Device Leasing is a Big Deal for Sprint

There now are lots of moving parts in the U.S. mobile business, ranging from major new entrants (Dish Network in the near term, Comcast in the medium term, Google Fi potentially a factor) to changes in handset financing that affect revenue and cash flow.

Among the newer handset trends is the shift to device leasing by Sprint, not simply a reconfiguration of how handsets are purchased by consumers.

Using the leasing model, Sprint retains ownership of potentially millions of handsets with some residual value that can be monetized, in some way.

Perhaps it simply makes sense that the larger the device flow over time, the bigger the potential ability to monetize the used devices. Sprint appears to be approaching a 40-percent device leasing adoption, and seems poised to grow further.

That is unusual for a top-four mobile supplier.


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