Why T-Mobile Sucks?

Last week when I posted thisrant about T-Mobile and its increasingly bad service in San Francisco, I had an inkling that the company was doing well in stealing customers from other carriers. (More people using its network translates into degraded network performance.) I had no idea, how well it was executing on its steal the customers plan. Which, incidentally does not necessarily mean it is making money! This morning, the company put out a news release saying that in the fourth quarter 2003, it managed to add a million new customers. Total net adds were 670,000 in 3Q 2003.  Post-pay churn remained at 2.7% on a sequential basis and all-in churn decreased to 3.2% from 3.3%. Well I think many switchers might have come from AT&T Wireless, which is having a torrid time in the consumer market place.

The Wall Street Journal is carrying a story this morning which highlights the number of consumer complaints against AT&T. The story says that in the 3Q of 2003, AT&T had the most complaints per 100K customers at 6.4.  The next closest was PCS at 4.0, followed by T-Mobile at 3.5, Cingular at 3.2, Nextel at 2.0, and Verizon Wireless at 1.5. My guess, at least from personal experience is that at the end of next quarter, T-Mobile would have moved up in the complaint charts.


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