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Tells T-Mobile customers to "get over here!"

Sprint hasn't been too happy about the proposed AT&T Mobility takeover of T-Mobile USA, and its been quite vocal about that. Now, the nation's third-largest wireless carrier is putting its money where its mouth is, in the form of a $125 credit to lure subscribers from other carriers.

The Wall Street Journal reports that the company is offering the credit to anyone that switches from another carrier to a Sprint smartphone plan. Non-smartphone customers receive a credit, as well, but only in the amount of $50. Business customers switching over receive a $175 credit. 

According to the report, Sprint is specifically targeting current T-Mobile customers who are unsure about their chosen carrier's future. The credit is designed to help early termination fees involved with breaking a contract. The credit comes as a lump sum that appears on a new customer's second bill.

"We recognize there's a little bit of uncertainty in the marketplace, especially for T-Mobile customers," Sprint spokesman Scott Sloat told WSJ.

Analysts were mixed on the promotion's impact. Some warned that it could cut into Sprint's short-term profitability because of higher customer acquisition costs. It could also spur similar offers from rivals, wiping out Sprint's advantage and making the two-year contract temporarily moot, but that is unlikely to happen.

Others were more upbeat. "We view it as a smart and aggressive maneuver to take advantage of what we characterize as T-Mobile's 'lame duck' carrier status," Standard & Poor's Analyst James Moorman told WSJ.

While T-Mobile is certainly the primary target, analysts said the offer could entice lower-end AT&T and Verizon subscribers, as well as MetroPCS and Leap Wireless customers.

The offer runs through June 23.




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