We normally don’t cover a whole lot of rumors at AndroidGuys, but this rumor may turn out to be one of the smartest I have seen in the tech industry.
According to a report from VentureBeat, John Legere, the CEO of T-Mobile, plans to announce a plan where customers can earn stock in the company. Plain and simple, a stock is a share in the ownership of a company. As you take on more stock, your share in that company becomes greater.
As an owner, you are entitled to your share of the company’s earnings as well as any voting rights attached to the stock. What makes this deal incredibly smart is that John Legere wants his customers to feel invested in T-Mobile. The “Stock up” promotion will allow T-Mobile customers to bank up to 100 stocks(TMUS) per year which are currently priced at $43.63. Earn a 100 stock, and the value would be $4,363 if you sold at the market price on Monday morning.
There are two ways to earn stock
“Any existing postpaid subscriber who downloads the T-Mobile Tuesdays app prior to June 21 will automatically be eligible for a single share of stock (and not the quarter-share we originally reported). Claiming the share will require customers to sign up with Loyal3, a web service that offers fee-free investing in popular brands’ stock.” VentureBeat
The second method is through referrals. For every new customer you refer to T-Mobile, you earn exactly one share. For T-Mobile customers who have been with the company for more than five years, they will get two shares for every new customer they refer.
It’s a win-win situtation
T-Mobile will be paying out shares to its customers, but in turn it will gain sign-ups for Loyal3 and it will also add new customers. New customers are worth far more than one share of stock, and one share of stock can go a long way if T-Mobile adds more customers. More customers will make the large investors happy and draw more interest in T-Mobile shares which will in turn drive the prices up.
T-Mobile’s Uncarrier 11 event is scheduled for June 6th. Watch John Legere live and see him shake up the industry again.