrades.

The network improvements will enable U.S. iPhone 4 or 4S owners to bring their phones over to T-Mobile and purchase calling and data service, though the carrier didn’t specify when the new compatibility would arrive. Although enabling mobile phone subscribers to bring their unlocked iPhones to T-Mobile isn’t as much of an advantage as offering the phone directly, Plunkett said the move will “get them in the game.”

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