The third-place U.S. wireless carrier is making this move thanks to its acquisition of Layer3 TV, which launched in 2013 as an internet-based TV platform. Layer3 TV provides television service, online video and social media in five cities across the U.S. (Chicago, Dallas/Fort Worth, Denver, Los Angeles, and Washington, DC). However, T-Mobile will need to greatly expand that footprint to appease its customer base that stretches nationwide.
In its current form, Layer3 TV provides access to over 275 HD channels, DVR support with the ability to record 8 shows at once, and access to over 25,000 on demand titles.
“People love their TV, but they hate their TV providers. And worse, they have no real choice but to simply take it – the crappy customer service, clunky technology and outrageous bills loaded with fees! That’s where we come in. We’re gonna fix the pain points and bring real choice to consumers across the country,” said T-Mobile CEO John Legere. “It only makes sense for the Un-carrier to do to TV what we’re doing to wireless: change it for good! Personally, I can’t wait to start fighting for consumers here!”
T-Mobile latest venture comes at a time when AT&T offers its own DirecTV Now streaming TV packages, and is in the midst of purchasing Time Warner. Likewise, Verizon has its Go90 video streaming service, which is aimed at millennials. T-Mobile appears to be going more with the AT&T/DirecTV Now approach, although we don't know how much of the Layer3 TV experience will remain after it is rebranded as a T-Mobile offering in 2018.
“No market needs Un-carrier-ing more than pay TV, so we’re completely stoked to join T-Mobile in disrupting the status quo!” added Jeff Binder, CEO of Layer3 TV, Inc. “Together with T-Mobile, we’re going to ditch everything you hate about cable and make everything you love about TV better.”
T-Mobile prides itself on be the "un-carrier", so we can't wait to see how the company plans to navigate the market with its TV offering. If the price is right, especially when combined with cell service, T-Mobile could have a hit on its hands.