As a major wireless carrier, T-Mobile is a household name for cellular service. But what about TV? Does the "Un-carrier" offer cable or satellite television too? The answer is no longer a simple yes or no. In this article, we‘ll take a detailed look at T-Mobile‘s complex history and future in the TV market. We‘ll examine the rise and fall of the company‘s short-lived TVision cable service, analyze its new streaming-centric approach, and highlight the best options for T-Mobile customers looking to cut the cord.
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The Uncarrier‘s Brief Foray into Cable
T-Mobile began offering cable TV service for the first time in late 2020 with the launch of TVision. TVision was a so-called "skinny bundle" offering, delivering live TV channels over the internet rather than through traditional means like a cable box or satellite dish.
TVision provided several packages of linear channels starting at $10 per month for an entertainment-focused tier called "TVision Vibe." More expensive packages added sports and news channels topping out at $60 per month for the "TVision Live Zone" bundle. Here‘s a breakdown of TVision‘s main plan options and pricing:
| Plan | Pricing | Top Channels |
|---|---|---|
| TVision Vibe | $10/month | AMC, Discovery, Hallmark, HGTV, TLC, VH1 |
| TVision Live TV | $40/month | ABC, CBS, FOX, NBC, ESPN, CNN |
| TVision Live TV+ | $50/month | Everything in Live TV plus NFL Network, ESPNU, NBC Sports, regional sports networks |
| TVision Live Zone | $60/month | Everything in Live TV+ plus NFL RedZone |
TVision also offered some compelling features for viewers. Each plan included 100 hours of cloud DVR storage, the ability to create up to ten viewer profiles, and up to three concurrent streams per account. The service had solid device support at launch, with apps for Apple TV, Amazon Fire TV, Android TV, and select Samsung smart TVs.
However, not everything was rosy with the fledgling cable service. TVision had some notable technical limitations and content gaps compared to competitors. All channels were capped at 720p resolution and 30 frames per second, trailing the 1080p HDR support of others. Major channels like CNN, TNT, TBS and Cartoon Network were missing due to a lack of distribution deal with WarnerMedia. Local broadcast stations were only available in a handful of major metros like New York and Philadelphia.
A Sudden Shutdown
Despite these drawbacks, TVision‘s bigger problems began just days after launch. Several major media companies including Discovery and NBCUniversal publicly complained that T-Mobile did not secure proper distribution rights for their channels to be included in TVision‘s cheaper packages like TVision Vibe. They argued these $10-$40 plans undermined the value of their content and violated their existing contracts with other distributors.
Facing mounting pressure from programmers and lackluster early adoption from consumers, T-Mobile made the surprise move to shut down TVision entirely in April 2021, just five months after its debut. TVision customers were given the option to transition to YouTube TV or Philo at discounted rates for a limited time.
The short saga of TVision is a cautionary tale of the challenges faced by new entrants to the pay TV market. Acquiring content rights from major media companies is a complex and costly endeavor. Programmers are protective of how and where their channels are distributed and wary of upstart services that could disrupt their established business models.
"The media companies own the content and they want to maintain as much of the old pay TV bundle as they can to keep revenue from declining," said analyst Rich Greenfield of research firm LightShed Partners. "They have no incentive to make it easy for new competitors to come in and undercut prices."
Indeed, the traditional pay TV ecosystem has been under immense pressure in recent years as consumers flee expensive cable bundles in favor of streaming. By the end of 2021, over 27% of U.S. households had cut the cord on cable or satellite service, according to data from eMarketer. The number of pay TV subscribers in the country has plummeted by more than 25 million since 2014.
The Streaming Pivot
In the wake of TVision‘s rapid demise, T-Mobile has shifted its video strategy decidedly toward streaming. Rather than try to secure costly content rights and directly operate a cable-like service, the wireless provider is now focused on marketing existing streaming services to its cellular subscribers.
T-Mobile has secured several high-profile streaming partnerships and bundles to entice its wireless customers. A few examples:
- Apple TV+: T-Mobile offers a free year of Apple‘s premium streaming service ($4.99/month thereafter) to all Magenta and Magenta MAX wireless subscribers.
- Netflix on Us: Customers with two or more lines on Magenta plans get free Netflix Basic included ($8.99/mo value), while those on pricier Magenta MAX plans get Netflix Standard ($15.49/mo value).
- Paramount+ for a Year: T-Mobile customers on select wireless plans are eligible for 12 months of free Paramount+ Essential ($4.99/month thereafter).
- YouTube TV for $10 Off: Magenta customers can subscribe to YouTube TV‘s base plan for $54.99/month (normally $64.99) for 12 months.
By shifting to a streaming aggregator role, T-Mobile can avoid messy content negotiations and focus on its core wireless business while still delivering video benefits to customers. These streaming perks also serve as a powerful retention and acquisition tool in the competitive wireless market.
"Video is an important piece of what consumers want from their mobile providers," said analyst Anshel Sag of Moor Insights & Strategy. "T-Mobile is wisely leveraging its strong 5G network as the backbone for delivering these streaming services."
The Future of Mobile & Video Converge
Looking ahead, the lines between mobile networks and video services will only continue to blur. As 5G becomes ubiquitous, consumers will increasingly rely on cellular data for bandwidth-hungry activities like streaming video. This presents a huge opportunity for carriers like T-Mobile to differentiate with bundled streaming promos and perks.
Some possibilities we may see in the not-too-distant future:
- Mobile plans with bundled streaming video data: For example, 50GB of dedicated T-Mobile 5G data per month specifically for Netflix or HBO Max usage.
- Deeper integrations of streaming apps and mobile networks: Imagine a "T-Mobile Play" app that aggregates all your favorite streaming services with exclusive content and seamless cellular billing.
- Subsidized streaming hardware: T-Mobile could offer free or discounted 5G-enabled streaming devices like its TVision Hub customized for its network and services.
- Continued content partnerships: Look for T-Mobile to expand its stable of streaming partners with more promotional bundles across sports, news, family content and more.
The one certainty is that the nexus of mobile and video will be a hotbed for innovation and competition among carriers, media companies and tech giants in the years ahead.
What‘s a T-Mobile Customer To Do?
If you‘re a T-Mobile wireless subscriber looking to replace cable TV today, you have no shortage of good options:
Take advantage of T-Mobile‘s streaming bundles: If you‘re on a qualifying Magenta or Magenta MAX plan, be sure to activate the "Netflix on Us" and/or Paramount+, Apple TV+ or YouTube TV promos available to you for substantial savings.
Shop the live TV streaming market: Services like YouTube TV, Hulu Live, Sling TV and FuboTV all offer cable-like packages of channels for $30-$65/month. Since you‘re already paying for T-Mobile wireless data, you may be better off using one of these flexible services rather than cable.
Go all-in on on-demand: If you can live without sports and news, you may not need a live TV package at all. Subscribing to your favorite on-demand apps like Netflix, Disney+, HBO Max and Hulu directly may be all you need, and will likely be cheaper too.
Use a streaming device of your choice: While the TVision Hub is a capable $50 Android TV dongle, you can also use your device of choice like Roku, Amazon Fire TV, Chromecast with Google TV or Apple TV 4K to get all your favorite apps on the big screen. Using a combination of T-Mobile‘s 4G/5G network and your home WiFi is ideal for smooth streaming.
The Bottom Line
T-Mobile may not offer true cable TV anymore, but it remains a key player in the rapidly evolving video market. The short-lived TVision service was an ambitious attempt to evolve the traditional pay TV model for the 5G era, but fell victim to the headwinds facing all cable providers today.
By pivoting to a streaming-centric approach of partnering with trusted names like Netflix, Apple and Google, T-Mobile has found an arguably more compelling way to deliver video benefits to its wireless customers. These perks are likely to expand as 5G makes mobile broadband a true rival to wired internet.
For T-Mobile customers, the combination of fast 4G/5G data and bundled streaming subscriptions positions the Un-carrier network as an ideal platform for cord-cutting. Whether you choose a live TV package, on-demand apps or a mix of both, you have more options than ever as a T-Mobile subscriber.
The only constant in the pay TV world is change, and T-Mobile is sure to be a major part of the next act. Stay tuned.
