MetroPCS

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MetroPCS
Type Subsidiary
Industry Telecommunications
Founded 1994
Headquarters Richardson, Texas, U.S.
Key people Thomas C. Keys
(Executive Vice President & Chief Operating Officer), MetroPCS Business Unit[1]
Products Wireless
Revenue Increase US$ 4.069 billion (2010)[2]
Operating income Increase US$ 8.201 million (2010)[2]
Net income Increase US$ 193.4 million (2010)[2]
Total assets Increase US$ 7.919 billion (2010)[2]
Total equity Increase US$ 2.542 billion (2010)[2]
Employees 3,600 (December 2010)[2]
Parent T-Mobile US, Inc.
Website MetroPCS.com
MetroPCS store, Ypsilanti Township, Michigan

MetroPCS is an American mobile network operator subsidiary of T-Mobile US. It operates the fifth largest mobile telecommunications network in the United States behind Verizon Wireless, AT&T Mobility, Sprint Nextel, and T-Mobile, with 9.5 million subscribers as of January 2012. The company is headquartered in Richardson, Texas. MetroPCS uses CDMA technology to offer service in addition to its 4G network using LTE.

In October 2012, MetroPCS reached an offer to merge with T-Mobile USA, a deal which would help the competing provider become more competitive with the other national carriers.[3] The deal was approved by shareholders in April 2013, and closed on May 1, 2013, the companies formed T-Mobile US, Inc. and began trading on the New York Stock Exchange as TMUS.[4][5]

Contents

History [edit]

MetroPCS was established in 1994 as General Wireless, Inc., by Roger D. Linquist[6] and Malcolm Lorang, both of whom were previously executives with wireless provider PageMart Wireless.[7]

MetroPCS launched its 3G network in late 2009 and its LTE network in late 2010. In August 2012, MetroPCS became the first carrier in the world to officially launch Voice over LTE service. Initially compatible with the LG Connect 4G, MetroPCS announced that more VoLTE-compatible phones would be available soon.[8] Later in the month, the company unveiled a new $55 unlimited plan (with unlimited talk, text messaging, and data) as a limited-time offer.[9]

Merger with T-Mobile USA, Inc. [edit]

On October 3, 2012, MetroPCS reached an agreement to merge with T-Mobile USA, subject to regulatory and shareholder approval. MetroPCS shareholders would hold a 26% stake in the merged company. While the merged company will still be the fourth largest carrier in the United States, acquiring MetroPCS would give T-Mobile access to more spectrum and financial resources to maintain competitiveness and expand its own LTE network.[10]

On October 18, 2012, both T-Mobile USA and MetroPCS submitted official filings to the FCC seeking approval for their anticipated merger. The companies indicated that they would have a combined total of 42.5 million customers following the merger, covering 11.7% of the US wireless market. That number is comparative to the 58.5% combined share of AT&T and Verizon and Sprint’s 15.2%. The new company will continue to use the T-Mobile name and keep MetroPCS as a separate brand that will extend to new cities.[11][12]

Now part of new T-Mobile US, Inc. [edit]

The merger was officially approved by MetroPCS shareholders on April 24, 2013. The deal was structured as a reverse takeover; the combined company became known as T-Mobile US, and began trading on the New York Stock Exchange as TMUS on May 1, 2013.[4]

Radio Frequency Summary [edit]

The following chart describes radio frequency spectrum bands accessible by the company's customers using compatible devices.:

Frequencies used on the MetroPCS Network
Frequency(Band) Protocol Class
1900 MHz (PCS) 1xRTT/EV-DO 3G
1700/2100 MHz (AWS) 1xRTT/EV-DO 3G
1900 MHz (PCS) LTE 4G
1700/2100 MHz (AWS) LTE 4G

Rate plans [edit]

MetroPCS offers a number of unlimited talk, text, Web service and 411 directory assistance services on three flat-rate plans with price ranging from $40 to $60[13] - additional options and features vary depending on the rate plan.

MetroPCS covers approximately 90 percent of the U.S. population (more than 280 million people) through Metro USA nationwide service, launched in 2010 and free to subscribers. Unlimited talk, text, and Web service with Metro USA coverage is available for all existing and new subscribers on the Wireless for All and 4G service plans.[14]

MetroPCS has stores in 19 metropolitan markets and surrounding areas including New York City/Northern New Jersey, Atlanta, Georgia; Boston, Massachusetts; Dallas, Texas; Detroit, Michigan; Las Vegas, Nevada; Philadelphia, Pennsylvania; Providence, Rhode Island; Riverside, Bakersfield, Los Angeles, Sacramento, San Francisco, San Bernardino, Palm Springs and San Jose, California; Shreveport, Louisiana; and Miami, Orlando, Jacksonville, and Tampa, Florida.[14]

Reception and criticism [edit]

The launch of MetroPCS's LTE network was met with mixed reviews. GigaOM's Kevin Tofel noted that although the LTE network is based on 4G technology, "the infrastructure MetroPCS is using keeps speeds in the range of older 3G networks". Tofel measured data speeds "far slower than T-Mobile’s HSPA+ network" but considered that users with only basic data requirements would find the no-contract deal "refreshing".[15] Referencing Tofel's review, Laptop Magazine's Corvida Raven concluded that MetroPCS "probably isn’t using the best LTE technology."[16]

Slate's Farhad Manjoo panned the service by suggesting that MetroPCS was able to roll out 4G coverage sooner and cheaper than its competitors by only offering the Samsung Craft, a feature phone with sub-standard internet capabilities, as its launch device. Due to the quality of the device (described as being "designed not just to frustrate users but to get us to swear off ever using any phone again"), the network, and MetroPCS's decision to block video streaming services aside from YouTube under its "unlimited web" plan, Manjoo considered it a device designed to disappoint users excited for 4G.[17]

MetroPCS's TV commercial series (from 2010 to 2011) features two Indians "Ranjit" played by veteran actor Anjul Nigam and "Chad" who make fun of American popular culture, which received mixed reviews. Many Indians and Americans found it to be in bad taste and offensive, or even racist (due to the controversy the campaign ended in late 2011 and was replaced with a new campaign slogan, "Everybody's moving to Metro".[18]

See also [edit]

References [edit]

  1. ^ "Leadership Team". MetroPCS / T-Mobile USA. Retrieved 4 May 2013. 
  2. ^ a b c d e f "2010 Form 10-K, MetroPCS Communications, Inc.". United States Securities and Exchange Commission. 
  3. ^ "T-Mobile USA, MetroPCS to combine". Chicago Tribune. Retrieved 3 October 2012. 
  4. ^ a b "MetroPCS shareholders approve merger with T-Mobile USA". Reuters. Retrieved 25 April 2013. 
  5. ^ http://www.latimes.com/business/technology/la-fi-tn-tmobile-metropcs-acquisition-complete-20130501,0,5210257.story
  6. ^ [1][dead link]
  7. ^ [2][dead link]
  8. ^ "MetroPCS Claims World's First Voice-over-LTE Service". PC World. Retrieved 11 May 2013. 
  9. ^ "MetroPCS Intros $55 Unlimited 4G Data Plan, LG Motion 4G". AllThingsD. Wall Street Journal. Retrieved 11 May 2013. 
  10. ^ "T-Mobile USA merging with MetroPCS". Los Angeles Time. 3 October 2012. Retrieved 3 October 2012. 
  11. ^ "T-Mobile and MetroPCS Merger". The Federal Communications Commission. Retrieved 31 October 2012. 
  12. ^ Shields, Todd. "T-Mobile Asks U.S. FCC to Approve Merger With MetroPCS". Bloomberg. Retrieved 1 November 2012. 
  13. ^ "Plans". MetroPCS. Retrieved March 12, 2013. 
  14. ^ a b Metro PCS website
  15. ^ Tofel, Kevin C. (Nov 26 2010). "For $55, What Kind of LTE Experience Does MetroPCS Deliver?". GigaOM. Retrieved 5 December 2010. 
  16. ^ Raven, Corvida (Nov 26, 2010). "MetroPCS’s LTE Service Tested, Found Wanting". Laptop Magazine (Bedford Communications Inc). Retrieved 5 December 2010. 
  17. ^ Manjoo, Farhad. "4G, Samsung Craft, MetroPCS: The worst cell phone on earth.". Slate. Retrieved 28 November 2011. 
  18. ^ Edwards, Jim. "It’s Racist But It Works: MetroPCS’s "Ranjit and Chad" Commercials Boost Sales". BNET. Retrieved 25 July 2011. 

External links [edit]

Official website
Main Companies
Main Services
Mobile Networks
Absorbed companies:
Other
National
Regional
Local
MVNOs (Virtual)
Defunct
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