Site icon TmoNews

T-Mobile Boosts Growth Plans with Massive Network and AI Investment

T-Mobile shared ambitious plans for the next phase of its growth during its Capital Markets Day Update on February 11, and the wireless carrier is clearly betting big on staying ahead of the competition. The company isn’t just maintaining its position in the industry—it’s raising the bar on what it plans to deliver to customers and investors alike.

The Un-carrier announced it would exceed previous forecasts set back in September 2024, with CEO Srini Gopalan emphasizing the company’s three core strengths: its network quality, competitive pricing, and customer experience. These elements have become the foundation of T-Mobile’s strategy to capture more market share and expand beyond just wireless service.

According to the announcement, the company expects to add between 900,000 and 1 million postpaid customers in 2026, while keeping its network quality as a major selling point. For the first time in J.D. Power’s 35-year ranking history, T-Mobile claimed the number one network quality ranking in five of six U.S. regions—a significant milestone in perception that the company has been working toward for years.

The growth doesn’t stop with phones and monthly plans. T-Mobile is doubling down on broadband as a major revenue driver. The company now targets 15 million 5G broadband customers and between 3 to 4 million fiber customers by 2030, bringing its total broadband customer goal to between 18 and 19 million. This represents a major shift in how T-Mobile views its business, treating broadband as equal in importance to its wireless operations.

To support this expansion, T-Mobile outlined significant financial improvements. The company expects service revenues of approximately $77 billion in 2026 and between $80.5 and $81.5 billion in 2027. Meanwhile, core operating cash flow is projected to reach $37 to $37.5 billion in 2026 and $40 to $41 billion in 2027. Most notably, the company plans to return more than $50 billion to stockholders and invest in business growth through 2027.

What makes T-Mobile’s plan distinctive is the role of artificial intelligence and digital transformation. The company says it will generate nearly $3 billion in additional profitability from AI and digital tools by 2027 compared to 2025. The T-Life app, which has been downloaded over 100 million times, now handles digital tasks like upgrades and new activations. The company claims nearly 75 percent of postpaid upgrades are now handled digitally, up from single-digit percentages just two years ago.

The company also unveiled Live Translate, a real-time translation service built directly into its network that could give customers a new reason to stay with the carrier.

T-Mobile’s plan reflects confidence in its market position, but the wireless industry remains intensely competitive. The company is banking on its network reputation and digital capabilities to justify premium pricing and attract the estimated 20 million customers it views as potential switchers who prioritize network quality. 

Whether these ambitious targets materialize will become clear over the next two years as the company pushes forward with integration of acquired networks and aggressive broadband expansion.

Exit mobile version