Bellevue, Wash. — T-Mobile USA announced today a partnership with 7-Eleven to offer prepaid handsets at convenience store chains.
The no-term-contract handset will work on T-Mobile’s prepaid plans and services that run on its nationwide 4G network. The partnership puts T-Mobile in 8,800 7-Eleven stores throughout North America, while boosting revenue to 7-Eleven’s prepaid cards business — the convenience retailer was one of the first to offer preferred prepaid products.
“Industry projections indicate that prepaid service will continue its growth trajectory and is expected to comprise a significant portion of the wireless market within the next several years,” said Amy McCune, vice president of national retail for T-Mobile USA. “We believe 7-Eleven’s customers who seek accessibility and convenience will love this prepaid phone. They can expect to receive the high-quality customer service and access to a nationwide 4G network that T-Mobile users have come to expect.”
T-Mobile’s partnership with 7-Eleven signals their plan to find retail outlets to replace RadioShack, after the electronics retailer announced last week that it would start selling Verizon Wireless products and services in September. In April the retailer accused T-Mobile of breaching its contract, and in its latest earnings release reported postpaid wireless sales were hurt by “actions taken to minimize the risks of the company’s uncertain relationship” with T-Mobile.
The prepaid handset being offered through 7-Eleven is the GS170 from LG Electronics, a flip phone with a VGA camera, MP3 ringtone capability, Bluetooth 2.1, text and picture messaging capability, and email support. Consumers then pay $50 per month for unlimited talk, texting and data. To introduce the offer, 7-Eleven is offering half-off the handset with the purchase of a $50 airtime card.
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