T-Mobile CEO Hints at Innovate Revenue Strategies to Fuel Long-Term Success

T-Mobile: Unlocking New Revenue Streams with AI, Satellites, and Network Slicing

At T-Mobile, the company is busy forging new paths to success. After releasing its fourth-quarter earnings report, T-Mobile’s CEO, Mike Sievert, hosted a conference call to discuss the carrier’s plans for future growth, which includes leveraging AI, satellites, and network slicing.

In the world of 5G, network slicing is becoming a key feature. It allows T-Mobile to offer a specific section of its 5G network to a particular customer, while still serving other subscribers. This technology has the potential to generate significant revenue, as business customers pay for the service. Additionally, T-Mobile may see a boost in market share as more smartphone users switch to the carrier, attracted by its innovative features.

One example of network slicing is T-Priority, a service designed for first responders. According to Sievert, "We waited a long time before starting to talk about all this stuff, because we wanted to see a real business model develop around it. But the moment’s kind of arriving, and T-Priority’s certainly an expression of it."

Another revenue stream lies in satellite connectivity. T-Mobile will only offer this service on its most expensive plans, aiming to encourage users on lower-priced plans to upgrade to a higher-tier plan. The carrier may also consider a la carte pricing for those who don’t have the necessary plan.

Artificial Intelligence (AI) is another area with potential for growth. Sievert notes that AI will enable T-Mobile to demonstrate its network differentiation, particularly as AI becomes more reliant on video, audio, and imagery. "AI growth and AI workloads are going to be a way for us to increasingly showcase that [network] differentiation, especially as AI begins to make the leap from textual interfaces to much more video, audio, imagery. It’s early days, but I think this is a nice tailwind for our business, because it’s going to be important that we’re able to showcase these advantages."

As T-Mobile continues to outpace its rivals, analysts at MoffettNathanson agree, stating, "To be sure, T-Mobile is still running circles around its competitors."