T-Mobile Helps ISP Customers Stay Connected During Outages with New Backup Plan

Rhea-AI Summary

T-Mobile has launched Home Internet Backup, a new plan offering a reliable 5G internet connection for traditional ISP customers during outages. Available from June 6 in stores and online, the plan costs $30 per month with AutoPay or $20 for existing T-Mobile voice line customers. It includes 130 GB of 5G data monthly, sufficient for up to seven days of connectivity, and comes with a 5G gateway at no extra cost. The service aims to address the 20% of U.S. internet users experiencing frequent outages, providing a seamless switch to T-Mobile's 5G network during disruptions.

Positive

• T-Mobile's Home Internet Backup plan offers an affordable $30/month price point, with a $20/month option for existing T-Mobile voice line customers.
• The plan includes 130 GB of 5G data per month, adequate for up to seven days of backup connectivity.
• No extra cost for 5G gateway equipment, avoiding monthly equipment fees.
• Fast and easy setup process, claiming to be operational within 15 minutes.
• T-Mobile's 5G network is available to over 50 million homes nationwide.
• Home Internet Backup plan targets the 20% of U.S. users who experience frequent outages, providing a practical solution to stay connected.

Negative

• During network congestion, customers may experience reduced speeds due to data prioritization.
• After the 130 GB data limit is reached, speeds drop significantly to 600Kbps.
• Home Internet Backup is not eligible for T-Mobile's Price Lock guarantee.
• The plan is not available in all areas and has a $35 device connection charge.

Insights

Market Research Analyst

Market Insight and Competitive Landscape

T-Mobile's new Home Internet Backup plan addresses a specific pain point: internet outages experienced by nearly 20% of U.S. internet users. This move leverages their expansive 5G network to offer a reliable backup solution, appealing directly to households reliant on traditional ISPs. The plan is competitively priced at $30 per month and even offers a $20 option for existing customers, which can attract a larger customer base.

Competitive Differentiation

This initiative strengthens T-Mobile's competitive position in the home internet market, distinguishing it from traditional ISPs that lack a comparable backup solution. By offering a quick setup and no monthly equipment fees, it adds value for consumers seeking hassle-free connectivity.

Market Dynamics

The introduction of this backup plan could disrupt the ISP market, compelling competitors to innovate similar offerings or risk losing market share. This service can also create cross-selling opportunities for T-Mobile, encouraging customers to switch their primary internet service to T-Mobile.

Short-term and Long-term Impacts

In the short term, expect an uptick in customer acquisition and improved customer satisfaction. Long-term, this could enhance T-Mobile's brand loyalty and market penetration. However, potential data prioritization issues during congestion may affect customer perception negatively if not managed properly.

Tech Expert

Technical Evaluation

T-Mobile’s Home Internet Backup utilizes its robust 5G network, which is the largest in the U.S. This positions them well to provide reliable service during ISP outages. The plan includes a 5G gateway and allows for up to 130 GB of data per month, enough to cover a typical household's needs for up to seven days.

Ease of Use and Setup

The easy self-installation process, estimated to take 15 minutes or less, is a significant advantage. This user-friendly approach can attract non-technical users and those looking for a quick solution during outages. The absence of additional equipment fees further reduces the entry barrier.

Potential Drawbacks

However, the 130 GB limit may be a constraint for larger households with high data consumption. Additionally, during network congestion, the prioritization policy may result in lower speeds for these backup plans, which could frustrate users during critical times.

Technological Implications

This plan showcases the practical utility of 5G technology beyond mobile applications, emphasizing T-Mobile's commitment to expanding 5G use cases. It also underscores the importance of robust network infrastructure to support such services reliably.

Cable home internet customers will now have a reliable way to stay connected when their service is down with the Un-carrier’s new Home Internet Backup plan

BELLEVUE, Wash.--(BUSINESS WIRE)-- T-Mobile (NASDAQ: TMUS):

What’s the news: Stay connected, not disrupted. T-Mobile (NASDAQ: TMUS) today announced Home Internet Backup, a new plan that will give traditional internet service provider (ISP) customers — like cable and fiber — an affordable, reliable, backup 5G internet connection in case their primary service goes down. As the fastest growing home internet provider in the U.S., T-Mobile already serves over five million customers nationwide with unlimited broadband plans like Home Internet and Home Internet Plus as a primary source of connectivity. But for the millions of people still getting internet through traditional ISPs, the Un-carrier is using the power of its 5G network to give cable customers an option to stay connected during unexpected outages.

Starting tomorrow, June 6, Home Internet Backup will be available in T-Mobile stores and online via chat at www.t-mobile.com/home-internet-backup.

Why it matters: Nearly 20% of U.S. internet users said their internet goes out at least a few times a month, according to data from CivicScience. It’s something nearly everyone has experienced — at the most inconvenient time, the internet goes down and all productivity is lost. With T-Mobile’s new Home Internet Backup plan, cable and fiber internet customers can get peace of mind knowing they have a way to stay online during those unexpected outages.

Who it’s for: Cable and fiber internet customers looking for a reliable backup Wi-Fi solution to stay connected at home.

What else: Home Internet Backup from T-Mobile is just $30 a month with AutoPay — and customers that also have an eligible T-Mobile voice line can pick it up for just $20 a month with AutoPay for a limited time — and comes with:

• 130 GB of 5G data a month. Enough to keep a typical household connected with Wi-Fi for up to seven days a month when their primary internet service goes down.
• A 5G gateway included at no extra cost. There are NO monthly equipment fees at T-Mobile! Home Internet Backup customers get all the equipment they need, without paying a penny more.
• Fast and easy setup. Go from box to browsing in 15 minutes or less with a simple self-install process. And when that primary connection goes down, quickly switch over to the T-Mobile Wi-Fi signal for connectivity.

T-Mobile 5G Home Internet is fixed wireless that leverages the power of the Un-carrier’s 5G network, the largest and most-awarded 5G network in the U.S., and is currently available to more than 50 million homes nationwide. For people who need more than a backup solution and are ready to ditch their current internet provider, T-Mobile has home broadband options that fit customer needs, including Home Internet which comes with no annual contracts or equipment fees, fast and easy set up and Price Lock, guaranteeing that customers can get their last month of service refunded if T-Mobile ever raises their rate for internet and they choose to leave within 60 days (taxes and fees excluded). Or, Home Internet Plus has all the great benefits of Home Internet and also comes with T-Mobile’s latest 5G gateway, a Wi-Fi mesh access point that expands the Wi-Fi signal to hard-to-reach places across the home and 24/7 video tech support for any Wi-Fi or smart connected devices in the home.

Follow @TMobileNews on X, formerly known as Twitter, to stay up to date with the latest company news.

During congestion, customers on these plans may notice speeds lower than other customers and further reduction if using >1.2TB/mo., due to data prioritization. After 130GB monthly data allotment, speeds up to 600Kbps. Not available in all areas. $35 device connection charge due at sale. Regulatory fees included in monthly price for qualified accounts. Savings after $10 monthly bill credit. Limited-time offer; subject to change. Qualifying credit, voice line; and new Home Internet Backup Internet line required. If you have cancelled Internet lines in past 90 days, you may need to reactivate them first. AutoPay requires bank account or debit card, otherwise $5 more/line/mo. Price Lock guarantees regular monthly rate plan price of current internet data for new lines with qualifying service (the Home Internet Backup plan is not eligible for Price Lock). T-Mobile will pay your final monthly recurring service charge if we raise your rate and you tell us you are leaving within 60 days. See 5G device, coverage, & access details at T-Mobile.com.

About T-Mobile

T-Mobile US, Inc. (NASDAQ: TMUS) is America’s supercharged Un-carrier, delivering an advanced 4G LTE and transformative nationwide 5G network that will offer reliable connectivity for all. T-Mobile’s customers benefit from its unmatched combination of value and quality, unwavering obsession with offering them the best possible service experience and undisputable drive for disruption that creates competition and innovation in wireless and beyond. Based in Bellevue, Wash., T-Mobile provides services through its subsidiaries and operates its flagship brands, T-Mobile, Metro by T-Mobile and Mint Mobile. For more information please visit: https://www.t-mobile.com

View source version on businesswire.com: https://www.businesswire.com/news/home/20240604774863/en/

Media Contact

T-Mobile US, Inc. Media Relations

MediaRelations@t-mobile.com



Investor Relations Contact

T-Mobile US, Inc.

Investor.Relations@t-mobile.com

https://investor.t-mobile.com

Source: T-Mobile US, Inc.

FAQ

What is T-Mobile's Home Internet Backup plan?

T-Mobile's Home Internet Backup plan offers a 5G internet connection for ISP customers during outages, costing $30/month with AutoPay or $20/month for existing T-Mobile voice line customers.

When is T-Mobile's Home Internet Backup plan available?

The Home Internet Backup plan is available starting June 6.

How much data does T-Mobile's Home Internet Backup plan provide?

The plan provides 130 GB of 5G data monthly.

What are the costs associated with T-Mobile's Home Internet Backup plan?

The plan costs $30 per month with AutoPay, or $20 per month for customers with an eligible T-Mobile voice line. There is also a $35 device connection charge.

What equipment is included with T-Mobile's Home Internet Backup plan?

The plan includes a 5G gateway at no extra cost.

What happens if I use more than 130 GB of data on T-Mobile's Home Internet Backup plan?

After 130 GB, speeds will be reduced to up to 600Kbps.

Is T-Mobile's Home Internet Backup plan available everywhere?

No, the plan is not available in all areas.

Does T-Mobile's Home Internet Backup plan offer Price Lock?

No, Home Internet Backup is not eligible for T-Mobile's Price Lock guarantee.

How quickly can I set up T-Mobile's Home Internet Backup plan?

The setup process is fast and easy, taking 15 minutes or less.

How does T-Mobile's Home Internet Backup plan handle network congestion?

During congestion, customers may notice reduced speeds due to data prioritization.