Home - , , , , - TPO: To Sell US Customer Base to Ting for $75/subscriber

TPO: To Sell US Customer Base to Ting for $75/subscriber

tpo-selling-us-customers-ting
A few months ago, there was some speculation that MVNO The People's Operator (TPO) was planning to shut down its US operations. The report was first spotted on UK website, Proactive Investors, which revealed the decision of the company and the reasons behind it.

Even though the report was published back in May, nothing official had been announced by the Sprint and T-Mobile MVNO. That changes today with the newest update to TPO's US operations.

Earlier today, The Telegraph revealed that the cause-based MVNO was able to secure financial approval for its plans to sell its US customer base to Ting, another US mobile network. The report showed that the company will be selling its US customers for a price of GBP 700,000 or $925,461.

TPO has a customer base of around 12,000 in the US. With this amount, it's safe to assume that Ting will be paying $75 per subscriber.

In addition to confirming the sale, the company also revealed reports that Jimmy Wales, Wikipedia founder, has stepped down from his position on the board to concentrate on other interests. Wales originally invested in the MVNO back in 2014. It was revealed that he stepped down from his role as chairman last year.

The decision to sell its US customer base stems from a funding crisis, especially with lender Barclays insisting the company to do so. With the proceeds from the sale, Barclays insist that this will be used to pay off the GBP 1 million loan or around $1,322,052.

TPO made a recent stock market announcement sharing that it is unable to publish its annual audited accounts for 2017 since it was still negotiating with Barclays. The MVNO continues to seek bridge funding to cover the period while it awaits to receive the proceeds from the sale. The audit was expected to be released last June 30, 2018. In compliance with the market rules set by AIM, the shares of TPO are set to be suspended from trading starting July 2nd until they are able to publish its accounts for 2017 Fiscal Year.

In an agreement published on Investegate, it was revealed that the sums payable to TPO USA will be payable after an agreed transition period during customer migration and monitoring of customer balances.

You can read the whole agreement here.



Source: Telecompaper



27 comments:

Comment Page :
  1. Jason in PortlandJuly 5, 2018 at 6:48 PM

    It's too bad their investors are forcing them out of the market, even though I never used them.

    Since this information might help those subscribed to a Sprint-network plan, I can confirm from personal experience that Tello can port an activated device as the number associated with it is ported over and will probably be far less expensive for most users than Ting. There are many options though, feel free to shop around.

    ReplyDelete
  2. any idea when customers will be forced to migrate to Ting? Will Ting be able to manage tpo gsm subscribers?

    ReplyDelete
    Replies
    1. Ting is already a (GSM) MVNO of T-Mobile

      Delete
  3. Seems Ting's business model is buying defunct MVNOs. Sadly, Ting can't match TPOs rates, so this will be a price hike for all their customers. The Sprint based users should be looking at Tello and T-Mobile based users should be looking at USMobile.

    Make no mistake, Ting is a scam.

    ReplyDelete
    Replies
    1. How is Ting a "scam" if all they're guilty of is charging more for service than others? Last I checked, this was still capitalist America; if you don't like their prices, go to Mint, Tello, US Mobile, Ultra Mobile, etc. When faced with a large enough customer loss, they'll be forced to adjust their prices.

      Delete
  4. Ting wont have the customers for long. Unless you want to pay tons of fees and only need a couple hundred of this or that. Ting is only for light users unless you want to pay postpaid prices for unlimited...

    ReplyDelete
  5. When you add subsidized phone costs, the cost of promptions, the cost of marketing, and commissions paid to dealers; MVNOs are spending more than $75 per sub to aquire customers. Ting got a bargain if TPO customers are willing to pay Ting's high data prices.

    ReplyDelete
    Replies
    1. Which MVNOs (non-Tracfone) subsidize phones?

      Ting sells the the iPhone 8, iPhone 8+ and iPhone X starting at $699, $799 and $999--the same prices as Apple, and the Note 8, Galaxy S9+ and the S9 at $950, 839 and $719--the same prices as Samsung.

      Delete
  6. people that use ting must like to pay more since there are many more and cheaper options

    ReplyDelete
  7. Games. Uncertainty. Sad little moves by MVNOs in a futile hope that the world will suddenly beat a path to their door. This has become a nuisance, although at times comical.

    ReplyDelete
  8. Ting keeps growing, quarter after quarter. Families share minutes, texts and data, and the excellent Ting dashboard helps them control usage and costs. With excellent customer service and free roaming, Ting will outlast many other MVNOs. Ting is making money and their customers pay an average cost of $23/line. Ting customers are more satisfied than any other carrier except Consumer Cellular. That only bugs people who don't use them.

    ReplyDelete
    Replies
    1. Yes Ting may be a great deal if you are the head of household for a bunch of elderly people who are still hanging onto their old Motorola Razr flip phones from Sprint. The fact that you mention Consumer Cellular as a Ting competitor shows who your target market has changed to. Families with kids/teens who actually use data would quickly go broke with Ting

      Delete
  9. I guess the only people who find Ting competitive are family or groups who don't need huge allotments and share the plan. Only use case I have seen that makes some sense.

    ReplyDelete
    Replies
    1. Some people think free roaming and excellent, North America-based service are worth paying extra to have.
      Ting also lets you have Sprint and T-Mobile network phones sharing one account.
      No other carrier lets you do that AFAIK.

      Delete
  10. Big if.... I think most will port or just drop service.

    ReplyDelete
  11. Is Ting going to grandfather the TPO plans? If not, how do they have the right to purchase TPO customers for a service they did not subscribe to?

    So Ting is just acquiring/collecting the customers account info, who would pay $925K for customers that most likely will not continue with what Ting has to offer?

    How about Ting lower their overall rates by $900K

    ReplyDelete
    Replies
    1. No, of course not.
      It's perfectly legal. No subscriber has to stay with Ting.
      Ting pays regardless.
      Forgetaboutit. That's not an investment. It's just a profit reduction.

      Delete
  12. I wonder how many RingPlus subs stayed with Ting?

    ReplyDelete
    Replies
    1. Ting assumed they would retain 20% of RingPlus subs and factored that into the minimum $35 service credit per account they gave the RingPlus customers. Ting paid people more if they had a high RingPlus account balance.

      Delete
    2. I know at least two that have stayed with Ting. The cost of their service is not as high as the inconvenience of having to switch services for some.

      Personally, I dumped one of my R+ lines and transferred the other to Tello.

      Delete
  13. Overpriced seeing as this prepaid and low cost mvno prepaid this is more than double probably average per user. I'd say $50-$50 maxxx per user especially for only 12k subs.

    ReplyDelete
    Replies
    1. Ting says their customers pay on average $23/line. Their dashboard makes it easy to control costs. You can shut off minutes, texts or data automatically once it reaches the level(s) you specify. And you can get multiple usage notices during the month so you are aware how fast you are using your allocations. This makes it easy to keep kids from blowing up your bill if you don't want to give them unlimited phone use (bad idea).

      Delete
  14. Ting is one of the few MVNOs that is positioned and capable of handling a migration like this, and they have a track record to demonstrate it.
    I haven't seen the details of the offer to TPO customers, and I'm not likely to unless someone posts it-- I'm not a TPO customer.
    I don't know whether the Ting offer will be for a mass migration (as it was with RingPlus), or if it will simply be an offer to individuals for service. If it's a mass migration, Ting has been very straightforward in the past about providing an easy cost-free path to porting on elsewhere, and in the Ringplus instance also provided a free small service credit to keep service working while one made decisions and carried them out-- with free no-obligation assistance from Ting's excellent CS team if needed. (And a transfer to becoming a paying Ting customer required a positive opt-in from the customer-- they were not shanghaied.)

    Whether Ting is a good value for ex-TPO customers is an entirely different matter, and depends on individual circumstances.

    ReplyDelete
  15. used to be a R+ customer then switched to Speedtalk $9 plan unlimited text, 500mi and 500mb. its the best plan out there on tmobile network!!!

    ReplyDelete
  16. Crap.

    I signed up with TPO on one of their RingPlus special plans - 100/100/100 - but with unlimited 128kbit data after the LTE alotment was used up for $5 with autopay. Perfect for the phone I use as a GPS. Now I'll have to figure out something else.

    ReplyDelete
    Replies
    1. GPS-HereWeGo app, no data/service needed if you are OK with no live traffic.

      Delete
  17. I was with TPO and started frantically searching for a new company after I heard this news. I read in some places that a lot of the "Ringplus refugees" lost their number trying to switch to Ting back then...definitely didn't want that to happen. Plus, their service is just a little pricey if you ask me. I switched the other day to Twigby and just wanted to share with everyone in case you're not wanting to be part of this mass migration to ting and are looking for something else. Seems great so far.

    ReplyDelete
Comment Page :


All comments must be approved before they will appear. The following types of comments will not be approved: off topic comments, insults or personal attacks directed at other commenters, bigotry, hate, sexism and profanity.