Sprint Fires Back at T-Mobile With Hulu Bundle
Back in early September, T-Mobile (NASDAQ: TMUS) unveiled its most recent Un-carrier move: bundling Netflix (NASDAQ: NFLX) for free with its T-Mobile One family plans. The Netflix plan that is included is the standard plan that costs $10 per month, so the $120 per year in savings can offset a month's worth of cellular service, as T-Mobile One family plans start at $120 per month for two lines.
This all comes as wireless service providers continue to bundle more and more content to differentiate themselves and strengthen customer retention. The big difference is that larger rivals Verizon and AT&T are making ginormous acquisitions in order to own the content that they want to bundle. Not only do the smaller carriers lack the balance sheets to pull off such acquisitions, but they also don't appear to be that interested in doing so, as it's possible to achieve the same goal by partnering. You don't necessarily need to own the content to deliver a compelling value proposition.
Image source: Sprint.
Source: Fool.com
