Monday, November 19, 2012

What Does T-Mobile USA Mean by "Un-Carrier?"

T-Mobile USA, which has named Michael Sievert, a 20-year marketing veteran of the tech and telecom sectors, as the company’s new chief marketing officer, also comes with the cryptic comment that T-Mobile USA intends to "redefine wireless as America’s un-carrier,” said John Legere, president and CEO of T-Mobile USA.

The phrase "un-carrier" could have lots of meanings, none of which yet are clear. At some level, it could mean T-Mobile USA simply wants to try and behave in a way different than other major mobile service providers, in pricing, packaging, customer service, business strategy or some other dimension of routine market positioning and operations. 

More fundamental meanings could involved a redefinition of what "product" T-Mobile USA offers. That seems less likely, though some upstart contestants already are moving to a "data only" approach. 

Market structure seems poised for changes, to be sure. But one gets the feeling that equally significant changes in product definition and pricing are about to be tested, for a variety of reasons.  

We have been for at least a decade in a period of relative quiescence as far as the fundamental structure of the U.S. mobile market is concerned. That appears likely to be tested in the next several years. 


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