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NEWS: Get Ready for a Wireless Carrier War

Discussion in 'alt.cellular.verizon' started by PDA Man, Sep 5, 2003.

  1. PDA Man

    PDA Man Guest

    Carriers will likely spend heavily to keep customers once number portability
    kicks in this November.

    NEW YORK (CNN/Money) - On Nov. 24, the long-awaited wireless number
    portability rule kicks in, which will allow cell phone users to keep their
    numbers when they switch service providers.

    So if the hassle of letting people know your new number is the only reason
    you've stuck with your current service, you will soon be in luck. And based
    on the backlash the wireless industry received after last month's blackout,
    there may very well be a bunch of customers looking to switch.

    Curiously, the pending change has not fazed investors. (Maybe they are too
    busy chatting away on their cell phones to notice.)

    Shares of Nextel are up 64 percent this year. AT&T Wireless has surged 56
    percent. Sprint PCS is up 26.5 percent. And the stocks of several regional
    wireless carriers, such as Triton PCS and Western Wireless are up sharply

    Its Going To Get Ugly
    But wireless number portability has the potential to make an already tough
    business even more competitive. "This is going to cause a mess next year and
    into 2005," said Patrick Comack, an analyst with Guzman & Co. "It's going to
    be an ugly period for a while."

    Comack said that wireless carriers would likely have higher churn rates,
    which means more customers dropping service. In addition, many may increase
    the amount of handset subsidies, i.e. offering prospective subscribers cell
    phones at discounted prices.

    And in a recent research note, Wachovia analyst Jennifer Fritzsche noted
    that the biggest negative associated with wireless number portability is not
    that carriers will lose a lot of customers but that they will spend a ton to
    keep them.

    In other words, if you think wireless companies advertise a lot on
    television now, you ain't seen nothing yet.

    And of course, the carriers will likely come up with creative new pricing
    plans in order to lure customers and hang on to existing ones.

    Add all that up and you have lower profit margins.

    "This is going to cause more price wars, minute wars, whatever you want to
    call it," said Comack. "It's great for consumers but terrible for the
    wireless companies."

    For complete article
    http://money.cnn.com/2003/09/04/technology/techinvestor/lamonica/
     



    › See More: NEWS: Get Ready for a Wireless Carrier War
  2. David L

    David L Guest

    "PDA Man" <pda@place.com> wrote in article
    <guSdnTxENKP7bMWiU-KYgw@comcast.com>:
    >
    > Carriers will likely spend heavily to keep customers once number portability
    > kicks in this November.
    >

    (snip)


    It's going to be interesting.

    Corporate America to benefit from LNP
    by Dan Meyer
    Sept. 04, 2003 1:15 PM EST

    "...corporate America could see a multi-million dollar windfall if
    carriers are forced to reduce rate plans in an attempt to garner new
    customers or keep their current subscribers....

    Most carriers have begun trying to lock up high-value customers to
    long-term contracts prior to the scheduled Nov. 24 implementation of
    WLNP, with analysts noting the enterprise market as being the most
    lucrative..."


    Complete article at
    RCR Wireless News

    http://rcrnews.com/cgi-bin/news.pl?newsId=14946



    [posted via phonescoop.com - free web access to the alt.cellular groups]
     
  3. Phillipe

    Phillipe Guest

    In article <vli04km2aad400@corp.supernews.com>,
    davNOLindiSpamatHotmaledotkom (David L) wrote:

    >
    >
    >
    > "PDA Man" <pda@place.com> wrote in article
    > <guSdnTxENKP7bMWiU-KYgw@comcast.com>:
    > >
    > > Carriers will likely spend heavily to keep customers once number portability
    > > kicks in this November.
    > >

    > (snip)
    >
    >
    > It's going to be interesting.
    >
    > Corporate America to benefit from LNP
    > by Dan Meyer
    > Sept. 04, 2003 1:15 PM EST
    >
    > "...corporate America could see a multi-million dollar windfall if
    > carriers are forced to reduce rate plans in an attempt to garner new
    > customers or keep their current subscribers....
    >
    > Most carriers have begun trying to lock up high-value customers to
    > long-term contracts prior to the scheduled Nov. 24 implementation of
    > WLNP, with analysts noting the enterprise market as being the most
    > lucrative..."
    >
    >
    > Complete article at
    > RCR Wireless News
    >
    > http://rcrnews.com/cgi-bin/news.pl?newsId=14946



    Stateside carriers give Corporations 8 to 27% discounts. In England
    where portability has been around a while, 50% discounts are more the
    norm. Maybe We should be buying puts on wireless stocks.
     
  4. Well I am sure that there are some people who are concerned but it will
    all result in about the same thing. Businesses will still need wireless
    carriers. People will still need to use their cell phone. So if someone
    goes from SPCS to Verizon there will be a more or less even number of
    people churning from one carrier to another.

    I doubt that it will be nearly the "ditch 'em and run" situation that
    everyone thinks.

    "PDA Man" <pda@place.com> wrote in article
    <guSdnTxENKP7bMWiU-KYgw@comcast.com>:
    >
    > Carriers will likely spend heavily to keep customers once number portability
    > kicks in this November.
    >
    > NEW YORK (CNN/Money) - On Nov. 24, the long-awaited wireless number
    > portability rule kicks in, which will allow cell phone users to keep their
    > numbers when they switch service providers.
    >
    > So if the hassle of letting people know your new number is the only reason
    > you've stuck with your current service, you will soon be in luck. And based
    > on the backlash the wireless industry received after last month's blackout,
    > there may very well be a bunch of customers looking to switch.
    >
    > Curiously, the pending change has not fazed investors. (Maybe they are too
    > busy chatting away on their cell phones to notice.)
    >
    > Shares of Nextel are up 64 percent this year. AT&T Wireless has surged 56
    > percent. Sprint PCS is up 26.5 percent. And the stocks of several regional
    > wireless carriers, such as Triton PCS and Western Wireless are up sharply
    >
    > Its Going To Get Ugly
    > But wireless number portability has the potential to make an already tough
    > business even more competitive. "This is going to cause a mess next year and
    > into 2005," said Patrick Comack, an analyst with Guzman & Co. "It's going to
    > be an ugly period for a while."
    >
    > Comack said that wireless carriers would likely have higher churn rates,
    > which means more customers dropping service. In addition, many may increase
    > the amount of handset subsidies, i.e. offering prospective subscribers cell
    > phones at discounted prices.
    >
    > And in a recent research note, Wachovia analyst Jennifer Fritzsche noted
    > that the biggest negative associated with wireless number portability is not
    > that carriers will lose a lot of customers but that they will spend a ton to
    > keep them.
    >
    > In other words, if you think wireless companies advertise a lot on
    > television now, you ain't seen nothing yet.
    >
    > And of course, the carriers will likely come up with creative new pricing
    > plans in order to lure customers and hang on to existing ones.
    >
    > Add all that up and you have lower profit margins.
    >
    > "This is going to cause more price wars, minute wars, whatever you want to
    > call it," said Comack. "It's great for consumers but terrible for the
    > wireless companies."
    >
    > For complete article
    > http://money.cnn.com/2003/09/04/technology/techinvestor/lamonica/
    >
    >
    >
    >


    [posted via phonescoop.com - free web access to the alt.cellular groups]
     
  5. William Bray

    William Bray Guest

    Horror stories ranging into billions of dollars have been used by
    providers as proof that the change is dangerous. In all reality what is
    really needed is to increase to capacity of the towers and develop new
    hardware to deflect interfering signals. Most providers do want to
    actually invest in anything that benefits the public. It's not
    profitable- in the short run.


    "PDA Man" <pda@place.com> wrote in article
    <guSdnTxENKP7bMWiU-KYgw@comcast.com>:
    >
    > Carriers will likely spend heavily to keep customers once number portability
    > kicks in this November.
    >
    > NEW YORK (CNN/Money) - On Nov. 24, the long-awaited wireless number
    > portability rule kicks in, which will allow cell phone users to keep their
    > numbers when they switch service providers.
    >
    > So if the hassle of letting people know your new number is the only reason
    > you've stuck with your current service, you will soon be in luck. And based
    > on the backlash the wireless industry received after last month's blackout,
    > there may very well be a bunch of customers looking to switch.
    >
    > Curiously, the pending change has not fazed investors. (Maybe they are too
    > busy chatting away on their cell phones to notice.)
    >
    > Shares of Nextel are up 64 percent this year. AT&T Wireless has surged 56
    > percent. Sprint PCS is up 26.5 percent. And the stocks of several regional
    > wireless carriers, such as Triton PCS and Western Wireless are up sharply
    >
    > Its Going To Get Ugly
    > But wireless number portability has the potential to make an already tough
    > business even more competitive. "This is going to cause a mess next year and
    > into 2005," said Patrick Comack, an analyst with Guzman & Co. "It's going to
    > be an ugly period for a while."
    >
    > Comack said that wireless carriers would likely have higher churn rates,
    > which means more customers dropping service. In addition, many may increase
    > the amount of handset subsidies, i.e. offering prospective subscribers cell
    > phones at discounted prices.
    >
    > And in a recent research note, Wachovia analyst Jennifer Fritzsche noted
    > that the biggest negative associated with wireless number portability is not
    > that carriers will lose a lot of customers but that they will spend a ton to
    > keep them.
    >
    > In other words, if you think wireless companies advertise a lot on
    > television now, you ain't seen nothing yet.
    >
    > And of course, the carriers will likely come up with creative new pricing
    > plans in order to lure customers and hang on to existing ones.
    >
    > Add all that up and you have lower profit margins.
    >
    > "This is going to cause more price wars, minute wars, whatever you want to
    > call it," said Comack. "It's great for consumers but terrible for the
    > wireless companies."
    >
    > For complete article
    > http://money.cnn.com/2003/09/04/technology/techinvestor/lamonica/
    >
    >
    >
    >


    [posted via phonescoop.com - free web access to the alt.cellular groups]
     
  6. Bob Smith

    Bob Smith Guest

    "Not Interested" <vert1110@aol.com> wrote in message
    news:vli2sq2k7jkc01@corp.supernews.com...
    > Well I am sure that there are some people who are concerned but it will
    > all result in about the same thing. Businesses will still need wireless
    > carriers. People will still need to use their cell phone. So if someone
    > goes from SPCS to Verizon there will be a more or less even number of
    > people churning from one carrier to another.
    >
    > I doubt that it will be nearly the "ditch 'em and run" situation that
    > everyone thinks.


    I don't think so either, however, there will be some wheeling & dealing on
    plans & phones and there will be some movement of customers between
    carriers.

    One thing to watch for in late November through early January are the hold
    times to the respective CS depts. The carriers will be offering their annual
    holiday specials as well.

    In addition, I'm betting that there will be a 200% increase of phones up for
    auction/sale on eBay as well.

    Bob
     
  7. Todd Allcock

    Todd Allcock Guest

    "PDA Man" <pda@place.com> wrote in message news:<guSdnTxENKP7bMWiU-KYgw@comcast.com>...
    > Carriers will likely spend heavily to keep customers once number portability
    > kicks in this November.


    They already do. That's the hysterical part of all this WNP speculation- there
    already IS a "war" between carriers. Every time someone's contract is up,
    there's a new battle!

    My favorite quote from the article was this:

    > Curiously, the pending change has not fazed investors. (Maybe they are too
    > busy chatting away on their cell phones to notice.)


    No, they realize it will have very little impact. Sure there will be some
    churn, but the cellular market,despite what the press reports, is not teeming
    with tens of millions of customers holding back from changing carriers because
    they'd have to print new business cards! Sure some customers are waiting,
    but I'd be surprised if it's more than a couple percent of cell phone users.
     
  8. Larry W4CSC

    Larry W4CSC Guest

    "In other words, if you think wireless companies advertise a lot on
    television now, you ain't seen nothing yet."

    Argggh! I think he's wearing a flak jacket under that VZW jacket on
    TV. Head shot?

    Just think of how the service would be if they spent the money wasted
    on all the ads and.............


    B O U G H T M O R E I N F R A S T R U C T U R E !!!!!


    Idiots........


    Larry

    Extremely intelligent life must exist in the universe.
    You can tell because they never tried to contact us.
     
  9. p lane

    p lane Guest

    Not a smart remark, just a question, I agree that there are some great
    offers from say Sprint at contract time, but how many of us have seen a
    lot of effort from verizon--I have had verizon service for years, and
    other than rather mundane flyers in the monthly statement don't believe
    I've ever been offered anything really "special--probably because my
    bill only runs $60 for so a month==not a heavy user..However, sprint
    seems to have offers available which are better than advertised
    rates--guess it;s like the old ad that when you are number 2 you've got
    to try harder..

    elecconnec@aol.com (Todd Allcock) wrote in article
    <de37a2e0.0309051730.3f7241a2@posting.google.com>:
    > "PDA Man" <pda@place.com> wrote in message news:<guSdnTxENKP7bMWiU-KYgw@comcast.com>...
    > > Carriers will likely spend heavily to keep customers once number portability
    > > kicks in this November.

    >
    > They already do. That's the hysterical part of all this WNP speculation- there
    > already IS a "war" between carriers. Every time someone's contract is up,
    > there's a new battle!
    >
    > My favorite quote from the article was this:
    >
    > > Curiously, the pending change has not fazed investors. (Maybe they are too
    > > busy chatting away on their cell phones to notice.)

    >
    > No, they realize it will have very little impact. Sure there will be some
    > churn, but the cellular market,despite what the press reports, is not teeming
    > with tens of millions of customers holding back from changing carriers because
    > they'd have to print new business cards! Sure some customers are waiting,
    > but I'd be surprised if it's more than a couple percent of cell phone users.


    [posted via phonescoop.com - free web access to the alt.cellular groups]
     
  10. "PDA Man" <pda@place.com> wrote in article
    <guSdnTxENKP7bMWiU-KYgw@comcast.com>:
    >
    > Carriers will likely spend heavily to keep customers once number portability
    > kicks in this November.
    >
    > NEW YORK (CNN/Money) - On Nov. 24, the long-awaited wireless number
    > portability rule kicks in, which will allow cell phone users to keep their
    > numbers when they switch service providers.
    >
    > So if the hassle of letting people know your new number is the only reason
    > you've stuck with your current service, you will soon be in luck. And based
    > on the backlash the wireless industry received after last month's blackout,
    > there may very well be a bunch of customers looking to switch.
    >
    > Curiously, the pending change has not fazed investors. (Maybe they are too
    > busy chatting away on their cell phones to notice.)
    >
    > Shares of Nextel are up 64 percent this year. AT&T Wireless has surged 56
    > percent. Sprint PCS is up 26.5 percent. And the stocks of several regional
    > wireless carriers, such as Triton PCS and Western Wireless are up sharply
    >
    > Its Going To Get Ugly
    > But wireless number portability has the potential to make an already tough
    > business even more competitive. "This is going to cause a mess next year and
    > into 2005," said Patrick Comack, an analyst with Guzman & Co. "It's going to
    > be an ugly period for a while."
    >
    > Comack said that wireless carriers would likely have higher churn rates,
    > which means more customers dropping service. In addition, many may increase
    > the amount of handset subsidies, i.e. offering prospective subscribers cell
    > phones at discounted prices.
    >
    > And in a recent research note, Wachovia analyst Jennifer Fritzsche noted
    > that the biggest negative associated with wireless number portability is not
    > that carriers will lose a lot of customers but that they will spend a ton to
    > keep them.
    >
    > In other words, if you think wireless companies advertise a lot on
    > television now, you ain't seen nothing yet.
    >
    > And of course, the carriers will likely come up with creative new pricing
    > plans in order to lure customers and hang on to existing ones.
    >
    > Add all that up and you have lower profit margins.
    >
    > "This is going to cause more price wars, minute wars, whatever you want to
    > call it," said Comack. "It's great for consumers but terrible for the
    > wireless companies."
    >
    > For complete article
    > http://money.cnn.com/2003/09/04/technology/techinvestor/lamonica/
    >
    >
    >
    >

    I hate to break it to everyone but most carriers are going to gain just
    as many customers as they lose, do think that everyone is just pissed at
    one carrier? I dont think so, there will be just as many people who are
    pissed at verizon and cingular and everyone else, they all still want to
    keep their phones so they will have to go somewhere, by the way,
    everyone will have to get a new phone

    [posted via phonescoop.com - free web access to the alt.cellular groups]
     
  11. Phillipe

    Phillipe Guest

    In article <vliha4bb875r55@corp.supernews.com>,
    jaymzjaymzon@hotmail.com (Jaymz Jaymzon) wrote:

    > I hate to break it to everyone but most carriers are going to gain just
    > as many customers as they lose, do think that everyone is just pissed at
    > one carrier? I dont think so, there will be just as many people who are
    > pissed at verizon and cingular and everyone else, they all still want to
    > keep their phones so they will have to go somewhere, by the way,
    > everyone will have to get a new phone


    Its the promotions and additional advertising that will cost everyone,
    regardless of net gain or loss from switching. If any one doesn't keep
    up with the others, they will lose. And companies that already in the
    red, can only hemmorage.
     
  12. David L

    David L Guest

    "Bob Smith" <usirsclt_NoSpam_@earthlink.net> wrote in article
    <ME96b.1124$BG6.57@newsread1.news.atl.earthlink.net>:
    >
    >
    > In addition, I'm betting that there will be a 200% increase of phones up for
    > auction/sale on eBay as well.
    >
    > Bob
    >
    >


    Good point, lots of used phones up for sale.

    I suspect a lot of new handset models offered as well, to lure
    prospective new customers.

    I also bet there is a huge demand for multi-brand phone book transfer
    equipment and software.
    Carriers would be smart to set up easy transitions, especially for biz
    accounts.

    -
    David

    [posted via phonescoop.com - free web access to the alt.cellular groups]
     
  13. John Andrews

    John Andrews Guest

    CS times wont be effected that much

    Portability will be done thru sales channels remember...

    Only ones that will be calling are the ones that cant port their numbers
    because they havent settled their bills with the previous carrier...
    Sprint has said they wont if you owe anything besides current bill...

    Portability isnt a magic wand...

    "Bob Smith" <usirsclt_NoSpam_@earthlink.net> wrote in article
    <ME96b.1124$BG6.57@newsread1.news.atl.earthlink.net>:
    >
    > "Not Interested" <vert1110@aol.com> wrote in message
    > news:vli2sq2k7jkc01@corp.supernews.com...
    > > Well I am sure that there are some people who are concerned but it will
    > > all result in about the same thing. Businesses will still need wireless
    > > carriers. People will still need to use their cell phone. So if someone
    > > goes from SPCS to Verizon there will be a more or less even number of
    > > people churning from one carrier to another.
    > >
    > > I doubt that it will be nearly the "ditch 'em and run" situation that
    > > everyone thinks.

    >
    > I don't think so either, however, there will be some wheeling & dealing on
    > plans & phones and there will be some movement of customers between
    > carriers.
    >
    > One thing to watch for in late November through early January are the hold
    > times to the respective CS depts. The carriers will be offering their annual
    > holiday specials as well.
    >
    > In addition, I'm betting that there will be a 200% increase of phones up for
    > auction/sale on eBay as well.
    >
    > Bob
    >
    >


    [posted via phonescoop.com - free web access to the alt.cellular groups]
     
  14. John Andrews

    John Andrews Guest

    "Bob Smith" <usirsclt_NoSpam_@earthlink.net> wrote in article
    <ME96b.1124$BG6.57@newsread1.news.atl.earthlink.net>:
    >
    > "Not Interested" <vert1110@aol.com> wrote in message
    > news:vli2sq2k7jkc01@corp.supernews.com...
    > > Well I am sure that there are some people who are concerned but it will
    > > all result in about the same thing. Businesses will still need wireless
    > > carriers. People will still need to use their cell phone. So if someone
    > > goes from SPCS to Verizon there will be a more or less even number of
    > > people churning from one carrier to another.
    > >
    > > I doubt that it will be nearly the "ditch 'em and run" situation that
    > > everyone thinks.

    >
    > I don't think so either, however, there will be some wheeling & dealing on
    > plans & phones and there will be some movement of customers between
    > carriers.
    >
    > One thing to watch for in late November through early January are the hold
    > times to the respective CS depts. The carriers will be offering their annual
    > holiday specials as well.
    >
    > In addition, I'm betting that there will be a 200% increase of phones up for
    > auction/sale on eBay as well.
    >
    > Bob
    >
    >


    [posted via phonescoop.com - free web access to the alt.cellular groups]
     
  15. JackF

    JackF Guest

    But you won't get a notice in your bill about them either. You need to call
    and get to the retention level folks to get an offer.

    "p lane" <plane@usa.com> wrote in message
    news:vlifdrs6pgh3c6@corp.supernews.com...
    > Not a smart remark, just a question, I agree that there are some great
    > offers from say Sprint at contract time, but how many of us have seen a
    > lot of effort from verizon--I have had verizon service for years, and
    > other than rather mundane flyers in the monthly statement don't believe
    > I've ever been offered anything really "special--probably because my
    > bill only runs $60 for so a month==not a heavy user..However, sprint
    > seems to have offers available which are better than advertised
    > rates--guess it;s like the old ad that when you are number 2 you've got
    > to try harder..
    >
    > elecconnec@aol.com (Todd Allcock) wrote in article
    > <de37a2e0.0309051730.3f7241a2@posting.google.com>:
    > > "PDA Man" <pda@place.com> wrote in message

    news:<guSdnTxENKP7bMWiU-KYgw@comcast.com>...
    > > > Carriers will likely spend heavily to keep customers once number

    portability
    > > > kicks in this November.

    > >
    > > They already do. That's the hysterical part of all this WNP

    speculation- there
    > > already IS a "war" between carriers. Every time someone's contract is

    up,
    > > there's a new battle!
    > >
    > > My favorite quote from the article was this:
    > >
    > > > Curiously, the pending change has not fazed investors. (Maybe they are

    too
    > > > busy chatting away on their cell phones to notice.)

    > >
    > > No, they realize it will have very little impact. Sure there will be

    some
    > > churn, but the cellular market,despite what the press reports, is not

    teeming
    > > with tens of millions of customers holding back from changing carriers

    because
    > > they'd have to print new business cards! Sure some customers are

    waiting,
    > > but I'd be surprised if it's more than a couple percent of cell phone

    users.
    >
    > [posted via phonescoop.com - free web access to the alt.cellular groups]
     
  16. Bob Smith

    Bob Smith Guest

    "John Andrews" <GB1@Ureach.Com> wrote in message
    news:vlio2chb8vl4c5@corp.supernews.com...
    > CS times wont be effected that much
    >
    > Portability will be done thru sales channels remember...
    >
    > Only ones that will be calling are the ones that cant port their numbers
    > because they havent settled their bills with the previous carrier...
    > Sprint has said they wont if you owe anything besides current bill...
    >
    > Portability isnt a magic wand...


    I'm not just talking about portability, I'm also talking about special
    holiday plans which will be offered during this same time frame. People will
    be calling CS for these new sales, portability and any number of other
    reasons.

    Even before portability, SPCS hold times go up everytime at that time of the
    year, because of the new plans that are offered.

    Bob
     
  17. Doru Roll

    Doru Roll Guest

    Re: Get Ready for a Wireless Carrier War

    The whole hullabaloo about gains/losses/churn/infrastructure is absolute
    hogwash. WLNP doesn't cost a penny to implement from the standpoint of
    infrastructure. It is "inconvenient" for the carriers to sign-up a WLNP
    customer since the number has to be manually entered into, as opposed to
    automatically assigned by the computer. So there may be a need to
    (temporarily) increase the CS force. The only other "cost" will be the
    handset subsidy, which has a simple solution: offer cheap phones.

    As for the minute/price/retention wars, depending on the geographical area
    there will be winners and there will be losers. But overall the law of
    averages will prevail. Besides, it looks like all the carriers will require
    a 2-year contract from new WLNP customers.

    The carriers who oppose WLNP do so knowing they have poor coverage in the
    key markets where people have 3-4 phones per family, and they will lose
    share. For instance, there is a good likelihood that Verizon will clean up
    the (New York) Tri-State area. They have the best infrastructure. Also look
    at their combined voice/data/wireless business products and you'll see no
    reason to go to anyone else. Besides, they have quietly upgrading their
    infrastructure for about a year and also started improving their stand-by
    power in the wake of Blackout 2003. This area carries 27% of the entire US
    market, so Sprint, T-Mobile, AT&T should be worried.

    The real "problem" is WLNP will ring the death knell of the landline
    operators. Most people no longer see a need for a wired phone, but "had to
    have" one since cellular numbers weren't "stable". With WLNP the "need" for
    a wired phone is truly gone. And the new groups features which allow for
    hundreds of phones to be linked in a sub-network (line NexTel but much more
    sophisticated) eliminated the need for wire lins even for businesses. By the
    end of next year I think we'll see completely "wireless" companies. It's
    being done today (but I can't tell you where ;-).

    New infrastructure roll-outs will have to wait until the waters clear, say
    3-6 months. WLNP-related infrastructure investments will probably not start
    before Q2 2004. Sprint, Verizon and T-Mobile have new infrastructure
    contracts out, but that's unrelated to WLNP.

    So you see, if you look at the real impact of WLNP, the only one affected
    will be the individual consumer. He may decide to change carriers, get
    locked into a 2-year contract and positively hate it. Now he will be stuck,
    with a cheap phone and a number his ex knows all too well. But that guy is
    of no concern to the "investor".

    Regards,
    Doru Roll

    "PDA Man" <pda@place.com> wrote in message
    news:guSdnTxENKP7bMWiU-KYgw@comcast.com...
    >
    > Carriers will likely spend heavily to keep customers once number

    portability
    > kicks in this November.
    >
    > NEW YORK (CNN/Money) - On Nov. 24, the long-awaited wireless number
    > portability rule kicks in, which will allow cell phone users to keep their
    > numbers when they switch service providers.
    >
    > So if the hassle of letting people know your new number is the only reason
    > you've stuck with your current service, you will soon be in luck. And

    based
    > on the backlash the wireless industry received after last month's

    blackout,
    > there may very well be a bunch of customers looking to switch.
    >
    > Curiously, the pending change has not fazed investors. (Maybe they are too
    > busy chatting away on their cell phones to notice.)
    >
    > Shares of Nextel are up 64 percent this year. AT&T Wireless has surged 56
    > percent. Sprint PCS is up 26.5 percent. And the stocks of several regional
    > wireless carriers, such as Triton PCS and Western Wireless are up sharply
    >
    > Its Going To Get Ugly
    > But wireless number portability has the potential to make an already tough
    > business even more competitive. "This is going to cause a mess next year

    and
    > into 2005," said Patrick Comack, an analyst with Guzman & Co. "It's going

    to
    > be an ugly period for a while."
    >
    > Comack said that wireless carriers would likely have higher churn rates,
    > which means more customers dropping service. In addition, many may

    increase
    > the amount of handset subsidies, i.e. offering prospective subscribers

    cell
    > phones at discounted prices.
    >
    > And in a recent research note, Wachovia analyst Jennifer Fritzsche noted
    > that the biggest negative associated with wireless number portability is

    not
    > that carriers will lose a lot of customers but that they will spend a ton

    to
    > keep them.
    >
    > In other words, if you think wireless companies advertise a lot on
    > television now, you ain't seen nothing yet.
    >
    > And of course, the carriers will likely come up with creative new pricing
    > plans in order to lure customers and hang on to existing ones.
    >
    > Add all that up and you have lower profit margins.
    >
    > "This is going to cause more price wars, minute wars, whatever you want to
    > call it," said Comack. "It's great for consumers but terrible for the
    > wireless companies."
    >
    > For complete article
    > http://money.cnn.com/2003/09/04/technology/techinvestor/lamonica/
    >
    >
    >
    >
     
  18. This is going to be the biggest nightmare for ANYONE in the wireless
    telecom industry, even phone manufacturers.

    This is taking place just in time for the holiday season, every provicer
    will see insanely high churn rates, but will also see high new
    activation rates.

    All hell is going to break loose for roughly 3 months, and it will
    dwindle down over the next 1-2 years as people get out of their
    contraces.

    BUT - hopefully there is a light at the end of the tunnel. Customer
    servcie on all aspects SHOULD improve, since it seems to be one of the
    leading causes of people leaving. In store and out of store service
    should get better, companies will also concentrate more on keeping
    current customers along with trying to snag current customers from other
    carriers.

    Since its almost to the point in the US that whoever can get a wireless
    phone and wants one, already has one, so new customers (not from other
    carriers) will be at a minimum.

    I think in the end it will be great for consumers.

    [posted via phonescoop.com - free web access to the alt.cellular groups]
     
  19. Larry W4CSC

    Larry W4CSC Guest

    On Sat, 06 Sep 2003 14:42:42 -0000, pcsguy@bellsouthNOSPAM.net
    (SprintPCS Tech) wrote:

    >This is going to be the biggest nightmare for ANYONE in the wireless
    >telecom industry, even phone manufacturers.
    >

    Geez, just think....The companies may have to kiss the CUSTOMER'S ass,
    instead of the other way around......something new for them.


    Larry

    Extremely intelligent life must exist in the universe.
    You can tell because they never tried to contact us.
     
  20. In alt.cellular.verizon Bob Smith <usirsclt_NoSpam_@earthlink.net> wrote:

    > In addition, I'm betting that there will be a 200% increase of phones up for
    > auction/sale on eBay as well.


    But, at least with Sprint, they won't activate a phone they
    didn't originally sell for their service on their network.

    - Paul
     

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