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Theory I just made up: The big carrier doesn't know what to do with all their extra capacity, so they let startups buy it. Once a startup has figured out what
by BurningFrog 3y ago
Theory I just made up:
The big carrier doesn't know what to do with all their extra capacity, so they let startups buy it.
Once a startup has figured out what to do with the capacity, it makes sense for both parties to merge. Everyone makes a profit, and life goes on!
You can think of it as a way to outsource innovation.
- paxys 3y ago> Once a startup has figured out what to do with the capacity But...they didn't really figure out anything new. They just sold the same service for cheaper. If T-Mobile had a $15/mo unlimited plan then there would be no reason for anyone to use Mint Mobile. And TMo could have saved the $1.5B.
- malfist 3y agoThat's proven now, but it wasn't always known. Better to make money letting others take risks first and then buy them once they've proven the market
- hnav 3y agoIt's stratification. People using their $15/mo plan would talk about how t-mobile as a whole is garbage and turn off higher end customers.
- ssl-3 3y agoIf T-Mobile sold a $15/mo unlimited plan with their own name on it, then nobody would be buying their plans for $50+/mo.