Sunday, March 2, 2014

T-Mobile Is Stealing Customers From Other Carriers -- But Where Are the Profits?

T-Mobile (NYSE: TMUS  ) has undoubtedly made some disruptive moves in the past year. The first big move came when the company did away with contracts. But it's T-Mobile's most recent move that really highlights just how aggressively the company is trying to acquire new customers. The strategy is clearly working. In the company's fourth quarter T-Mobile added about 870,000 new net postpaid customers. But the big gain in customers came with a cost.

As T-Mobile aggressively pursues new customers, it is facing two major challenges: costs and demands for better service. In the following video, Fool contributor Daniel Sparks takes a closer look at these challenges.

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