T-Mobile's Value Proposition in the US Telecom Market
Deployment on T-Mobile’s low-band spectrum
In the previous part of this series, we learned about the importance of the low-band spectrum and the FCC’s broadcast incentive auction for T-Mobile (TMUS). We also learned that the wireless carrier has been adding low-band spectrum holdings in the 700 MHz A-Block spectrum.
A recent report by 451 Research dated March 28 highlighted the status of deployment on the wireless player’s 700 MHz A-Block spectrum.
According to the report, a significant network development for the telecom player was, “Improved low-band in-home/in-building coverage with its Extended Range LTE deployments, covering 188 million PoPs in 300 markets to date.”
Strong growth in T-Mobile’s 4G LTE coverage
The same report also highlighted the growth in T-Mobile’s 4G LTE (long-term evolution) coverage.
As you can see in the above bar chart, T-Mobile’s LTE network spanned ~265 million people at the end of 2014. At the end of 2013, this coverage figure was at ~209 million people. However, as of February 17, 2016, this number had reached ~305 million people.
Moreover, in terms of geographic expansion, by the end of 2015, the carrier’s LTE coverage in square miles was more than twice that at the end of 2014, according to T-Mobile.
For a diversified exposure to T-Mobile, you may consider investing in the iShares US Telecommunications ETF (IYZ). The wireless telecom player made up ~5.8% of the ETF at the end of December 2015.
The ETF also held a total of ~26.2% in AT&T (T), Verizon (VZ), and Sprint (S) as of the same date.
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