Sprint Prepaid Offsets Postpaid Losses

Sprint, the nation’s third largest wireless carrier lost 578,000 postpaid customers, down from 1.25 million a year earlier. Postpaid customers are the most profitable segment of the wireless industry. Many of Sprint’s subscribers fled to the larger rivals, AT&T and Verizon Wireless.

Offsetting these losses in Sprint’s postpaid arena is the addition of 348,000 prepaid customers. Prepaid customers choose less expensive plans and buy minutes upfront.

“We continue to make progress in improving the business.” says Sprint CEO, Dan Hesse. The company plans to roll out a new prepaid strategy including the launching of a new prepaid brand. The company is hoping to see an even greater pickup of prepaid subscribers in the second half of this year.  In other attempts to revive the company, Sprint is adding new smartphones.