There is fierce competition among the four major US wireless carriers, as Verizon Wireless, AT&T, Sprint, and T-Mobile are all trying to retain customers - while attracting new subscribers - by providing a number of smartphones and plans. However, it looks like Verizon has found a new way to keep subscribers away from T-Mobile, this time adding fine print to its policy change related to early termination fees.
Previously, the Verizon ETF agreement started at $350 and would decrease $10 per month immediately, but now doesn't go into effect until eight months into a two-year contract. The change won't hurt Verizon's financials, and might impact T-Mobile's "Uncarrier" promotion, which helps customers pay for ETFs when switching to the service.
T-Mobile has successfully gained at least 1.5 million net new subscribers over the past five quarters, at the expense of other providers.