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National Wireless Independent Dealer Association

T-Mobile Cutting More Dealers

T-Mobile _ NWIDANWIDA has learned – and has heard from multiple dealers – that T-Mobile is ending their “TPRS” (T-Mobile Preferred Retailer – Subdealer)  program and will close hundreds of dealer-owned stores within the first quarter of 2023. NWIDA has been told by a Master Agent that it’s T-Mobile ending the program, not anyone Master Agent. 

Many of these dealers have been around since the Nextel days (if not before) and have owned their own business – and selling wireless – for over 20 years. And now, without any option, they must close their stores and fire their employees. 

NWIDA is working with these dealers to explore all options. If your store has been affected by the termination of this program, please contact us.

In some cases, T-Mobile has forced some of these dealers to sell their stores. However, they will approve only one buyer (usually the dealer’s Master Agent), removing any negotiating leverage the dealer may have had. When you can only sell to one entity, you pretty much have to accept their offer – and many of these offers are for pennies on the dollar. 

Some aren’t being compensated at all. They are simply being shut down.

T-Mobile told some of these dealers – as recently as within the last year – to extend their store leases – in some cases up to 5 years – and then weeks later informed them they would be terminated, putting them on the hook for a multi-year lease.

In addition, these dealers were forced, by T-Mobile, to spend tens of thousands (and in some cases hundreds of thousands) in “required” upgrades over the past year. Items like safes and new signage were required – at dealer expense – again, only to terminate them weeks or months later. 

And now, T-Mobile has opened corporate owned stores very close to these stores – after years of having the dealer as the local option. 

 
NWIDA members, contact us today if you need our assistance and if you’re not yet a member, we invite you to join today.
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6 comments on “T-Mobile Cutting More Dealers

David

I am a District Manager for a TPRS and our master dealer was bought by a bigger master dealer this year and they told us that in Jan. we would discuss a purchase and I am guessing this is why. They knew this was happening and wanted to wait until they could really force us out.

Reply

David which TPRS do you work for is it a legacy Sprint door or legacy TMobile? I’m curious if it smaller dealers closing stores like United or even larger dealers like Connectivity Source. Any insights would be appreciated.

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M S

Will you have a list of dealers being forced to close and sell? Are they mainly dealers from the Sprint side and the T-Mobile pre-meager dealers safe? So many questions

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NWIDA

I’m not sure if we’ll get a complete list. Right now, I’d ask my local dealer – they’ve been informed.

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Tim

Disgusting behavior for a multi-billion corporation. Make billions in revenue, some of the back of family owned stores, only to toss them to the curb to further line their shareholders pockets. Didn’t T-Mobile make promises to the government not to close store and cost jobs in order to get Sprint merger approved. Shady, unethical, and probably illegal.

Reply

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