T-Mobile revolutionizes U.S. 4G market aided by Nokia's super-fast project to roll out LTE - The expert advantage for T-Mobile
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Global Services T-Mobile revolutionizes U.S. 4G market aided by Nokia’s super-fast project to roll out LTE The expert advantage for T-Mobile
T-Mobile has been enjoying huge success in the U.S. with its fast nationwide 4G LTE network and Un-carrier™ customer offerings. At the start of 2012, the company teamed up with Nokia to help enable its network transformation and modernization. In 2012, T-Mobile faced two big challenges in the U.S. its existing GSM and UMTS footprints, which enabled when it came to delivering next-generation LTE services. re-farming of existing spectrum for a brand new First, it faced very muscular competition from AT&T and LTE network. Verizon. T-Mobile was the fourth largest of America’s national wireless operators, with an overall smaller At the same time, a critical T-Mobile objective was licensed spectrum allocation and network footprint than to maintain or improve the experience of existing AT&T and Verizon. Second, T-Mobile didn’t have any customers while the transformation took place. This LTE footprint and needed to play catch-up to the larger meant managing and coordinating the sites being taken rivals who were already between two and four years offline while introducing new sites. In other words, ahead with LTE. great project coordination as well as diligent network optimization skills building on top of state of the art To compete, T-Mobile decided to roll out a high-quality Radio Access Networks was required. LTE network as fast as possible. The ambitious network modernization project aimed to cover 200 million That’s where Nokia, with its Expert Advantage strategy Americans with LTE by the end of 2013 by modernizing and focus on services, came in. “We delivered our nationwide 4G LTE network months ahead of schedule, thanks in part to the strong partnership and expert support of Nokia. What’s more, our nationwide 4G LTE network is the fastest in the U.S., which translates to a great experience for all of our data-hungry customers,” stated Neville Ray, Chief Technology Officer at T-Mobile. 2 T-Mobile Success Story
Smart project management enables rapid roll-out Nokia got the call from T-Mobile at the end of 2011, with The rollout began on schedule and started slowly to the modernization rollout scheduled to begin just six ensure that proper planning and preparation would months later. A period of rapid development followed mitigate any impact on end users, in spite of the to deliver a new hardware solution to fit T-Mobile’s demanding deadlines. frequency requirements. This required Nokia to bring together key internal product experts to collaborate The Nokia LTE hardware and software solutions succinctly and in real time with T-Mobile. Additionally, developed for T-Mobile worked from day one, delivering this meant managing tough prototype engineering improvements in the downlink and uplink speeds. environments and facing a ramp-up of manufacturing on The speed of the deployment soon ramped up. By the a product that had never existed. Nokia’s hardware and autumn, over 4,000 GSM sites were upgraded and the software solutions included a range of custom features first LTE sites were online. By the end of 2013, Nokia to suit T-Mobile’s network and maximize the ability to re- had built 5,700 sites and upgraded and optimized nearly farm spectrum from existing GSM and UMTS sites as well 15,000+ existing T-Mobile sites for LTE. as boosting overall coverage. Expert network optimization for top performing network A further capability that Nokia was able to bring to The task force worked on the principle of whatever the project was its un-rivalled network optimization was needed would be done, and quickly, to improve expertise. To ensure that T-Mobile’s network would network performance. deliver the highest Key Performance Indicators (KPIs), Nokia assembled a task force of experts to focus on The result is a network optimized across three performance analysis. The aim was to go beyond technologies (GSM, UMTS and LTE) with vastly improved conventional optimization procedures to deliver extra KPIs and customer network experience. For example, performance and value for T- Mobile. T-Mobile customers enjoyed fewer dropped calls than ever before. Rollout completed three months ahead of schedule Such a rapid roll-out was a huge optimization and The resulting streamlined project management enabled project management feat for Nokia. The company Nokia’s engineers to reduce the time taken to swap-out pulled together expertise from across the organization sites. At the peak of the rollout, 1,500 professionals to form a cross-functional team and ensure a joined were working on the network, managing around 1,000 up approach to the project. This is a key concept sites per month. T-Mobile’s goal of delivering nationwide underpinning Nokia’s Expert Advantage initiative, which LTE coverage by Q3 2013 was met three months early. focuses on delivering global services for success in In March 2014, T-Mobile kicked off a major new program major projects. to upgrade its GSM/EDGE network with 4G LTE with the objective of reaching more than 250 million people with LTE by the end of 2014, which they reached ahead of schedule. T-Mobile Success Story 3
Focus on customers Nokia delivered the LTE capability that T-Mobile • Un-carrier 4.0: introduced Contract Freedom™ needed, but the operator also helped secure its own and ETF payoff success by radically overhauling the way it deals with customers. Its market-beating program of reforms is • Un-carrier 5.0 & 6.0: customers can try before called Un-carrierTM. they buy with Test Drive™ and music doesn’t count against a customer’s high-speed data T-Mobile’s Un-carrierTM moves break down industry allotment with Music Freedom™ norms by focusing on solving customer pain points. • Un-carrier 7.0: T-Mobile unleashed Wi-Fi with a • Un-carrier 1.0: the end of annual service contracts Personal CellSpot™ and free in-flight text and and introduction of the Simple Choice™ plan, visual voicemail which gives customers unlimited talk, text and data on their nationwide 4G LTE network • Un-carrier 8.0: Unused high-speed data rolls over to next month for up to a year. • Un-carrier 2.0: customers are able to upgrade to a new phone when they want with the JUMP!® See T-Mobile.com for coverage and offer details. program • Un-carrier 3.0 Pt. 1 & 2: unlimited data and texting in over 100+ countries at no extra charge and eligible tablets get 200MB free data for life Customers reward great service High performance has encouraged customers to use T-Mobile is the fastest-growing wireless provider in the more data. Since the launch of LTE in Q3/2013, LTE country. Referenced in the Q4 2014 T-Mobile Investor data consumption has grown 6.3-fold, representing Factbook, they now boast over 55 million subscribers, 63% of all data consumed; according to Nokia Networks with over 12 million net additions to its subscriber data reporting. base over the last 7 quarters. That’s partly thanks to a massive reduction in branded postpaid churn to Snapshot February 2015 just 1.7%. In addition, T-Mobile’s LTE network led in The result is that T-Mobile now offers the fastest nationwide performance with the highest average 4G nationwide 4G LTE network in the U.S., covering over LTE download speed of 19.2 Mbps; that’s 7% faster than 265 million people. What’s more, Nokia’s coordinated Verizon, 28% faster than AT&T, and nearly twice as fast approach to project management and network as Sprint. (source: T-Mobile Q4 2014 Investor Factbook) optimization helped enable T-Mobile to reach this point while maintaining consistent KPIs to safeguard the experience of existing customers throughout the deployment. Challenges • T-Mobile lagged its larger rivals by between two and four years when it came to offering high-speed mobile broadband services • The operator’s spectrum and footprint limitations made it hard to challenge its larger competitors 4 T-Mobile Success Story
The Expert Advantage for T-Mobile US Solutions Smart project management enabled rapid LTE roll-out within 18 months, • T-Mobile launched a huge re-farming and without service interruptions optimization exercise across existing GSM/ UMTS sites, as well as deployed thousands of First LTE Modernization continues Launched Today 265M people new, dedicated LTE sites covered with LTE Modernization LTE Coverage of 200M people • Nokia’s customized hardware and software begins met 3 months early solutions worked from day one to deliver the required LTE services in a matter of months Q3/12 Q4/12 Q1/13 Q2/13 Q3/13 Q4/13 Q1/14 Q2/14 Q3/14 Q4/14 Q1/15 • Nokia’s project management and collaborative Nokia Networks Deployment of T-Mobile approach enabled the upgrades and LTE LTE Modernization at end of 2014 deployments to be carried out with minimum disruption to existing services, even at the Total LTE sites 2G/3G sites LTE added to peak of the rollout, when 1,000 sites were upgraded to LTE 2G Rural sites being re-farmed each month • Nokia’s network optimization expertise ensured the rapid roll out was complemented 21000+ 18000 2700 by exceptional KPIs to deliver a top-performing network Fastest-growing Population covered Subscriber growth by 4G LTE network service provider 12M • T-Mobile made the most of its new network by 12M T-Mobile catches up with LTE 260M 265M 10M establishing a game-changing relationship with coverage and challenges 230M 8M its customers via its Un-carrierTM strategy competition in USA. Fast growth in subscriber base 200M 6M due to T-Mobile’s customer- 150M 4M friendly Un-carrier™ service. 100M 50M 2M 1.7% Results Branded Last 7 * Source: T-Mobile Investor Factbook Q4/14 Feb/2015 * post churn* quarters* Expert network optimization for top performance: • T-Mobile’s goal of delivering LTE coverage T-Mobile now offers the fastest nationwide 4G LTE nationwide by Q3 2013 was met three network experience T-Mobile months early LTE average 7% faster 28% faster 2X faster download speed than Verizon than AT&T than Sprint 19.2Mbps • T-Mobile is the fastest growing wireless provider in the country • T-Mobile boasts over 55 million subscribers while branded postpaid churn has been * Source: T-Mobile Investor Factbook Q4/14 reduced to just 1.7% LTE Data Growth trends in T-Mobile • T-Mobile offers the fastest 4G LTE download Data growth since LTE traffic share speed in America with an average of LTE Launch of all data 19.2 Mbps x6.3 63% (Mar 2013) * Source: Nokia Data Reporting Dec 2014 Find out more about LTE and The Expert Advantage at NSN.com © 2015 Nokia T-Mobile Success Story 5
Nokia Solutions and Networks Oy P.O. Box 1 FI-02022 Finland Visiting address: Karaportti 3 ESPOO Finland Product code C401-01089-R-201410-1-EN © Nokia Solutions and Networks 2015 About Nokia Nokia invests in technologies important in a world where billions of devices are connected. We are focused on three businesses: network infrastructure software, hardware and services, which we offer through Nokia Networks; location intelligence, which we provide through HERE; and advanced technology development and licensing, which we pursue through Nokia Technologies. Each of these businesses is a leader in its respective field. Nokia Networks is the world’s specialist in mobile broadband. From the first ever call on GSM, to the first call on LTE, we operate at the forefront of each generation of mobile technology. Our global experts invent the new capabilities our customers need in their networks. We provide the world’s most efficient mobile networks, the intelligence to maximize the value of those networks, and the services to make it all work seamlessly. networks.nokia.com Nokia is a registered trademark of Nokia Corporation. Other product and company names mentioned herein may be trademarks or trade names of their respective owners. networks.nokia.com
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