Apple Inc. (AAPL)’s partnership with T-Mobile US Inc (TMUS): Musical Treat for Customers


Apple Inc. (NASDAQ:AAPL) is one of the partners of T-Mobile US Inc (NYSE:TMUS) in a new venture where the Telecom company has decided to make music stream free for its users. This might be a musical treat for T-Mobile US Inc (NYSE:TMUS) and Apple Inc. (NASDAQ:AAPL) plays a big role in the new initiative.

Apple Inc. (AAPL)’s partnership with T-Mobile US Inc (TMUS): Musical Treat for Customers

John Legere, T-Mobile US Inc (NYSE:TMUS) CEO was discussing what the new offer has in store for the users on CNBC earlier today. He said that this service would be free for all the users. He also took a dig at the traditional models in the market and said that those who don’t offer music for free either cannot provide such service or are greedy for not providing the service.

Apple Inc. (NASDAQ:AAPL)’s internet radio and Beats music (which was acquired by Apple recently) feature in the new offer and all T-Mobile US Inc (NYSE:TMUS) customers can now enjoy these services for free. According to Legere, the services they offer currently to the customers constitute about 85% of the music streaming business and it will be free for the customers of T-Mobile US Inc (NYSE:TMUS). All the data consumed for music streaming would not be allocated to the high speed data bucket of a customer.

Here is what Legere had to say about other providers not being able to provide what his company has to offer:

“We’re doing this for amongst the other reasons, we can. Why aren’t the other guys, its either because they can’t or because they’re greedy and  would say its actually both”

He was also speaking about the Prime music service launched by, Inc. (NASDAQ:AMZN) and said Prime was given to the customers who are prime players (premier customers) to the company. T-Mobile US Inc (NYSE:TMUS) partnering with Apple Inc. (NASDAQ:AAPL) might hurt, Inc. (NASDAQ:AMZN)’s Prime music streaming service which didn’t offer anything great other than the fact that it was free for the customers having Pime membership.

Apple Inc. (NASDAQ:AAPL)’s partnership with T-Mobile US Inc (NYSE:TMUS) would hurt Amazon’s chances to establish in the music streaming market.

Disclosure: None

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