Why Enterprise Customers Are So Important to T-Mobile
T-Mobile (NASDAQ: TMUS) has been pointing to its expansion into the enterprise wireless market as a meaningful growth driver for the better part of a year. Indeed, T-Mobile is well behind its competitors when it comes to enterprise customers. At an investor conference last week, COO Mike Sievert mentioned the company only has a 2% to 3% market share.
Enterprise represents yet another way for T-Mobile to steal customers away from AT&T (NYSE: T) and Verizon Communications (NYSE: VZ). AT&T counts over 87 million wireless connections among its business customers -- 51 million postpaid and nearly 36 million connected devices. For reference, T-Mobile has fewer than 58 million total branded customers.
But the real reason T-Mobile is excited about its progress with business customers is because management feels it's a strong leading indicator of consumer behavior.
Source: Fool.com
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