Wireless Price Wars

Just when it looked like wireless carriers were going to focus on trimming costs and turning a profit, AT&T is sparking a new price war. Last week they announced new promotional plans for their ever growing GSM network. The new plans aren’t going over well with analysts who think that a price war is the last thing the industry needs right now. Part of the problem of course is that Wall Street still values wireless carriers by their new customer gains. With wireless penetration hovering around 50% Wall Street and carriers need stop focusing on new subscribers and focus on ARPU and customer retention.

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