T-Mobile Offers Bounty For Helping Consumers To Switch Carriers

NEW YORK (TheStreet) -- T-Mobile US (TMUS) has announced a new plan to gain attention as part of its ongoing attack on the other major carriers, offering a big incentive for its "Simple Choice" plan customers to bring disgruntled Sprint (S) users into the fold.

This morning, T-Mobile announced a new program urging their customers "to throw a lifeline to beleaguered Sprint (or Verizon or AT&T) customers. When they bring in a customer to T-Mobile, both will get unlimited 4G LTE for a full year for no extra charge."

Those subscribers already on the unlimited data plan will receive a $10 each month for a year for each disgruntled customer they guide to a new T-Mobile contract. The new deal begins tomorrow, and is in addition to T-Mobile current "Refer-a-friend" offer to pay up to $650 of your friend's early termination fees when trade-in their old phone and switch to T-Mobile.

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Shares of T-Mobile were off 0.47% to $29.21 in midday trading in New York.

William Blair analyst Jim Breen believes T-Mobile's move is the "next progression" for the industry. "It's similar to what happened to voice service in the early 2000's when we used to pay for hundreds of minutes each month," Breen said in a phone interview. "Over time, people made less calls and now use more data." He believes that over time data limits will even out as well. Breen said he still has "hundreds of rollover minutes" left on his account.

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