Benzinga | Oct 5, 2021 04:45PM EDT

T-Mobile Reduces Home Internet Price By 17%

* T-Mobile U.S. Inc (NASDAQ:TMUS) slashed the price of its new 5G wireless home broadband service by 17% to win more internet customers from cable and phone companies.

* The new price is $50 a month, down $10. The six-month-old service is available to over 30 million homes, just a fraction of the U.S. total.

* Last month, Verizon Communications Inc (NYSE:VZ) offered a $200 credit to new customers for its $70 a month 5G home internet service, Bloomberg reports.

* The price cuts in the rollout of new 5G wireless services highlight the challenges of displacing reputed phone and cable companies.

* About 106 million subscribers get broadband from cable and phone companies at an average cost of $65 a month.

* The price promotions follow weaker sign-ups for internet service in late summer. The demand for broadband access surged around the U.S. through mid-2021 due to the pandemic triggered remote working and learning.

* Price Action: TMUS shares closed lower by 0.05% at $125.40 on Tuesday.