T MOBILE US INC (TMUS), AT&T Inc. (T): Fewer Smartphone Upgrades Give U.S. Telecoms Something to Worry About

Page 2 of 2

On the flip side of that equation, if customers don’t upgrade to LTE devices, why did the carriers’ spend so many billions of dollars on upgrading their infrastructure to handle the new LTE networks?

The more LTE handsets out there getting data from the growing number of LTE networks brings in more revenue. So making it easier to upgrade to higher data rate phones is really a no-brainer for the mobile carriers. It’s like giving a bigger cup to a Starbucks Corporation (NASDAQ:SBUX) addict. Of course, when wearable mobile devices like Apple Inc. (NASDAQ:AAPL)‘s rumored iWatch and Google Inc (NASDAQ:GOOG)‘s Glass start hitting the streets, the “Wow!” factor may again come into play and bring back upgrade envy to the masses.

The article Fewer Smartphone Upgrades Give U.S. Telecoms Something to Worry About originally appeared on Fool.com is written by Dan Radovsky.

Fool contributor Dan Radovsky owns shares of AT&T. The Motley Fool recommends Apple, Google, and Starbucks. The Motley Fool owns shares of Apple, Google, and Starbucks.

Copyright © 1995 – 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Page 2 of 2