SAN DIEGO – Leap Wireless International Inc. said it plans to continue to focus on the burgeoning Android-powered smartphone market, which has helped the carrier boost monthly recurring revenues and decrease customer churn. Two very important metrics for a carrier that has struggled to boost ARPU and lower churn.
During an interview at this year’s CTIA Enterprise and Applications event in its hometown of San Diego, Sergio Garcia, senior director of business and product management at Leap, noted that the smartphone market will continue to be a “big focus” for the carrier, though it hopes to broaden the pricing range of those devices to further attract subscribers. Garcia noted that the recently launched ZTE Score is selling for well below $100 in many channels, including a $70 price point on the carrier’s website.
Garcia noted that such pricing could help attract customers that in the past might have gone after a messaging device, but can still handle the increased monthly rate plan required for its smartphone offerings.
While the carrier is looking to lower the entry point for smartphones to attract new customers, it’s also looking to expand its ceiling with more feature-packed devices that are often demanded by tech-savvy consumers.
One area Leap is continuing to approach with caution is in rolling out LTE services. The carrier said it was still on track to launch test networks by the end of this year, but that commercial services might have to wait until device pricing can hit a level closer to high-end 3G devices.
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