T-Mobile has passed Sprint to become the United States' third biggest wireless carrier. Earnings and profits of the Washington-based phone company surged in the second quarter (Q2) due to the telecom's "un-carrier" campaign, which includes offerings for smartphone and tablet owners such as unlimited music streaming and Wi-Fi calling on airplanes.
It gained 2.1 million customers in Q2, allowing T-Mobile to finish with 58.9 million customers. Meanwhile, Sprint added a measly 675,000 clients, completing the time period with 57.7 million customers.
Sprint has held the no. 3 spot in the U.S. wireless carrier rankings for over a decade, according to Fortune. It has not only dropped one spot. The company has fallen to last place among the four national mobile operators.
T-Mobile trails Verizon Wireless and AT&T. The two telecoms currently hold the first and second spots, respectively.
T-Mobile CEO John Legere predicted at the end of 2014 that his company would surpass Sprint's total customers by this year. His forecast was correct.
Legere tweeted on August 4, Tuesday that Sprint was truly "making moves." He then joked that the company was moving from the 3rd to 4th spot in the mobile carrier rankings.
T-Mobile has added around 15 million customers since its merger with MetroPCS in 2013. Meanwhile, Sprint has stayed near 55 million buyers until adding about 2.1 million users by the end of March, according to The Seattle Times.
The company hired CEO Marcelo Claure last August. Since then Sprint has tried to boost its roster by slashing prices, and offering free Wi-Fi calling and worldwide roaming.
On the other hand, T-Mobile has been offering various "un-carrier" products. They include unlimited music streaming, Wi-Fi calling and texting on planes, and non-mandatory two-year contracts.
The company's out-of-the-box strategy has paid off. Its Q2 sales surged to $8.2 billion, posting a profit of $361 million.
In contrast, Sprint's tactics have not turned into big profits. The Kansas-based company reported a net loss of $20 million between Q1 this year and one year ago.
T-Mobile International AG is a German company that was founded in 1990. Headquartered in Bonn, it has about 230 million subscribers in 12 European countries and the U.S.