Innovations and Disruptions: T-Mobile US Acquires Layer3 TV, Move to Un-carrier TV

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T-Mobile US, Inc. president and CEO John Legere unveiled the next phase in the Un-carrier’s mobile video strategy, announcing plans to launch a disruptive new TV service in 2018.

To fuel that, Legere also announced the Un-carrier has signed a definitive agreement to acquire TV technology innovator Layer3 TV, Inc. (“Layer3 TV”) and will work with Layer3 TV’ technology and talent to create T-Mobile’s new TV service.

“People love their TV, but they hate their TV providers. And worse, they have no real choice but to simply take it – the crappy customer service, clunky technology and outrageous bills loaded with fees! That’s where we come in. We’re gonna fix the pain points and bring real choice to consumers across the country,” said John Legere, president and CEO of T-Mobile. “It only makes sense for the Un-carrier to do to TV what we’re doing to wireless: change it for good! Personally, I can’t wait to start fighting for consumers here!”

Bringing Real Choice to TV

The Un-carrier will build TV for people who love TV but are tired of the multi-year service contracts, confusing sky-high bills, exploding bundles, clunky technologies, outdated UIs, closed systems and lousy customer service of today’s traditional TV providers.

And people are tired of all the BS that comes bundled with Big Cable and Satellite TV – America’s #1 most-hated industry. In fact, 8 of the 10 brands with the lowest customer satisfaction scores in America are cable and TV providers.

“We’re in the midst of the Golden Age of TV, and yet people have never been more frustrated by the status quo created by Big Cable and Satellite TV,” said Mike Sievert, Chief Operating Officer of T-Mobile. “That’s because the world is changing – with mobile video, streaming services, cord cutting, original content and more — and yet, the old guard simply can’t – or won’t – evolve. It’s time for a disruptor to shake things up and give people real choice like only the Un-carrier can.”

Shifting the Un-carrier’s Mobile Video Strategy into Overdrive
T-Mobile has long been a leader in mobile video – first, giving customers the freedom to stream as much as they want with Binge On and T-Mobile ONE, and then giving T-Mobile ONE families a free Netflix subscription included at no extra charge. All of these Un-carrier moves sent shockwaves through the wireless industry, prompting competitors to continue to follow T-Mobile’s lead.

Today, the Un-carrier is shifting its strategy into overdrive by acquiring fellow disruptor Layer3 TV. Currently, Layer3 TV delivers a product that seamlessly integrates the best of television, streaming online video content and social media and is available in five cities across the US. With Layer3 TV’s leading technology and talented team, T-Mobile plans to launch its own disruptive new TV service next year, tapping into the amazing content available from creators today to disrupt legacy cable and satellite TV’s distribution model. The Un-carrier’s new TV service will take full advantage of T-Mobile’s nationwide retail presence, top-rated brand and award-winning sales and customer care organizations.

“No market needs Un-carrier-ing more than pay TV, so we’re completely stoked to join T-Mobile in disrupting the status quo!” said Jeff Binder, CEO of Layer3 TV, Inc. “Together with T-Mobile, we’re going to ditch everything you hate about cable and make everything you love about TV better.”

A Network Built for Video

At the heart of T-Mobile’s mobile video strategy is the nation’s fastest LTE network – a network built to handle customers’ growing appetite for mobile video. Since last year, wireless customers are using 37.5% more data on average, and T-Mobile’s network has only gotten faster – with download speeds increasing 28% in the last year.

And, T-Mobile’s network just continues to expand and improve with new nationwide low-band spectrum and more advanced technologies deployed than any other wireless company. Plus, T-Mobile is out in front again on 5G. The Un-carrier was first to commit to build a nationwide 5G network and has already begun working on that by deploying 5G-ready equipment.


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