T-Mobile US (TMUS) Morgan Stanley Technology, Media & Telecom Conference summary

Growth outlook and performance

• 2024 marked record growth, with the highest customer additions and financial highs, leading to increased 2025 guidance, including 5% service revenue growth and record postpaid net additions guidance.

• Growth is driven by value, network quality, and customer experience, with under-penetrated segments like rural, business, and fixed broadband fueling momentum.

• Fixed broadband grew to 6.4 million subscribers by end of 2024, with a target of 12 million by 2028.

• The industry is not seen as maturing, with new technology and replacement products expanding total addressable market.

• 2025 is expected to be a trough year for wholesale/service revenue due to external factors, but postpaid service revenue remains a strong growth driver.

Market strategy and competitive positioning

• Convergence has not significantly impacted growth; wireless remains the most considered purchase, and bundling lowers churn.

• Top 100 markets are approached with a proven playbook, focusing on network leadership and customer-driven investment.

• Rural and smaller markets, representing 40% of the U.S. population, are targeted with network expansion and distribution, driving switcher leadership.

• Growth is sustained by focusing on switchers and ARPA, with a track record of delivering on guidance.

Fixed wireless and fiber initiatives

• Fixed wireless is a major growth contributor, with high customer satisfaction and increasing average speeds.

• The fallow capacity model ensures mobile customers are prioritized, and fixed wireless is only offered where excess capacity exists.

• Fiber JVs with Metronet and Lumos leverage exclusive retail partnerships and existing customer relationships to drive penetration and returns.

• Expansion beyond current fiber plans would require similarly attractive opportunities; no immediate need to scale further.