T-Mobile recently announced a new limited-time promotion targeted at getting Verizon Wireless customers to switch to its network. The third-largest U.S. carrier is offering to pay (up to $1,000) the full balance of device payments and early termination fees for iPhone or Google Pixel users who have been on the Verizon network for over 60 days. In this note, we look at the potential financial impact of the plan and how it could impact the carrier. Additionally, T-Mobile requires these porting subscribers to sign up for its $15-per-month device protection plan, which is likely to be a high-margin offering. By targeting the promotion squarely at Verizon customers, T-Mobile is essentially pitching the strength of its rapidly improving network.

Source: Forbes May 25, 2017 14:03 UTC