The wireless industry in U.S. is becoming more and more competitive with each day. Amongst a few wireless service providers, AT&T Inc. (NYSE:T) secures a prominent place. The holiday season in U.S. has just got over, which means that all the carriers are back to their business with higher prices and more lucrative offers. There are high chances that market will experience face huge competition and price reduction, but AT&T doesn’t look forward to chasing customers.
Insights On Matter:
The management of AT&T doesn’t seem to mess up things to enhance its revenue. While giving an interview, John Stephens, CFO, AT&T stated that the market looked stabilized, and there was no need to be a part of ongoing rat race. He looked confident about the competitiveness in the market and hoped that things would continue to improve in the coming days.
Stephens’ comments came right after the telecommunication giant stated in a filing with a Securities and Exchange Commission filing that customer turnover rate decreased in the current quarter. The company stated that due to volatile conditions in the market, it had experienced an enhanced customer turnover rate in the previous quarter, but things had improved over the past couple of months. The management of AT&T Inc. (NYSE:T) believes that things will continue to improve in the future. It expects to add another 4,00,000 postpaid customers in the current quarter. As per the reports, all of these customers are those who have high net worth and pay by the end of the month without any failure.
The statement of AT&T’s CEO gives a feeling that all those offers that were initiated by the company in the previous quarter to attract more and more customers would not be carried forward in this quarter. It will be good to see how company will attract customers without giving any attractive offer, that too at a time when the war among all the service providers is at its peak.