T-Mobile Adds Fiber 5 Gig Plan and Discounts

The move follows a quarter in which T-Mobile added 274,000 postpaid accounts, down 31% from a year earlier, while postpaid churn rose to 1.09% from 0.97%. Chief Financial Officer Peter Osvaldik said the carrier’s broadband business saw a “high level of customer losses,” and said churn tied to its 5G broadband and fiber-only accounts runs structurally higher than phone churn.

For investors, the launch shows T-Mobile is still leaning on fixed wireless and fiber expansion to deepen customer relationships, even as the UScellular acquisition adds near-term churn pressure. That matters because the company’s growth narrative has been built on taking wireless share while expanding into home internet, and any slowdown in retention can quickly filter into revenue quality and margin expectations.

The new tier also puts T-Mobile more squarely against cable and fiber rivals trying to lock in households with faster speeds and longer price guarantees. Management is pitching the plan to heavy-use households that stream in 4K and 8K, game online and run multiple smart devices at once, which suggests T-Mobile is targeting higher-value users rather than just value-seeking switchers.

T-Mobile shares have held above their 50-day moving average even after recent volatility, but investors will be watching whether the new plan improves broadband retention enough to offset the churn from its acquisition-related integration work. The next read-through will come from subscriber trends and whether the carrier can convert promotional sign-ups into stickier, higher-ARPU customers.