T-Mobile is a leading mobile network in the U.S., competing with AT&T and Verizon. It gained popularity by offering affordable plans, no long-term contracts, and unlimited data. In 2020, it merged with Sprint, promising better service without increasing costs.

T-Mobile Breaks Promise with Two Price Hikes

T-Mobile told customers that older (legacy) plans would stay the same price. This promise helped build trust, especially since AT&T and Verizon were raising their rates.

In 2023, T-Mobile returned to its word and raised prices for some older plans. Then in 2024, it did the same again, adding $5 per line each month. Many customers are upset, and some even think about legal action.

T-Mobile CEO Mike Sievert said during an earnings call on Jan. 29.

“In our storied growth history, 2024 was our greatest growth year ever across multiple metrics, and we finished strong”

Sievert said during a recent company all-hands meeting.

“You’re going to be hearing about us, for example, getting back to some of the adjustments of legacy pricing that we began last year,”

T-Mobile’s Free Line Offer Real Benefit or Just Marketing?

To calm customers down, T-Mobile is offering some people a free line, but it comes with conditions:

  • Only for those on Go5G Plus and Go5G Next plans.
  • Customers who add a new line can get up to $1,000 in bill credits over 24 months.
  • The deal does not include a new phone, just the service line.
  • After 24 months, the free line becomes a paid line unless cancelled.

This offer first appeared in the T Life app, but not everyone got it. Some had to contact T-Mobile support to check if they were eligible, while others got a text message about it.

T-Mobile Profits Rise After Price Hike

While customers are frustrated, T-Mobile is earning more than ever. In the last quarter of 2024, the company’s net income jumped 48% compared to 2023. Its total service revenue hit $16.9 billion, a 6% increase from the previous year.

This shows that T-Mobile didn’t have to raise prices they just chose to.

How Are Customers Reacting?

Many customers feel this “free line” offer isn’t a fair deal. Some say T-Mobile should have kept its promise instead of raising prices and then giving a freebie to make up for it. Others don’t trust the offer, thinking it’s just a trick to lock people into another plan before raising prices again.

For those who needed an extra line, this might be a good deal. But for those who just want fair prices, it feels more like a sales gimmick than a real apology.

What Happens Next?

After two price hikes in two years, many customers no longer trust T-Mobile. People who once loved the company’s customer-friendly approach are now thinking about switching.

T-Mobile used to stand out for being affordable and honest. But now, customers are asking Will they break their promises again?