2013-05-01

News

Marin Perez

14:16, May 01 2013



We break down what happens to existing customers and why new customers would want to switch

The T-Mobile, MetroPCS deal has now closed and it could lead to a new era in prepaid wireless service. There are still a ton of questions about what will happen to new and existing customers, so we're going to do our best to answer them here.

I'm on MetroPCS, what now?

Well, if you're on MetroPCS, you weren't on a contract anyways and it looks like it will be business as usual for at least the next six months to a year. Your existing phone will continue to work, your current stores should continue to be available (even if they become rebranded as T-Mobile) and your number will remain the same. Down the road, MetroPCS customers will have some software solution which will authenticate T-Mobile's network as a home network, according to TmoNews.

Eventually though, look for MetroPCS and its brand to go away, as the new company is pushing the T-Mobile branding. Additionally, T-Mobile wants to use the MetroPCS CDMA service on the 1900MHz spectrum to HSPA+, a GSM technology. That means that your MetroPCS phone today likely won't work on the future T-Mobile network but that transition may take years.

I'm a T-Mobile customer on contract, what now?

T-Mobile launched its UnCarrier Value Plans a few months ago and it really shook up the industry by dropping long-term contracts. Well, it's dropped most of them. If you're still on a T-Mobile contract from before, you have to wait until your contract expires before you can get the new prepaid service.

I'm not on MetroPCS or T-Mobile, why should I care?

The new T-Mobile will offer good mobile service without long-term contracts. We do kind of gloss over that but this is really a game-changer in the United States.

The T-Mobile UnCarrier plans are actually pretty simple: pay $50, $60 or $70 a month for unlimited calls, texts and 500MB, 2GB or unlimited data, respectively. Bolting on wireless hotspot adds a little more and being part of a family plan adds some complexity but this is one of the easiest mobile service plans out there. Again, you won't have to sign a long-term contract to use this - if T-Mobile doesn't work well for you after a month, just go somewhere else.

T-Mobile also makes it easier to bring your own device. Let's say you've bought an unlocked HTC One or a Nexus 4 from Google, now you can just walk into a T-Mobile store and walk out about ten minutes later with service. Unlike taking an unlocked device to AT&T or Verizon, you're not paying for a handset subsidy in your monthly fees.

Speaking of subsidies, the new T-Mobile is also making it easier to buy your phones outright. You can walk into a store and put down $99 for an iPhone 5 and then pay the rest off in 24 monthly installment plans of $20. You do have to use T-Mobile service during that time or you will have to pay off the remainder of the device.

The MetroPCS deal will also give T-Mobile massive spectrum in many major cities and this should lead to a boosted 4G LTE network. The company said that it will be able to deliver 20+20MHz 4G LTE in many of the major cities around the United States by 2014 - 20+20 MHz essentially means super-duper fast upload and downloads.

Even if you're never going to switch to the new T-Mobile, the new company should have an impact on AT&T, Sprint and Verizon. It's taking a different approach and if it catches on, you know the competition will react. Verizon has already publicly said that if the no-contract approach is appealing to users, it could easily make that switch.

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