T-Mobile US, Inc. (NASDAQ:TMUS) Q2 2023 Earnings Call Transcript

Mike Sievert: On the consumer piece, I kind of agree and what people want is a really strong, powerful signal everywhere they go. That’s what they want. And 5G is a means for us to get that better than anyone else. Whether or not they give us credit that the thing that got them that was 5G, I really don’t care. But we have the highest performing network with incredible reach of the high-performing parts of our network, 5G than anybody else. Like by far, like twice the land mass covered of ultra-capacity 5G than our next closest competitor and rapidly expanding, as Ulf explained. And you’re right, they don’t really give 5G credit for that. But what they want, make no mistake, is a very powerful signal everywhere they go because they’re watching video more than ever, they’re glued to their TikTok and their Instagram stories and their sports and their YouTube and their videos and their zooms and they don’t want buffering.

They want that signal with no latency and no buffering and no jitter and that’s the power of 5G, whether they give it credit or not. On the Business side, I’ll say the short version, which is we don’t really know. I mean whether — to your question, literally material means something in our company, and that’s big. We’re a big company. We don’t know when it will be bigger than a bread basket, but we do know that we’re best positioned to capture it. And as Peter pointed out, back at our Analyst Day, 2-plus years ago, we actually did not, for that reason, factor a lot of revenues in or really any at all from some of these advanced 5G network services. Our strategy was, let’s make sure we are best positioned to capture them. And Kelly, I think, very deftly explain some of the things that we’re doing in this area with early adopting customers.

But when it becomes something that’s bigger than a bread basket and really contributes, we don’t really know. And because we didn’t know, we made you no promises in our long-range plan on it. But I can tell you this promise, as that market develops, we are beautifully positioned to capture it.

Richard Prentiss: All right. Great. Thank you.

Jud Henry: It looks like we’re right at time. So I appreciate everybody joining us today. If you have any further questions, please reach out to either Investor Relations or the media relations department. Again, we look forward to talking to you again soon. Thank you.

Mike Sievert: Thanks, everybody.

Operator: Ladies and gentlemen, this concludes the T-Mobile second (ph) quarter earnings call. Thank you for your participation. You may now disconnect and have a pleasant day.