Friday, April 27, 2012

Questions About Prepaid Growth in U.S. Market

MetroPCS Communications and Leap Wireless International reported an abrupt slowdown in customer growth during what is traditionally their strongest quarter, raising concerns the sputtering U.S. economy is forcing more consumers to eschew prepaid wireless service or seek even cheaper options, the Wall Street Journal reports.

The trend also follows a more aggressive push by larger carriers, such as Sprint Nextel Corp.  and T-Mobile USA, to capture users at the lowest end of the market. It isn't yet entirely clear what combination of forces is at work. Perhaps T-Mobile USA and Sprint, or other prepaid providers, simply are taking more market share.

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