All right. All right. Good afternoon, everybody. I'm Sebastiano Petti, and I cover the telecom, cable, and satellite space for J.P. Morgan. I want to welcome T-Mobile President and CEO since 2020, Mike Sievert. Mike, thanks for joining us today.
Yeah, congrats on the new gig, man.
Thank you.
How's it going so far?
So far, so good.
Good.
I'll let you know by the end of the week. So, Mike, it's been a little over four years since you closed the Sprint acquisition. The company has seen strong subscriber and financial growth over that time and, you know, increased your synergy target from the deal. Perhaps you can spend some time helping us think about how you're positioning T-Mobile for success over the next several years. What are some of the near-term priorities?
It's amazing to be reminded it's been over four years now. It seems like we've put so much time and energy into this 'cause it was four years since the merger, but of course, three years planning it before that, and what a wild run it's been, you know. We've wound up going from dead last in the 4G LTE era to first and best in the 5G era. I think what we've accomplished is building the world's best 5G network, and that's fueling our results. So, you know, it's a really interesting moment in time for you to ask that question because, you know, we're largely complete with that chapter now. And, you know, a short summary of what I'm focused on in the very near term is continuing to take share and growing cash flows.
What's great about this is that for the first time ever, and people who are investors in us have heard me talk about this before, but it was a dream before, and now it's reality. For the first time ever, one company in our space is simultaneously able to offer the best value and the best network. We promised that when we closed the merger, and so we started talking about it back then. But now, four years on, after spending $10s of billions of synergy-backed funding, building the world's best 5G network, we've done that, and what that means is we have the ability now, and we've been demonstrating it quarter after quarter, not just talking about it, to take share in this marketplace, and, you know, we're focused on continuing that and translating it into cash flows.
You look at the last quarter, you know, we outgrew our industry benchmark competitors on service revenues 2-to-1 against the average of the other two. Postpaid wireless service revenues of 6.5% growth were by far the highest in the industry. EBITDA, 8% growth, more than double the combined average of the other two, and cash flows grew in Q1 nearly 40%. And this is because we traditionally, during our prior era, we had built an urban business that was focused on the top 100 markets and ran that based on being the best value and being the Un-carrier to market-leading market shares in most of those markets, the biggest ones.
And we fell way behind on places like enterprise, small and medium business, government, smaller markets in rural areas, and these are areas where we've been, since the merger, really growing, and that, that strategy is far from complete. So that's a whole area. And then the second thing is making sure that we take advantage of all these massive investments we've made to grow our business in new ways. And, you know, you see that in our core, but you also see us, you know, picking great adjacencies like 5G high-speed internet, where we've, you know, been running the table for two years running now.
Yeah, so a lot to come back to there. But starting with the core business and just thinking about the health of the wireless industry, while growth has been normalizing, the postpaid ecosystem remains strong, and within that, you have a long runway of some of the growth opportunities you talked about with small markets, rural business, but then just your overall value proposition. Maybe you can help us think about where you are on each of those under-penetrated segment opportunities. And then you talked about the top 100. What does share look like there recently versus perhaps where you had been?
Well, let's just start there. What's interesting is a lot of people, when they heard our strategy four years ago, we said we were gonna focus on under-penetrated segments, and they thought, "All right, so they're going into defense mode in the top 100." That was never our plan, and it's not what's happening. So we're growing share in the top 100 as the market leader, and of course we are. We have the best value. We have the best network now. We have a lot of work to do to convince Americans of that. Brands are stubborn, and we're able to deliver the best customer experiences, and that- you know, those strategies are things that we're carefully investing in. And so Q1, we grew share.
In 2023, across the year, we grew share in the top 100 markets in consumer, and, you know, there's a reason for that. Most people in those top 100 markets, we got to market leadership or near market leadership with most people believing that they had to make a trade-off on network to come to T-Mobile. They like T-Mobile so much that they were like: "I don't know. We'll see if the network works out, but I'll switch." We became the leader with that mindset, and tens of millions of other people never gave us a good look during that era, and those remain our prospects in the top 100 markets. Now they're starting to take a look. You know, they've heard about businesses choosing us, maybe their neighbors chose us, and it continues, and so we're continuing to grow.
Smaller markets and rural areas, this isn't the tiniest towns. This is 40% of the country that we call smaller markets and rural areas, where at the end of last year, we had a 17.5% market share, and in Q1, across the span of 2023, our win share was about double that. So in our present win share of switchers is double our market share. That's exactly what you want to see with a company that has a stated goal to continue to grow ambitiously in that area. A few years ago, I said we'd get to 20% market share by 2025. That looks intact, but of course... you know, that's just 2025.
I mean, you know, I don't think there's any evidence that suggests we should expect that to slow down, given the strength of what we offer. We're bringing real choice to these markets for the first time, and the public really appreciates it, and our win share is fantastic there. So lots of reason to believe in that. Enterprise. Enterprise, you know, Q1 was our highest net add quarter ever, our lowest churn quarter ever. So we're really moving from SIMs to solutions, where we're in strategic discussions with corner offices about what 5G can do to transform the connectivity of organizations. And only T-Mobile has a nationwide standalone 5G network across mid-band and low-band that's able to do advanced 5G capabilities, like dedicated spectrum network slicing. People have been talking about private networks for many years.
We weren't actually talking about all that. I put out a plan in 2021 that didn't promise anybody anything from that because I wasn't into press releases. We just put our heads down and went and did it, and now, you know, we're winning these, these deals because we're the only ones that are in a position to actually do it. And what's interesting is we're not just winning those deals, we're winning market share on smartphones in those organizations as well. So it's turning out to be a great way to introduce our core business to those organizations, whether it's government organizations like the Coast Guard and Department of Defense, whether it's large enterprises, you know, major airlines.
Delta Air Lines last quarter chose us as an example, and we're doing special projects with these major organizations, but we're also winning the smartphone business.
We demonstrated what we can do at the Las Vegas Grand Prix, and then again last week at the PGA Championship, where we build dedicated 5G networks on network slices in order to provide guaranteed throughput access. So, you know, high-definition broadcast at the PGA was done on our 5G network slice. The core commercial operations of the Las Vegas Grand Prix, the biggest thing that's ever happened in Las Vegas, were on our 5G slice, so that people could run those core operations of the race with a million people in proximity and be guaranteed of their service and access to be able to provide those fans with the experiences that they wanted. Only T-Mobile can do these kinds of things right now. And then finally, smaller businesses, that's always been a strength of ours.
Right now, our switching share is some of the highest it's ever been. You can measure lots of ways, porting and other, and other facts. So it's, it's really coming together very nicely, and there's lots of room to run. And so I don't want anybody to get... You know, I'm not bored of this strategy. It's working really well, and so you maybe hear me saying the same thing. So I think for our company to, in the near term, reliably and consistently and methodically take share, but to do so at a rate and pace and with smart investing, so that that share taking translates into outsized cash flow growth, which is the phase we're in as a business.
What are you seeing thus far in the second quarter? How would you characterize? Obviously, the switcher pool is down, upgrades are down. Is that persisting thus far into the second quarter? Anything different?
Well-
From what you saw in April?
You know, let's look at Q1 first. You know, we, our 532,000 postpaid phone net additions represented a higher share of total net adds than our year-ago first quarter. And so what I told investors last year, and, and it sounded a little flip when I said it, was, "It doesn't matter whether the market is rapidly growing or not, because most of our business comes from share taking." And so look, if the market's rapidly growing in postpaid net additions, we'll partake in that. If it's growing more slowly, we won't be harmed by that. And you saw that on display in Q1 because it did moderate, like many predicted it would.
Yeah.
It didn't affect our performance one bit. You know, so we like the way everything's unfolding. I can't give you much on Q2, you know, other than to say that we guided very recently during this quarter for the rest of the year. We increased our net addition guidance, seeing everything that's unfolding, because we like the way our strategy is working.
Obviously, the ACP program has been quite topical this week. It was contemplated in your guide, that was reiterated and raised. Anything that you can share in terms of what T-Mobile has been seeing in Metro or, you know, some of the wholesale relationships?
I just think it's gonna be a much bigger deal for cable than for wireless. You know, wireless—look, when ACP... Our operating assumption is that it goes away. There's some talk about a, you know, a Hail Mary, but our operating assumption is that it goes away. And I do not believe that will result in people disconnecting their mobile service. You know, that is—that discount is not the thing that determines whether they are in the category. This is an essential service. And lots of people may be up for grabs, though—
Right
... and especially at our competitors, and if they're up for grabs, then the company with the strongest and best brands for the value segment is positioned to be able to stand up and serve them and potentially mutually benefit from that. And that- that's how we're approaching it, as a potential opportunity. And, you know, so look, we'll, we'll go after that. Now, in our Assurance brand, which is not reported in our subscriber numbers, 80% of our- 80, 85, maybe even, of our Assurance customers also qualify for Lifeline. So we have to remember that ACP isn't the only subsidy program in the country, and so there's lots of overlap. Now, I'm not trying to convince you that there's no risk to our business here.
You know, some of our wholesale partners, if it goes away, might get punched in the mouth, and they'll have to recover. Metro is around the edges. We have almost no Metro customers on this. But, you know, there could be an impact, but all the impacts that we see are in the range of the guidance that we gave. And, like I said, we think it's a, some aspects of it are a potential opportunity.
Great. So transitioning, you recently announced plans to take some further rate plan optimization actions. So driving an upgrade to your ARPU and ARPA expectations for the year. So clearly, you see an opportunity to raise prices in this environment while maintaining your value proposition of the best network at the lowest price. So help us think through the, you know, maybe land and expand strategy over the next several years and broadly, you know, against the context of, you know, rate opportunities.
Well, anything that we might do in the space would be designed to make sure that T-Mobile is and remains the greatest value in this industry. That's just so core to who we are, and I have no interest in changing any of that. It's been, you know, roughly a decade since we've addressed any core pricing, and, you know, costs rise over a period of time, and I think even our customers understand that. So, you know, we're gonna, we're gonna be thoughtful and make sure that we jealously guard the fame that our brand has as the lowest prices, best value in this marketplace. And what that looks like, you know, changes a little bit over time and, you know, but we're gonna be, we're gonna be very thoughtful about it.
Okay, so that remains the focus.
Yep.
Absolutely. So, thinking about, you know, long-term margin opportunity, I mean, the Sprint synergy tailwind is now behind you, but we believe that T-Mobile has additional levers to pull in terms of operating leverage, efficiencies overall in the coming years. Maybe help us think about some more, maybe transformational cost opportunities that you see on the horizon over the next several years.
We're hard at work on that. There's a lot of opportunity. You know, this is an industry that does a lot of things in traditional analog ways, and, you know, obviously, we have to tackle that. A couple of things. One is, as you think about margin for us, know that we're focused on cash flow margins, and that's not to say we don't see EBITDA margin opportunity. But, we think you got to look at the big picture, and across this industry, everybody's got pretty different P&Ls and different geography as to where they spend their money, and cash is king. And so, you know, we have the highest cash flow margins in this industry compared to our two benchmark competitors, and we expect it to stay that way.
There's a number of reasons for that, including that we have a much more capital-efficient model, for a number of reasons. So, our cash flow margins are north of 20%. We think even after we become a significant cash taxpayer, we'll remain the cash flow margin leader in this space. We see lots of opportunity there. And to your premise of your question, there's opportunities as it relates to digitalization, AI, data, et cetera. And I don't want to front-run myself here, but I do expect that we will lay out our thinking on that, you know, as the year unfolds, maybe principally centered around the fall time.
Great, segue there. I mean, any update on timing of the potential capital markets that your analysts stay for the team?
Yeah, thinking early fall. So, you know, we got to work all the calendars and stuff. But, you know, the last one we did was in the spring of 2021, and we came out about a year after our merger, and we might have done it a little sooner if it hadn't been the pandemic, and we wanted to lay out in much more detail all of our post-merger plans. I have to say I'm really proud of the team because if you go back to that 2021 plan we laid out, and lots of people were laying out their plans back then, you know, we look through what we promised the world we would do, and I'll tell you, the world's really different than we expected back then.
We couldn't have predicted how everything would unfold, but we built a resilient business plan that's delivering point by point by point against all the promises that we made, including a lot of promises nobody believed us when we said we would do these things back then. We expect to be able to lay out a similar set of ambitions in a similar amount of detail for the next few years. I think this is a really pivotal time for us because to... As you said, the merger's behind us now. We have these amazing capabilities. We have been heads down. We don't issue press releases and, you know, try to create a hype cycle.
We have been heads down, creating a business plan for the next four or five years that is powerful and compelling, and putting the pieces in place so that we can stare at that crowd or that camera next time and make a set of forecasts that will be both exciting and achievable, just like we did in 2021.
Great. So T-Mobile is well on its way to serving 7-8 million fixed wireless customers by the end of the year, by end of 2025. But over the last several quarters, you've raised price, slowed a little bit the net pace of net new subscribers, but has there been any change in your fixed wireless strategy since you launched it in late 2020, or is this essentially how you had expected it to evolve?
No change whatsoever. It's like back to my previous point, the only thing that's changed is that, people believe us now. I mean, if you would go back, just roll back the tape to 2021, what is unfolding is exactly what I told you would happen. I told you 7-8 million customers by 2025, laid out kind of roughly how we thought about achieving that, why we would have the capacity to do it, why customers would choose us, and they're doing it. And then in the early cycles of this, in order to really showcase the power of 5G for customers, we laid on an additional promotion. I rolled out originally these, these price points-
Yeah.
but we also put on an additional promotion for a few quarters. And then we've since sunset those, and we've gone back to the core design point pricing, and that's just like you would expect us to do at this point, you know, in our evolution. We're very much on track to achieve the ambitions that we laid out. The 405,000 net additions we did in Q1 actually represented a higher percentage, about four points higher, of the total net additions from the top five players in the industry compared to last year. So while you say it moderated a little bit because of our return to normative pricing, in fact, our share of the industry's net adds at roughly 57% in Q1-
Yeah
... was higher than the year-ago period.
I think you've talked about in the past ways of examining how to extend the FWA, you know, subscriber base beyond that 7-8 million. I mean, how are you thinking about the fallow capacity model? Is that still sustainable to get beyond that, or is it something, you know?
Well, yeah, and just to remind everybody what the fallow capacity model is. I mean, our highest return on network, kind of how I think about it, return on network, you know, return on invested capital, remains the mobile business, and so that's where we prioritize things. And what we do is sector by sector, at a very granular level, we predict out ongoing share taking in mobile, and we also look at ongoing increases in usage per smartphone, and we identify sectors where no normal amount of share taking and per smartphone growth will take up all of our capacity. And only at those addresses do we approve applicants for home broadband. And taking a fraction of those applicants is what gave us our 7-8 million target by 2025, and that remains the strategy.
What that does is means it's a very capital-light strategy, which means it's very accretive to our business because the capital's already in the ground to make us a competitive wireless company. You have to have coverage everywhere to be competitive, and we own the spectrum, so you might as well deploy it. It's a very low cost to do so. So now you've got this high-capacity network in some places where no normal amount of mobile usage will soak it up. Now, what I'm working on with the team is: what can we apply from a technology standpoint, a capability standpoint, as it evolves, to continue on that strategy that's very high return, excess capacity strategy, but potentially extend the TAM?
And we have not drawn any conclusions about whether that's a viable approach for us, but we're working hard on it. You know, I would expect to draw some kind of conclusion, you know, this year as to, before we get you too close to that 2025, as to whether or not there's more runway left past that 7-8 million.
That's great. All right, so you recently announced the JV with EQT for Lumos. So adding to some other, you know, JVs and initiatives you have there, have in place for fiber, help us, you know, think through why this capital-light model makes sense for T-Mobile and, you know, in that regard, you know, some of the synergies perhaps with the FWA strategy.
Well, a couple things to keep in mind, and start with the synergies. We're already a scaled nationwide broadband marketer, and, you know, so we're, we're marketing, we're selling, we're caring, we're servicing, millions of customers nationwide on broadband. And what that means is our ability to add footprint with fiber is a pretty incremental opportunity. Our teams are already there. They know how to sell broadband. We've figured out now how to care for broadband customers in a very high quality, high Net Promoter Score way, and so this isn't, this isn't complicated for us. It's just a great opportunity. Why are we interested in it? Because we think we can make a return, and in fact, we think we can make a better return than a purely disinterested financial investor could.
Some smart money is going after pure fiber because it's a good business. We think we can do better. Why? Because we've spent $ billions building a brand, a team, distribution, incredible data capabilities, a 5G network, a national go-to-market capability in this broadband industry. And so, you know, the incremental investment we would have to make to extract the return's a lot lower than a purely financial investor. We like this model a lot because we get lots of leverage on our dollars. So we're only half the equity, and because it's off-balance sheet, it can be levered appropriately the way other fiber assets get levered without affecting, you know, our leverage as a company.
So another party's matching the equity, and then we'll put appropriate leverage against it, and, you know what, by the time our capital calls are done, for close to $1.5 billion, we'll get 3.5 million homes passed, and T-Mobile will be the marketing entity for all of those homes. So it's a great win for our partners, but we think it's gonna be a great win for us as well.
So although you've reiterated your shareholder return ambitions, and those remain on track, and have said that there's no big, you know, on-balance sheet acquisitions, I think is how you put it, but we still do get the question on: What is the end goal in fiber? How should investors think about that?
For us to like this deal with Lumos, if there are opportunities for us to create a fantastic return for our shareholders, we're interested. You know, that being said, I want to reiterate something I've said in the past, which is, we love our current model. We love being the nation's leading, mostly wireless, pure-play company. We think wireless is a great place to be.... And we also love this stage of the company where we are returning significant capital to our shareholders who have gotten us to this place. And so the things we're looking at are ways to augment our strategy, give it more acceleration, take advantage of investments we've already made, and make a great return. Just like in our core business, we do those things on your behalf, and it's at that scale.
So I wanna make if you like our model, just know we like our model, and we have no real interest in some big thing on balance sheet that would change it, nor do we have a big interest right now in big things that we would take up our capital allocation that are different from what we've communicated to you. That being said, you know, we wake up every morning looking for opportunities on your behalf, and so we take this a year at a time, and we're very much on track for this year's capital return strategy, and we're very much on track for the ambitions that we've talked about of completing, you know, this first $60 billion in shareholder return.
Y ou know, by next year or trickling into 2026, and that's been consistent now for a long time.
Yeah, how should we think about the shareholder returns and how the board perhaps determines the right pace? And I think that's probably something we'll probably get an update on in the early, early fall.
Well, it's, you know, it's, you know, this is gonna sound like a platitudinal answer, but it, you know, it is really how we do it. We're, we're looking at, what's the first and best use of our capital? What are the opportunities in front of us? We're looking at the cash flows of the business plan, and, and the leverage targets that we've laid out have been consistent over time, and taking it one year at a time in terms of actual authorizations. But this is a machine that, that looks to me like, is pacing to deliver massive cash flows for many years to come, and that makes me feel great about the strategy of having a capital return approach that will continue past 2026.
So I don't want people to think, like, we came out with a $60 billion program, and assuming the board authorizes the last chunk of it, we do that and then go home. And we wanted to provide some reassurance of that by beginning a dividend, so the $60 billion includes the dividends that we're now doing. But look, this is a cash flow machine, and it's really the business is really performing great, and we think that opens up lots of opportunities in the out years for continued strategies around shareholder returns.
One, I guess, use of capital is, you know, M&A. You recently closed the Mint/Ultra deal. There are potential assets for sale across the industry. I think your name was recently mentioned in one regard, and perhaps some distressed situations that could be coming up down the road. How do you and the team evaluate opportunities, and do you, particularly as it pertains to consolidation in wireless, I mean, do you think we could see a meaningful change in industry structure down the road?
Well, first of all, I am so pleased to have gotten, Mint and Ultra done. That was a long haul. The team is doing an amazing job, and the founder and CEO of Mint and Ultra is here in the room, David Glickman. So welcome, David. And so this thing took a few, what, four or five months longer than we thought it would, and meanwhile, the team at Mint and Ultra have outperformed their business plan, throughout the entire pendency of this deal. So we come together as one team around a very strong set of brands that significantly enhance T-Mobile's capabilities. And that's the kind of thing that, you know, you should expect from us.
You know, this was very close to our knitting, very complementary to what we do, didn't change who we are, is gonna be accretive, both near term and long term, and, you know, those kinds of things, things we're interested in, and we'll take a look at. You know, the board and the management team are in total lockstep that, if there's something that we think comports with what we're great at and the investments that we have made, then on your behalf, we should take a hard look at them if they become available, and that's across the category of spectrum opportunities, business opportunities, and, you know...
But it has, it has to be close enough to our knitting that we can, you know, look at you and tell you that we're the team to get you a superior return from that asset.
Okay. So, shifting to network for a minute. So T-Mobile's CapEx envelope has come down in recent years from more elevated levels post-Sprint, but you still have a long runway capacity-wise in the network. How do you maintain your network advantage versus peers? And, you know, what is, you know, can you help us think about the timeline on some additional spectrum deployment that you have?
Well, we're just in a fantastic spot on this right now. If our lead has actually grown a little bit in the last couple of quarters. If you look at, and this is despite our competitors rolling out, especially Verizon, rolling out, an awful lot of that extremely expensive C-band spectrum that they bought. And what's happened is, our average nationwide user, even now, pro forma to that rollout at our competitor, is twice as fast, and that's actually a little better than a few quarters ago. And so, there's a reason for that. T-Mobile doesn't just have a faster 5G network, it has a more available one, a lot more available one, and in fact, it's the world's most available 5G network.
85% of our network is on multiple layers across two tranches of mid-band and low-band, and all those things work with advanced carrier aggregation in many places to be able to give you fantastic experiences. Our grid is sized for our spectrum. This is an under-talked-about thing in our industry. We have a network grid of macro towers that is spaced for our 2.5 GHz spectrum, and where we purchased C-band are only in places, by and large, where our grid is spaced for C-band, and what you see is people on other networks may fall off 5G way more often because of the grid, and our 5G is the most available in the country.
So if you, if you look at a denominator, our competitors can pick a denominator and say, "Wow, we've caught up!" But you have to sort of look at the average customer's nationwide experience, and you see that, in fact, like I promised you, we've extended our lead. We're also, because of being a pure play 5G standalone network with multiple layers of spectrum deployed, we are able to go faster on deploying advanced 5G technologies. Our competitors still, by and large, rely on 4G cores. So 5G radios going back to a 4G network core, not T-Mobile to the same extent.
So our 5G standalone capabilities are the furthest along, and that means we can take advantage of advanced 5G capabilities like Massive MIMO, like four-way carrier aggregation, like network slicing, as I talked about earlier, and so many other things, and so that also adds to our advantage. We haven't really begun in any material way to deploy our C-band. We haven't really done much refarming of our massive capabilities against LTE customers. Now, we're at 75% of our customers have 5G phones, so that's an opportunity in the rest of 2024 and 2025 to begin the process of moving more of that spectrum over to the 5G side. So we have lots of room to run, and so I think we're really well-positioned.
We're very thankful also for the government granting us our Auction 108 licenses, which completes our 2.5 GHz footprint. That made a big difference and was part of why you've seen a pickup in our performance over the last quarter as well.
Is the FCC's lack of, you know, authority as it pertains to, you know, auctioning spectrum, is that something that... How do you think about that? Is that, is that a long-term threat to the ecosystem?
Well, we think it ought to be returned. You know, we're absolutely supportive of the FCC and of those people in Congress that want to restore authority to the FCC. Our nation's competitiveness depends upon our networks being the best in the world, and, you know, we can't afford to sit and watch while other countries around the world deploy spectrum in a smarter way. So it's very important that that authority gets restored at some point. As it sits right now, our portfolio has everything we need to perform and execute against the promises that we've made you-
And so-
in the near term.
Lastly, I think, you know, thinking about convergence, some debate in the ecosystem around the merits of the strategy. Some of your peers have, you know, lean in on that more than others. You have said that you don't, or T-Mobile has said you don't expect the U.S. to follow European levels of convergence, and maybe not necessarily something right now the company needs to be focusing on. Why is that the case? Is that just market structure and, you know, how do you, how are you and the team thinking about, you know, that medium or longer-term kind of convergent?
We think about it opportunistically. This is a mobile-first country. People, mobile is the much more considered sale. All the data points to that. People will pick their mobile provider based on what service provider has the best combination of customer experience, network, and value for them. And there's a reason for why it's unfolded so differently than Europe. First of all, this country is vast and hard to cover. What that means is the networks are differentiated. People think carefully about whether the network they're choosing is right for them. That's different from Europe. Second, the converged bundle isn't a big deal here. Even people who buy from the same provider don't say it was that important of a point in their decision. And there's a reason for that too. There's already a bundle here.
Almost all postpaid customers are already in a bundle between their wireless plan and their phone plan. So in the U.S., wireless comes with your phone. That's a bundle, and it creates switching friction. That's different from how Europe rolled out and remains today, which is stick a SIM in it, any SIM, they're all about the same. Not the case here. And then finally, you know, it's a different market from the standpoint of all kinds of dynamics, including, you know, regulatory dynamics. And so it's... You know, wireless is the primary purchase decision that Americans make in their connectivity, and it will remain so.
Mike, thank you very much for joining us, and thanks, everybody. Have a great day.
Thank you, guys.