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T-Mobile Caps Home Internet Speeds

Show Notes
T-Mobile just hit the brakes and the gas at the same time. The company capped speeds for new entry-level Home Internet customers—no more uncapped downloads for Rely plan signups, who now top out at 354 Mbps. At the same time, prices nudged higher unless you bundle with a T-Mobile voice line. For years, T-Mobile’s brand has promised “fastest possible speeds,” so this marks a clear shift: it’s about managing their growing network’s capacity and carving out premium space for higher-priced, uncapped tiers. The move puts margin protection in the spotlight as T-Mobile faces falling net income due to merger-related costs, even as service revenue and the all-important ARPA (average revenue per account) climb.
But here’s the catch: just as T-Mobile tightens the screws at home, it’s investing abroad. The new Hyderabad engineering centre isn’t just a back office—it’s a core tech hub aimed at beefing up software, AI, and security muscle at scale and speed, with plans for nearly 1,000 employees by 2027. Hyderabad’s massive talent pool and global tech ecosystem mean T-Mobile can lower its development costs and speed up feature rollouts. Still, success hinges on execution: tight integration across continents, keeping top talent in a hot market, and actually delivering the software muscle that their US marketing—like flashy USGA partnerships—needs to stand out.
Based on reporting from The Hindu, Republic World, and Bloomberg.com.
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