“Risking profits,” what profits? These guys have been spilling red ink for years and remain embroiled in a real price war. Yes, they’re probably earning a bit from higher prices on text messaging, but that doesn’t compensate for the fact that wireless minutes are basically free these days. This development seems more one of business desperation, as the contract-term business model collapses around them.
http://ht.ly/1L1Rw [Wall Street Journal]
The big U.S. wireless carriers — risking profits for growth — are moving more aggressively into the low end of the cellphone market: Selling services to consumers without requiring them to sign contracts.