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As part of an investment meeting, Deutsche Telekom announced today that it plans to make some major investments in the network infrastructure of its subsidiary, T-Mobile USA. First and foremost is a $4.7 billion investment in the rollout of LTE for the carrier, all taking place within 2013. As the last major carrier to start an LTE rollout, it will need all the investment it can get to catch up. For 2014-15, T-Mobile plans another $3 billion per year in general network enhancements as well.

In total, $10.7 billion in investment will be made over the next 3 years, which is drastically higher than the average of $2.7 billion per year for the prior 3. Its clear now that with the merger with MetroPCS and this continued investment, Deutsche Telekom is far from done operating in the U.S. market. Hopefully these investments will turn T-Mobile into a formidable opponent to Verizon and AT&T going forward.

Source: Deutsche Telekom

 
There are 21 comments

dacp283 says:

Any network that can touch Verizon's and be cheaper will get my business. I despise Verizon but the only network that has coverage everywhere I go. I wish T-Mobile could get there. However, all that money being invested one has to wonder if the customer is going to be paying for very soon.

vansmack says:

Band 4 I presume?

Treknologist says:

This is excellent news!

Ziptied says:

They have to for the iPhone they're getting next year.

vansmack says:

Sure makes the MetroPCS acquisition make more sense. They could care less about CDMA - they needed AWS spectrum and LTE spectrum for the iPhone.

Tmobile is going real big in 2013. This is going to be a great ride.

crxssi says:

>"Hopefully these investments will turn T-Mobile into a formidable opponent to Verizon and AT&T going forward."

You mean "formidable opponent to Verizon, AT&T, and Sprint going forward".

HotInEER says:

I guess i'm the one person wondering how Tmobile came up with 4 billion dollars to throw around considering several months ago they were trying to merge with AT&T and their parent company has been trying to ditch them for years. Now, they sign a deal with Apple for the iPhone in 2013 and announce this. Wonder where the influx of money came from.

vansmack says:

Well, at&t did have to give them $4 billion in cash and spectrum because the merger failed. That's a good start for your research.

That person was just "vansmacked". Lmao

Deutsche Telekom, the parent company of T-Mobile USA is a very large network operator in Europe that has lots of money to invest. MetroPCS, which is merging with T-Mobile, is also making a notable amount of money every quarter.

Contrary to popular belief, T-Mobile USA itself is profitable every quarter as well. All 3 of these entities have money to spend, especially when its going to such critical network enhancements.

moises1204 says:

the 4 billion is not coming from tmobile pocket is coming from at&t pocket, hahaha priceless!! basically at&t not only building their own lte network but tmobile's too.

redraider133 says:

Good the more competition the better

I wouldn't be opposed to using a T-Mobile phone, as long as they had good phones and really good coverage. I've never had a problem with my Verizon phones and coverage, their speed is always fast, and their phones are good, in my opinion. I won't change until carriers unless they can give me what Verizon has given me.

moosc says:

Why would tmo do this go with lte? Just ask Google it isn't worth having lte.

vinny jr says:

Live in a suburb of Boston, the 1900 roll out in the Boston area is very much alive and strong. On the Waltham, Watertown line the roll out goes all the way up the Mass Pike well into Boston and surrounding cities. This isn't just a few towers here and there this is a major roll out when finished will give this entire section of Mass getting the 1900 frequency. Not only that but for the last month or so the towers in and around our area has just about doubled the speeds of it's HSPA+ network. I used to get around 13MB down on average and 4 up, now my speeds are between 17 and 25 MB down and 6 MB up, these are during the day when the Network is heavily used, late at night the speeds are even faster, pushing to 30MB down and 8 MB up. These are just sick for HSPA+. I prefer HSPA+ with these speeds, great battery life that goes two days. Call it what you want, I just call it real fast. Thank You T-Mobile.

When will the HSPA+ refarming be finished?

drdeath91 says:

Hey look, Sprint will have a buddy in the "look at me, I have lte coverage (but it's very limited in coverage area, or building penetration)" club....no homers allowed.

I am happy now with my HSPA+42 speeds. I am averaging around 20MB down and 3MB up, and that is much better than the Verizon and AT&T LTE in this area. PLUS my battery lasts ~18 hours with little/no WiFi. I know LTE is the future, but I think HSPA is top-notch too.