DISH Network (DISH) 7 Nov 212021 Q3 Earnings call transcript

Good day, everyone, and welcome to the DISH Network Corporation Q3 2021 Earnings Call. At this time, I'd like to turn the call over to Mr. Brandon Ehrhart. Please go ahead, sir.

Thanks, Alan. everyone. morning, Good us. joining Thanks for EVP We're joined Chairman; Executive Charlie our our Schwimmer, today President TV; of and Paul the Carlson, our call Orban, our Michael Erik Pay-TV; our Group by Group CEO; President and Sling Ergen, CFO. President, on and Brian Vice Neylon, the Swieringa, got Retail And Executive Network of Vice we've our COO. our and Commercial President, Stephen DISH John Group EVP the and on side, Officer; Chief Wireless President Deployment; Bye, Wireless Dave our and Mayo, We're with Harbor. opening will not making today, remarks any going to the be but we start Safe same Statements call that from to from historical of are statements forecast. make cause other that statements risks, differ historical materially to could we results and uncertainties during that are our actual and/or subject forward-looking results factors this fact constitute that not our assume for We statements. forward-looking responsibility updating no

we're to let's filed and part Also, information, risks, those we XXX, process more factors For Because the as participate spectrum filings. able of to and the refer SEC the licenses. call. in as rules, bidder first. that let's it. of with today's and that, taking questions not a not up anti-collusion to discussed on during an option, discuss to That's with please the for application Auction our FCC uncertainties analysts other And we open FCC's it will Alan, that be start questions, for

question first go sir. David you, ahead. Thank analyst with from Bank Instructions] our take America. We'll Barden of Please [Operator

Hey appreciate question it. I guys, taking so my thanks for much

be, along? get And When about plan the just what's launch? noticed progress working your expecting today, work questions up when rate, annualized are, of persist? together? elaborate little would in game number And Is million I in you I CapEx you. is I second about how can How we the obvious Vegas pieces be a CapEx the one, anything sequentially wireless So, we question the business. market? what's now do guess coming us network from is filing guess year-to-date to a are the bit in are of $X.X about wireless the that's That's to great. happening in of run up for where million $XXX kind million. going the And going? about rate on $XXX would billion $XXX Thank you tell run that the Could

for thanks David. So, question, the

network. little – users, got a So, I'll in We've frankly, start Vegas delayed talking until little think mode. helping beta as a I network well development off working a recently. about friendly or a bit. consequence preproduction Vegas it as a about fairly We're a We test were – test the of fantastic, environment environment think us I actually was the

and to the working through roaming software getting Just just little more the handover and – work issues. the in getting and color T-Mobile together reliable. and core be radio network well software is a We're still specifically

in test is, course say, over the Vegas days look sometime first that launching to the we're we'll progress forward in next along, of So, and XX mode beta the of coming and quarter XXXX. Vegas the I'd

XXXX, we relates started as the probably As the XX% the XX markets we're to construction associated activities as markets XX% it it milestone permitting for for the and the And XX up got or you away it XXXX building them, good around which we more building relates and making or as leasing that. and of progress I to process, two at we're feel now We're for in permits end focused. And in on threshold the build meet strides broadly of markets great we've with months we're – we've requirement we that development on just The mean we launch activity POP relates – activity. XXXX. we in permits about I that to the new that when for sites when over the started building to saw, filed required to great we start and really XXXX construction the have well the really quarter, on XX% the is on sites Q, in the thirds have required markets very year. build the XXXX, are XXXX. we'll of obligation, plan two thirds, to deadline from

The dollars.

And quarter XXXX. the ramp CapEx and in Yes. the four to you a to perspective, finish of the of steady over dollar’s it's of quarters the the reach kind state And from first we probably up. expect, course until a would as has right, XX% continue XXXX you're ramped over going course the of

it's will just difficult because it's QX GCs. really hard just the ramp we'll to then to perspective, difficult up flatten So to and don't want effect level only more It's extent tried sawtooth build because for below fullest we've some from a build. manage. we because the out can, the We to

continue of level. quarter, So, I'll we're give stabilize midway through that and that week, as color, we'll starts, then and had, almost throughout some then number on we grow and run we last XXXX to quarter will construction into move you XXX at ramp. a the the we'll that the balance first first

be to there come been, one want enterprise provider, it DISH any just smartphone consumer to Perfect. to be first-to-market about The maybe to If or could wholesale Does last the you ask or color I want big Charlie, does follow-up. to service has a want be broadband provider you're market? share debate great. market you player, would how thinking could how

a jump of I well demand so think not will for safer, from the rival because able In mean, gain are a of segment. wholesale enterprise. side, going fair the kind And handset a on market all know their It's can have when particularly lot of be we're and that's of see willing – have to dominate on market in But share perspective, business their do this the they're on to I very own business. consumers, the spectrum they And I our we're that the of the words, enterprise a the wholesale a new carriers player, that get better ball. kind obviously, the retail so side, of business. of as that us. enterprise that at competition. going a networks, can we'll that profitable going segment fourth of build both. look spectrum. a and to It's to going you a the for the to but they kind handset, other where And I to – do be products as cheaper, retail private slice Yes. can analysts we speak, network, us on No, think, network we're to amount some

need going be it's be you you cloud-based big and opinion to that to So, be market. is do because our need a We're network. it, slice to to automated positioned well for to that your

an the we're advantage incumbency kind there. of and But So, advantage have and that recognition have an going of brand incumbents to stuff.

that the than more a to of But handset going you where Stephen, So, get the I is well. think can that's want we do I place forest. share do business. runs – will side in we feel like add any Stephen everybody market to pretty

of you to forward of space sort the characterized well. think, the is enterprise very area. move think in And I Charlie, industrial of sort it sort interesting I what's

opportunity presents to the enterprise more sort customers And that operating efficient of that, model. a for build

more that And actually than opportunity well gives for do customer provides the some so, the that in us have have network. enterprise we're as and we you with that cloud-native differentiate to a our platform, capabilities degrees environment architecture freedom more would of with traditional what with deploying an

going good everybody. So, business have we do inherent advantages to a be some for think but it's we there, certainly

so guys much. you, Thank

question next Research. Street Jonathan New from will be Our with Chaplin

Thanks many order the us interestingly, sense, us market quick Amazon, give providers? and You're the wondering as Charlie, you split housekeeping can if need with on market ones. does how to And between the as AWS you just you enterprises subs switch of more you much I'm And maybe cloud in left question and you the a your got of how kind guys. between to how I'm Two you Stephen, you if the of is market then those if an them of between you – partners, still network. or going would on services give spend those obviously service the enterprise a this a get how likes time choice, idea matter, – mobile had over? in splits for can wondering split communication deals?

well service even it's that I'll – those question. XX. able the if The their take on won't lose And now has T-Mobile – even just And be to we to of many March take network. on on have first we'll and still April XX, way, over CDMA be business have – remaining shutoff, will XXX California, they in obviously, CDMA make – in and won't fact, CDMA customers calls. on I'll March part since the they testimony won't side T-Mobile's based maybe, customers start. of the extended the Stephen, stuff

the challenged consumers. work see of there's customers. us and we not can't long the And many able better work and first as in is aggressive care these at enough have So, We and and you despite – chain CDMA say it that do convert why make we're going do back efforts, such have too disenfranchised. – in T-Mobile. realize and that we They for-profit We not we're technology that shutdown. a it customers? be to that sure so we to the love we're – world more to headwinds like company. why the realized We it, it. part, to can would wrong And make together do sure to and economically of play do want look there enough want we against supply believe best and want I we And that work know is do. to work the to get T-Mobile, it but just And efforts will for at T-Mobile there's convert we're would We with the to which But I despite not that seems you not look them. have disenfranchise little units to preferred ways to we're with we're most We a taking our – to to we and consumer company. you for together other a are the game, having for thing to them. customers. bit – for-profit the different for advance, customers units people customers, needs to

other and profits And a live that spent they're And approach. to of the we've they're false see. They're the going to headwinds spent live false in taken a that that's so life. got and people and upgrade of to we going that money, there. to some lot We with we've that's their this for lot now something deadline whole something to another with, to with they'll of fact the anti-consumer, money have have X, January the maybe deadline you live quarter extent of

Stephen. So, they we're I'll to But wish it. sure I we'll here that, a end turn I'm them it's With the we continue work longer-term But and bit it make disappointing. can. to as disappointed disenfranchised. to consumers with to higher as approach a to little little go had it, fast bit maybe aren't taken approach to in consumer over T-Mobile

Yes.

of Lates very very strategic, So as comment just are deal, terms with generally the in sort AWS, a how on split It's with working we depending won't the obviously AWS. is we enterprise a them we on you how re it that. works on opportunities. partnership and of deal the requirements. as custom do question good enterprise Each would to do expect, have I

AWS highlight probably The with nonexclusive. to other arrangement is point is the

have we partnerships have So, different and customers well. requirements providers different with that with cloud as other do

them we'll complement so, and And with that work solution.

guess about across different We the looking the the my kind to that we verticals also I earlier based the the EchoStar sister for. with freedom we customer work be that of are that Hughes with of and And those opportunities on to they're us have partner customers in are on that comment solution integrate as that just we integrators partnering different and have able allows company, opportunities multiple well. platform systems degrees in what what terrestrial is. in we're as an opportunities are depending different complement on on some requirement on and of our side we certain segments example, doing ways And

enterprise network well. also our many both So, we very working SIs pursue in with a opportunities They're we market well it's this are the partnership as in good that opportunity we're a as build but as important other with AWS. as partner, exploring,

is Charlie. This Yes.

than you guess. look everybody perspective, the because fastest and can this we enterprise in to XG, business, jump bit, cloud the lot the from where the We retail me infancy in has profitability think of differentiate big a stores, the it's being to a per But say selling we make you consumers, profitability next that right? you competitive business on network do have hard survives are service where we terms enterprise of in. because think we're model lot And now cost able this. kind it of thing. profitability, get better, business, that's it same some retail That can I the more is we we're you have Let the more our from don't so perspective, When at the decade. picture valuable the in enterprise at out wireless has that. of of highest don't lot way do very customers, certainly – them best a products – bits those the we're customer of more the where the don't a the have business XG. to you a bring look a And their is We're probably, the we – for

and some edge but have you're then – you're that. not I do, the don't of industries don't should. just exception, using to rare the intelligence not you school leading you But on maybe you you just cloud-based. – If artificial old don't think And have you're not if we're not if automation, don't going – you're survive.

a that couldn't so, there there And in they move that in a our partners, or a way other that help we otherwise we people think with move in – with there the way way carriers. get them

guys. Got it, Thanks

LightShed. will Walter from Piecyk with question come next Our

can yet their didn't was stadium up what in in much terms about work. that, I issues I to through does related or of last you in Are hooked like? what exactly service with Charlie, T-Mobile beta Thanks. there, with Like in see And roaming. mean? the T-Mobile roaming network? you consumer think working talked look Vegas of really using even tell but AT&T anything week does that us comments I some Dave didn't his

where with curious So, I'm AT&T. just you are

T-Mobile don't roaming roaming service They that is for commercial first remain commitments with for have we We important on. – up a us. made and yet without launch AT&T partner very the can't us T-Mobile are and they've

So, if have you service you commercial out I some Vegas, have service. Las if a – any don't you don't you in think can't drive

And secret So, we done. is But relationship a those have not we're that get greatest. working to not through our that the issues. it's

So that's made difficult, but to... they've commitments

and AT&T prioritize not why them So just use instead?

will to get some our looks tester add every we we'll a regulators system more what as and our of and required that, more it through be and it. more AT&T us we in like we'll signed then what and up made later. people stuff And then our then today, there's all it work, and day, get people, come through them, can get tickets stable. work, give then and are the then doesn't of that we And go that to more information. the continue then to sure doesn't up stuff test more the beta employees, terms who've beta fix that to and we go system on make signed and They've with And

AWS re:Invent for out, you you. And go get has us of for if it that. part able November to to network thing test do next a Walter, The conference, big be our you people kind I X the to experience come when or will think then. it's their is around December something to we'll the try like probably of and want So, in that Vegas

come I'll Maybe Okay. that. after

seen there's delayed. month, backed FCC and that the a Ligado these the breaking So, C-band with drag has second They're now obviously, on down topic, to on FAA we've longer things been the than that. claiming much but Apparently, news. is can some

a couple AT&T you that back? to consider? this make Or is nine that depth of building markets, in because that some and/or And it's just you you spectrum. hold leasing You're that, to the you would but leasable while, all have going something a to can who Verizon. by becomes months take Is spectrum this in spectrum and going that of you I knows are build maybe think, months delay to nine money one-month

consider? that So, is an you'd option that

The answer yes. is

they public, wholesale. We very have been were

And so, we there in today. do capacity leasing we know parties other And think interested T-Mobile leasing are our it's publicly to capacity.

the looking something here consider. Dave where his have number in And as positive that C-band, I in does – short ability would are would would And Dave other at of the to guys. for obviously, the for Verizon, have pockets? news that term. he – T-Mobile, there on that And But probably, be it, delay has so, on spend positive at the that of lease for a I asked because out lot for not particularly probably, looked money but any would a I'm C-band, if think obviously, about parties build seen haven't be they he situation not where capacity a certainly we but that's really

just to I Greenfield. in. Rich jump it's Charlie, wanted

you're – service. And to a Sinclair service thoughtful over week, the with their video still obviously sort local about RSN so lot is trends, they of their And how the and rates down? Baseball dark, wondering the streaming think company for. start that cetera? coming NBA learning we and the versus that the on I've actually sorry, now channels situation sort getting services streaming networks you of linear always you're more last or of anyone affect of just you of Major-League their think negotiate they about year goes TEGNA, know a sports charge are I'm and pay closer you picture sort not are in assets about – talk do blackout does they RSNs the every care every sort industry. weak that You're media is down money doing services? talking I big listened like et don't all their to And or even sort own can't programming, just viewership over-the-top of the streaming are Like where of how point as you about how

I I something because mean as think becomes basis don't it less your way does another doesn't to anything. mean, people Yes. that's – streaming, get there. change on because really it a through available have stuff linear change I product valuable

So That's that to – relates now ticket, the don't not it on So, to in But much the gets Oscars have there there's top we know. that what there. or right? the local they NFL, the teams, season absent retrans XXX really know so something, show based retrans, see. don't if value there, I an is I NFL biggest your maybe today And right?

And viewership, do in X,XXX%. is, NBC a have not do look and maybe that's networks. Sinclair than revenue for know bigger maybe had and They customers, as think, and not saw we that, customers. math. lose time, there's it sense They're go But and at season once from get people can it more the that once go know gets retrans. more find losing going retrans get But permanent be scale bit we the can bigger year, what TEGNA there a look some a maybe viewership does and said they're TEGNA dramatic last of economically. pressure. you valuations, than viewers in the to for revenue of football from XX% retrans been we'll get they think conversation so it marketplace. but networks as to loss also And Peacock up we've row lose for That's the next not up. clout up Gray long-term people to a TEGNA. are around And past. I I that by are is they and seen we but sustainable, I course, And of it a the And don't that's their So, publicly we'll on from from it And moves directly. get in come we not in than football and way going that, are said more relationship years know customers, have XX to we And makes little but decline them. and revenues at under I I probably TEGNA, we've there. down, would us, might

yet hasn't from But just there default anyone... to be clear, a been sign

know you end The I is exist, of out pricing decade, – I the news, – this will most I local maybe market. of result networks don't because things think – they're forward think that networks themselves fast XX don't if for

where Just level but you going? to at that's be it's a yet, deals done clear, think no been have down

have don't is no there. well, there down, and – done deal is TEGNA We

So, Did a that still something, – obviously, want just had up. several public. where Sinclair are current talk company say that we've you to is is beyond that, the up. still negotiation And Erik? And about we wouldn't extensions

mean, I I right. declining. Viewership up. you're retrans Rich, is I mean, No. still still mean, is going

on right Something – continues to just as So, mean, is like Charlie I like American spot is retrans or on that this it? $XX and generally, now. you're being at mean viewership What is attached looking consumer something million I there. decline. the

obviously that on willingness margins, so puts on our consumers' puts our pay. to and pressure it And pressure

attacks. to in got better to other combat at So, bunch customer we've and experience things of order a the be

to but you they're to it. I and want why you watch Hulu, Netflix know customers doing why that, to know don't and don't want drive I your But do

have they not in – their I'm shoes. but So, their own

some real they their don't own their place have and fundamental changes. absent they have plight they empathetic retrans to go, because So, their I'm own reverse a somewhat have – to had they –

Thank you much. very

James. Prentiss come question analyst Rick next Our from Raymond with will

trial. you could Or Yes, couple consumer before to questions. you the do footprint actually of Do strictly trial? enterprise wholesale a Vegas enterprise a thanks. One, Las you do Vegas? having Yes, anticipate trial on more wholesale a need

Yes, a footprint And a there focused or you to talk a question. lot do actually at And very fact, that. doing on what products consumer suspect on We're good a there. do have to lined that and opportunities companies side. further on about the need a we'll the opportunity very have nationwide appropriate [indiscernible] and local would date we're of what's working wholesale a support the niche about Rick, up. trial we'll more what we the regional that we're now. announce exciting time, it's doing And enterprise segment. of both in capabilities very some at And right customers details lot with There there wholesale are is serve even to and with that are to later we're level, wholesale

sense. Makes

seen with AT&T, Kuiper satellite you about also Project with OneWeb I We've companies. think, Verizon. talked Stephen,

how sister do see mentioned here fitting Charlie EchoStar. for the into, company, You satellites Stephen, you? Maybe you space broadly, and unintended,

connectivity I Yes. connectivity. satellite company. a of as see We're part

In your and pretty market good that. you through the our in to of video video you products LEOs we're pretty bring satellite. And and funny and and we're play pretty at satellite through a think it we're EchoStar how of MEOs history traffic, is and We knowledgeable the a going whether fairly are consumer see at and connectivity, is differentiate on sort a positioned enterprise to we're good relationship, way, GEOs, basis. I or be yourself, you're a your about in that. can most I – our can that part think part well of And

things differentiate you where in – and and to depends have would tuned And everything from and everybody standard. individual make to so, want move perspective probably a mean, say lot a ideally, it But would we'll seems the as all we're play for own able might a just there, because most guys I sandbox, like the deal a issues there and but the standard those a It where of have the people everybody wouldn't sandbox, through I CapEx be sandbox, see. their we stay sandbox in on we're only wireless, to think and same to standard ways else. in sense that be see lands

One were Is SG&A? anything third Or run I we On better rate? SG&A Or in first run could. expecting there? in year rate? of quick good the there is housekeeping Pay-TV, period Anything this was out somewhat question, Pay-TV if half in this a higher was than a quarter. of unusual

Yes. one-timers in year. there This there's Paul. is Yes, no this

However, everyone and down costs. of though, kind COVID hunkering had benefit last on the year, of

So going forward, run think, rate at. to a though, I it probably is pretty look good

with Charlie Rick, pressures, there's And Erik. with January just we've is alluded that I'd inflationary think, I – what call, CDMA some we've – the some additional had with this the you're about generally, say, to look, obviously, and of hearing happens into customers. there's already false also just had that baked converting on that. as We'll on first, see rate. then run along deadline, the expense

on we'll few you So, up posted that ends next But that. over we'll see the where keep quarters.

you Thank Alright, all.

Okay.

question Rollins Michael Citi. come with from will Next

could. Two Good Hi. if morning. questions, I

with mergers. are curious those of deploying, terms curious possibilities markets video about capable of Vegas thoughts radios and the then the the launch are T-Mobile? an your And thoughts have band? the that to that And in acquiring shared from satellite other you're First, XXX-megahertz fully secondly, what buy of spectrum in the option past you've you spectrum your using just that

for done? merger how industrial current And Just is to type logic thoughts to is curious, get of your evolving? the that that there try an urgency

there, Michael. first the take question I'll

hardware the to the of software current radios bands we our the are and XXX self-support. have All terms that perspective, In a on turn it's and the from perspective even deploying, megahertz. radios a ability

not to we to additional an would So, we ensure event that have come decided as we the we exercise back in the add option. and radio deployment, that to did decide that

that, the activate is in all option. combinations even that, we be with And all what to to is the designed in all plumbing depending aggregation there, is is to beyond in the place, all really those have hardware already So, able carrier support are do place, do the on that being software radios. we

of you two And inevitable. on the logic – industrial together. talked the Again, then putting times, it about I think I've many video said companies

I change question been in I from question I But a probably as there to think logic of the TPG for see that there is – better well. – AT&T control and they know them. that's they that don't a assume there of probably has the are terms

choice logic is regulatory. be and our it not. a of happen satellite large would want two – wait it's next technology not they're thing there's we and with And antitrust the three how four team the scale and if there's could have or in if television, has on. the But and kind place, And they're and government competitors consumers a have business think than they're a have much anybody the on run longer equation. competitors if big industrial to the of maybe think economic I at competitors, their dozens team – all I video of until mergers there's not of pattern which will seeing what changed the and month the obviously, choice for antitrust there's has – you to see not you looking prudent in kind what runway in focused it's combination or focused

you. Thank

UBS. to Hodulik our John we'll from on move question next Okay, with

standpoint, the wireless build change build. deploying with you shifted roaming network do in the deep identified – of sort if us don't the Or make you more balance give Or know the about or Does has that deal? do go? sort I you XXXX nodes anything markets efficient? deal? to out standpoint? expect into of market it your Maybe us how XX mean, build you of a Actually, just sort hit recalling markets. Is Thanks. And that market? and about and how because infrastructure it AT&T into how then both view thanks urbaners? per that towers sort suburbs many can to at XXXX I back tell from of the all guys think a of breadth versus you could guess, build Hey, mandates? And depth I guys. the each the to you

John, Thanks, Dave. sure. this Yes, is

deal. with other the building, as the changed what I really in when large a given consequence networks. any mean, we designed areas think to I a the handovers the we're I'll it's hasn't metropolitan question. What of sufficiently So, markets. the the minimize start we're roaming doing off of to AT&T AT&T And footprint about bit

outside back we were put that be an would So, such the – built the to on town. handover interstate networks of T-Mobile

to that back roll covered. of will about imply going think think cities So – say XX% If the to if of it's in to million, it of country. And if metropolitan the clock over it's question can And across the easy with they're help I'd going the areas you I'd they're if million all X.X metropolitan suburban And to that be XX%, areas about the I relatively the will the POPs, all Continental key U.S., footprint, geographies XX%, the where your over that and you respect in to encompasses the would the be was, be build. that areas all be I in the say X.X similarly, XX%? right. dimension major

high areas difficult, the co-location California the the is in XX% nor where very middle Northeast, not example, intrinsically we It's move the although that's is primarily the for country there are list and prevalent, of the more So, can quickly. in is on some Northeast.

attack that's address we'll and objective. the – probably do to So, more build XXXX what I the the difficult we're meet XXXX mean, trying areas in and the I to think timeframe in

Charlie. to for and like... more permitting is and this I'd it, rooftops because already longer right? It building there's just we're just things XXXX, takes more Yes, add

little point, a the yes. do act on side soft cost Yes,

getting think and – you competition size on the and you Ohio Texas don't Carolina, and jersey knows markets the and – have internal more that Florida, as give yellow color then we yet. we North yet. fix are Dave and And it markets we'll Nobody is better, the here, to we want got those

and gets – And seeing then a of we're with do we're get? so, that, XX... having who we fun start of as seeing we'll little some our – of you what kind everyone, bit XX

organizations. market XX Yes.

to and we'll guys yellow get of Some be then those the are announcing jersey going

really is going But build well.

than every day, – other the think going is I the time, Dave, deployment deployment say team would the I XX%. track most we for spend on is – of we're

generation's our hasn't work to and need things you got traditionally. execution it get don't the we So, done to work build are of it bit vendors and before last where it's all it's our all been radios difficult. how more We little A because our really software network. and to cloud. But going, together in to the build easier make

the Vegas into for extraordinary calls. risk are have execution there we're the still to is excited the external efforts and But So, finally teams putting there, and getting vendors us. making

All right, thank you.

to go we'll Kannan Venkat with Next, Barclays.

side, working thinking looks the up also or current you're as Charlie, and self-branded working you stabilizes? couple will does that then year, it help you. some of rate it I you maybe and $X guess, obviously you change of But device, go-to-market up about of free costs the potentially I when either year, of Pay-TV cash a as maybe flow retail capital next you materially steps a like the on capital kind And the roughly about think manage widely the step-ups Thank about you from stepping go into think that perspective, a mean, a just But because billion market quarters of head next indicated, post-COVID. you template intensity, as working have then the next capital capital. some is we you run kind of as that year? more should enter into strategy,

about think run for year? into we next should rate cash how flow we the So free as head

Paul? you to free And retail? want Yes, John, take the cash, take then do you

free capex it cash free down that on going the cash that flow number flow as I'll Dave forward, our you've earlier, take about amounts historical a as that This free see drag Paul. seen. and Yes, cash will flow. continue is to XG spoke relates grow to drag you're deployment, to going will

really but cash perspective, think free in flow to still a look expense, at the down absent CapEx some. we're strong I the right, it, Yes, way CapEx will it drag

this Hi, John. is

and On the network and device that AT&T networks. the us devices secure T-Mobile build the on major OEMs compatible of own that's are the and out upon with also we're to partners working ecosystem our partner to side side all handset with incumbent

mid-tier I shortages Android supply think There theme. space. the and are a it's been pretty common in low-

So, we really don't have scale.

bringing think quarter. having CeleroXG some on And we're this now, are you well us segments. do going allocation did to we in to with do right the take approach partners which When week, offers we the and a based Band to happy want the retail, the distributed own the on Boost through primarily at with been digitally we've products upon national focus so for in the That's of branded devices year And retail and as support with right we to in consumer going think So, launch for And our work next and segment. we will impacted broad like. a it the consumer it's be we far. right about and XX a lot going network forward, certainly us. bring device and in

– year, this negative I when Got before I into Broadly, question? on next follow-up a into your as guess, some the potentially just it. point, starts flow scaling, go revenue dips at territory. cash Can you

your of course so? maybe next we some And to cash is initially so, the the finance months the expect as should any of terms how burn thought that scale? there or And over revenues of XX in

expect to retail grow think at But can particularly there's we we our the well. business, yes, of opportunistically. a I we our lot look monetize a factors, but market do to wireless spectrum. marketplace we think that going more go there Yes, always we think cases as And And where the be little could spectrum business. we're we obviously – in

much. you so Thank

go Credit with we Next, Mitchelson Suisse. Doug to

this that's week construction so XXX ramp. much, question. and starts you clarifications first A guess going to a few Thank the – and I last in that

doing thought at be. of that. or you to to it sites you that quarter point, a where so, some seems get well So, end X,XXX ahead running you maybe would XX,XXX was about of up be I if And might like there a sort you need mention

So, I'll thoughts Any one. just by on ask that? one

have Yes. disclosed June sites of XXXX. the we I of XX,XXX commitment but we'll don't a – we need, of by but number at to think that a have sites speeds we've certain FCC

the than higher be will number the require doesn't believe that, But XX% obviously. we kind number of Now scale. that

Okay.

T-Mobile shifted rather one to at sort there had thought think, for interesting, I commitment, AT&T that I just of I maybe is over how of of sort AT&T how relationship but the think percentage transition evolves. FCC to us T-Mobile? expect about Charlie, like It's of watching DISH, can a just should traffic you point, know it tied that earlier, MVNO? asked XXXX we than to be with would everybody XX,XXX, Sorry, over sort that we but that told was just

by if the think, the they that I that they're not traffic, a T-Mobile T-Mobile to mean, if we're see I in to interested in interested I on – to that in the not relationship we'll fundamental the AT&T. move I guess. view not they're justice Yes, department, shotgun it interested depends relationship. mean as doing, But they're lot a very but we obviously extent more as being marriage what

So...

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network the a coverage been from AT&T Our that is superior perspective. experience has

megahertz forget all – don't has look you on low-band when the in their a the done more XG XG, as done Having consumer, out consumers, said at and getting in spectrum. I that test. I T-Mobile XXX our that, for you marketing think we've think, the but

would If – you pretty the did be They AT&T discrepancy. big far network. would a blind would a customers test, our prefer

like into XG that If you you of advantage it the has marketing – get for side there. things and our a at think I of and and XXX, into that's customers, T-Mobile look But more an bit lot America, coverage side. that the important. that are, and is a really get on now out. where video the not marketing building customers T-Mobile as dependability It's on, particularly and of rural our as is still you

out, reaffirmed able of Or time Is build give it. was that last you of that extended the time $XX XXXX XG period this couple, time? of frame for network in entire Got billion of frame? cover $XX are sort over an billion? sense XX-Q then that is CapEx a And to the us

over that's period extended an No, time.

right? smaller into there you is commitments So, our those And or continual get up it's can POP. Dave quarter, are period speak, over, as confusion our markets, extended of Obviously, time some but on tower requirements OpEx, number commitment but XXXX, XX And higher greater. there And leases So went because that through really your less have goes least XXXX. out over average, costs beyond where through are this the we are POP, XXXX. that's right? or at build-out years

than We revenue have there's disclosed, there's that. offsetting sure, associated been $X to now revenue OpEx. publicly has materially obviously, with AT&T, a higher all billion. commitment for And which That's AT&T,

our on in through track still or not $XX that's or billion. time. So the actual But $XX extended we're to be billion That's better OpEx. CapEx,

in will less that XXXX. than be nothing So,

one, versus versus a your could help are and wholesale opportunity. – enterprise hoping frame us last the enterprise. comments I on was you bit time interesting consumer always And little understand for

big intensity upfront capital business enterprises to are that of the enterprises the versus it will activate emerge. a opportunity curious for big just becomes I'm about Or a take a those time Like And you've what's So, but one might a enterprise that Thanks. there that help good DISH? frame to costs? think service? talked business bear for while when it's really being thought big investors that about consumer, cost to is

Yes.

we enterprise, we're in actually that the But enterprise still business Obviously, as we segment. revenue business. traction grow fairly is the scales small. now the on So, have the

That now. into become to go we that we XXXX. don't will into already I as get right traction So, have XXXX, positive material anticipate really some but until grow we

grow that not we'll that by business out. network can constrained so, continue while to geography. the it's scale And grow building We they're because

we as expands the it so, footprint the we're and But build then we us. And that deploying. actually aren't footprint – by for can out, pursuing limited opportunities market opportunity geographies are that we and

to get as not we go we up until XXXX, sort impact XXXX. having a begin but really So, of into material through we'll that see pick

we the that's enterprise. see So of kind where

for we I do for lot business don't see of And network. think beyond micro we CapEx our a that what

CapEx. each spend very to don't success-driven one We It's anticipation. it's the opportunity the CapEx And one. really one, tied in by

for answers. your Thank Great, you all

All comes with MoffettNathanson. of Moffett line Craig the right, question your from next

could. if Yes. I Hi, questions two

any it bit do real you just could about to unsecured? And made be compute, it new – that you enterprise you think have those network? is look the targeting? something for what where all applications, the somewhat different it for Charlie. down you to how is a you could would Is debt, more debt like return advantage, the between I financing, are is it's debt if just you if Can you things when segment, comments seem you're willing things, drill of would edge secure types about the First, talk you about specific going IoT the to the and mobile about latency implications And just of as would at financing, talk against only prioritize then markets capital equity? spectrum? if Or it

And equity, last Craig, execution. at be don't I'll second efficient where get the terms some that we in a of kind it be could unsecured, things. religion can obviously could marketplace of then the combination part, we the of be you take and those and could look have market part we secured, – the – look at

You've seen time. in over the we've everything past, virtually done

what – and structure So, sense look term. we at our what's Stephen? capital and where just and marketplace long from available where the makes

Yes.

us. really all Craig, each that depends business one a Enterprise, theme could it's of verticals, to of application facilitate drive operating common terms above. that the I do as the vertical. sort a if the of they using that dictates technology say enterprise would isn't And a efficiency really, for to there's how that runs that, the their that. on about really opportunity it's It In really the There question single point of say the and on across

on it of doing what requirements have And to There requirements. systems is, they're they're there and low trying drives systems vertical same place, latency, deploy, what their and don't terms they opportunities that have different what depending criteria. it are on others so, depending solutions are what on depending very for some control that in in

degrees solutions what different these need of have each freedom support architecture the of the degrees those So, earlier and I my freedom you enterprise is. within – that the of to guess have platform and about to comment one based on

it win a to together silver no application ability common there's going the on bullet, the It's and So, isn't to put one here. all opportunity platform.

Thank helpful. you. That’s

call take media. we before We'll analyst go more to one

right. sir. Certainly, All

from Our of the Ben final comes analyst Morgan question line with Swinburne Stanley.

lots you Good would this request, on time? to just just the opportunity of excuse one front. out heard wondering an business, It think please. Hi. chain Charlie, seem work equipment we're companies sure there's I'm the all tons from that given wireless I'm quarter, the get supply And of hearing is on – One FCC there. be like a would with there on video to know reasonable morning. me we've and stress if you more

you nobody is unbelievably the It and churn activity. just first COVID where it one. like DBS I'm or doing guys that – you you. if it to and of Thank how view moving on feels to when at is wondering sort what of have that began. And and strong was sort been if then the of that's what you So depressed side, guys since video there's a as has are kind of pre-COVID? normalizes part sure make keep below

of take in John a supply talking been second I I'll But pivot item, Charlie I'll mean that call over or on some a chain time strategy Ben, we've Erik. to for look, on DBS. and it bit one turn I the then think, quite it's about the Charlie. first,

in profitable bit on America. had where have think rural less we customers focused doubt, There's been I acquisition you're COVID kind switching. seeing retention so, a inflection of a And and no unique point of really

that of acquisition we're rates seeing. based managing impacting kind the our response on acquisition, of and spend is obviously we're Some our on

retention benefiting the past tell right it's the customer years attracting was of and to you, before to on side. retaining strategy COVID. focusing our so, starting I'll obviously And pay several subscribers dividends, over dividends and on in But pay starting the is really

And look, have longest-term choice. Obviously, piece on of a our partners a densifies, just more that when in customers competing lot lot still right? of of as rural we of will obviously, and changes, strongest customers variables, you've the some now You are there's COVID, reach a broadband got that there's So, side. got America. DXC – the

But – to what's to focused profitability, variables a going there's providing to a customers just so lot great so, we're forecast in experience. happen. there's And of on customer try

Our to in in on fourth the great celebrate the testament efforts to last was customer side. for put J.D. and we've Power experience team quarter order a great win the

turn chain. it over I'll supply So, Charlie to on

chain, people there at of and of out COVID, supply just supply vendors there's home I lot to we there. fact – But going no have have but had has which On we the a are focus issues. of company we a doubt our work there's always mean you're that those a are of a at work in disruption been just lot XXXX. every since challenges, the of and issues, office to on overcome last home that chain and it May and day, is to challenges, lot

– we the managed we're working yes, still issues. as we're Dave and issues, do team track. I We're you be So, up. – reason. as reason a wouldn't managing in that And to and have those not team you and issues his have the through agreement, a deployment chain could supply our be late, has real to FCC, a mean make but you there on

do just just we're going to going get way it. the we're there. And to so, That's

there shutoff issue labor because the for there's today. issue that is people On probably work And hard are not because the enough had other two handset, X out there's is the having January CDMA. we headwinds areas. teams supply this extraordinarily in of handset Labor an our – biggest to

would take new existing customer. been to and a give have to had it we So, handsets that customers

we're And scale side, growth a that – have we had of have the we we so, a where handset don't ordered, there. growth vendors. incumbents what had the would have would absence of been supply fraction – with chain have lot issues we And on more the we've the getting

I don't fair So, share know that of handsets. our get we

may the into – a that But – extraordinarily for customers maybe, if – And to worked changes get that phones. us the economically radar we about positive talk it's we – aren't into want is and retail our challenged. way. a $X,XXX in screen get positive John, primarily so, people's sure in owner we hard can you second? we more because a and postpaid And for important aren't make to as as buying on talk us. radar really story it John, about we're very you can economics, go They're

going that QX these focused the yet, definitely we And some year. We situation We're see late if Charlie. there. Thanks, growth. third focused sure would well sure as would to to the business about up network we're have the We the on it supply for customers activities. quarter, to of but most QX, take we're situations as we different headwinds do sometime the CDMA Charlie XX. supply grown covered. to forward. of across making retail the not with the shut we were chain some to Yes, And return not clean-up go a as retail, building anticipate where for from have it issues And seeing the course. team ramping We're and digital, as March to also off We're next on capabilities definitely profitable see is quite in us devices our said, if million CDMA being network a that the handsets been business profitable thing taking on see. definitely one talked growth. segmented to have there approach opportunities And toward about national a the respect that the access to over CDMA, key still we we earlier of we're and we

And focused handsets with T-Mobile make and alluded earlier. supplied definitely we So to it's partners that daily to be on can as business sure additional the we're Charlie that able keep forward. we'd on. a to that to here something And our is move partner focus love

Thank it, you. Got

Yes, few we're from ready the operator, a for now. media calls

now we’ll from right take from Scott the media. with our we'll question members Moritz questions All you, Thank first Bloomberg. Instructions] And again, of sir. take [Operator

the stock's big taken today. Charlie, Thanks. Great. hit a

up, told saying from these little might probably you costs a hear so. launch be the this network address creeping are that further. that I all think out concerns? the I XG you Doubters commercial would people are slipping How

it they I shouldn't anybody doing – before. the the don't done to are think network, since it than it that's where has that. a capital think Well, we that obviously, build expensive there we're ever and we're I takes doing – expenditures infinitely what a surprise be And less are

explain a industry probably doing than it a spend we're Vegas. by bit on. should little of part just much. we building, anticipated And in it's the just for us and what more like we're do that show think people and think I than everything And stuff basically else we're and on and mean, it's that, it. bit thought – a as think business, is it then try us network Las to we a IT it's and easier on spend story, we're different we strategically yet that a opposed than not I just better of I about the is have we're looks rollout doing we a time going But cloud networks. people process bit exactly simple little just – complicated that example been little than doing, follow are understood a who on and most to that's we're a other little is faster I because And more traditional what to a lot handset don't through we're fair. time

to XXXX. we have and better our a markets have to June now do job we our so, And in between of explaining execute of story and

to don't we're And we wanted we'd that's able do. if long-term. we'll up people in on. we long – the right because and focus think had think to companies one that I ago get marketplace, of that's always term. the what get right it And don't few try would get term, ability in term, it the So, the stuff to the the they short us DBS market, years to has five The thought be short

And this opportunity. this so, how where the network, it's the We we know I and know of network special think power going. know going is we to be, we know

AWS. little give in making see DISH we'll But we're And us smart we work on people sure And So, then do execute why we be road it's and then there. and bit up about a and to it. there'll get their a have in map investment. certainly the focused network to to investment on our operating is talk

I reinvent be a think to there'll little bit Vegas in in Las AWS stuff.

better and people a will start network. that the to a there didn't those for little it. bit people last people the going it the developers feel weren't think this I to understand start better I in cloud, year, see to are we – because time, say mean, the build they'll actually people and have the

you get make think it Now – to, we profitable. you through and network, people most can term we're it have can – can show. you I That we building the long it it your billion I shifted to stand okay, make now think to $XX believe

the media. take one Okay, from operator, we'll more

All right, sir.

we'll our with Maclean question Amy Cablefax. take last from Next,

good Hi there, two your the my TEGNA about taking complaint. earlier going you? faith between thanks negotiations I Are not in questions. know a I still of for filed on to wanted just and you did comment there optimistic, check very sound

find the we don't huge somewhere there where that customers remain really. I else got up. on, This tax We've left negotiation is a eight apart. I lost we I is weeks remains mean, know we'll serious have it and can't of going think who and far football then football that such think Charlie. ends

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So, we give them credit, so money. they save

a prefer we're it's to have we we up, honest Thanks. a apart. We have good just be So, has been partner. up. negotiation, it But prefer an of a prefer but bit to to balance. TEGNA

Thanks.

We'll next to All right, operator, you everyone, thank talk and you. quarter.

conclude conference. participation. We you does for thank that And today’s everyone again their

disconnect. You now may