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Kagan: T-Mobile says cable TV wireless is not profitable, but…

March 6, 2023

T-Mobile tried to knock the growing competitive threat they face from cable TV companies by saying their wireless service is not profitable. What T-Mobile is missing is that profitability does not matter in order to be successful or a threat. The cable television companies are very happy with their wireless performance for one reason, it creates a sticky-bundle, which helps them hang onto their customers for the combination of services including Internet, pay TV, streaming services, VoIP telephone and, yes, wireless.

Cable TV executives could respond to this T-Mobile claim by saying it really doesn’t amount to a hill of beans. After all, this is like a multi-punch fight. Each jab does not need to be profitable in order to win the fight.

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