Net Subscriber Growth Falls 36% at Major U.S. Service Providers in First Quarter 2012

The largest U.S. mobile service providers experienced a 36 percent year-over-year fall-off of wireless net additions, causing a 32 percent decline in revenue-generating unit (RGU) additions during the first quarter of 2012, according to Fitch Ratings.

Some would argue that points to the maturation or saturation of the U.S. mobile market. 


The largest telecommunication service providers added approximately 2.7 million RGUs during
the first quarter of 2012, led by approximately 2.5 million wireless subscriber additions, according to Fitch Ratings.


Fitch estimates the largest wireless service providers activated approximately 6.8 million smart phones during the first quarter of 2012, reflecting a 19 percent decline relative to the smart phone activation activity during the year earlier period.

1Q 12 Subscriber Analysis	Contract	No contract	Wholesale and Connected Devices	Total
AT&T	187,000 -530,000	125,000 -34,000	414,000 -1,207,000	726,000 -1,771,000
Sprint	(192,000) -353,000	489,000 -18,000	785,000 -169,000	1,082,000
T-Mobile	(510,000) +196,000	249,000 +29,000	448,000 +487,000	187,000 +713,000
Verizon Wireless	501,000 -706,000	223,000 -29,000	*	724,000*
Leap Wireless		258,000 +79,000		258,000 +79,000
Metro PCS		131,000 -66,000		131,000 -66,000
US Cellular	(38,000) -18,000	4,000 -3,000		(34,000) -21,000
Clearwire *		49,000 +18,000	537,000 -367,000	586,000 -287,000
Tracfone * (MVNO)		369,000 -124,000		369,000 -124,000
Total	(52,000) -1,711,000	1,897,000 -86,000	1,815,000 -266,000	4,029,000 -1,694,000

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