T-Mobile is preparing significant pricing adjustments after losing more customers to aggressive competitors. The wireless carrier reported adding 962,000 new postpaid phone customers in Q4 2025, falling short of analyst expectations of 981,330 additions. CEO Srini Gopalan acknowledged the entire industry saw increased churn as customers reached the end of 36-month contracts.

Verizon's aggressive promotions, including four lines for $100 per month and free iPhone 17 or Galaxy S25 offers, intensified competition during the quarter. T-Mobile's postpaid phone churn hit 1.02%, up 13 basis points from the previous quarter. The company had previously raised prices and made significant changes to its phone plans, frustrating customers who are increasingly sensitive to monthly costs.

Gopalan hinted at major changes ahead, including re-evaluating device subsidies and potentially adjusting legacy plan pricing. The company currently distributes iPhone discounts as $34 monthly bill credits over 24 months. T-Mobile also continues pushing its digital transformation initiative, with 73% of upgrades now completed through its T-Life app, generating $3 billion in expected savings by 2027.