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For the second straight quarter, Dish’s total free cash flow was negative in Q2, notwithstanding a deceleration in spending on their network build (something we’d begun to hear from industry participants as well, as Dish perhaps understandably pulls back on their buildout pace to preserve cash while they sort out the financing question). We have come to this sorry pass because of Dish’s bewildering reticence in raising the money they so obviously need to fund their fledgling wireless business. Meanwhile, Wall Street stock jocks like Craig Moffett issued investor research notes making it clear that Dish isn’t actually spending the kind of money you’d need to be spending if they were actually serious about building a massive, nationwide wireless network: “We had higher than expected customer attrition following the football season, but the bottom line is we simply didn’t execute to the level we expected,” Carlson had said on the first-quarter earnings conference call, but vowed: “Our best days are certainly ahead of us.” But things are looking up, Dish executives insisted:ĭish is led by president and CEO W. And its revenues dropped 6% year over year. And it lost 210,000 retail wireless customers, the segment it’s supposed to be pivoting into.
It also lost 55,000 Sling TV subscribers, the streaming service those users were supposed to be shifting to.
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And while Dish’s 5G network has “launched” in limited portions of some cities, it only supports one terrible phone, and actually signing up for it is a bit of a joke.ĭish’s latest earnings report is particularly ugly, with the company losing another 257,000 net satellite TV subscribers. T-Mobile has already laid off 5,000 employees, wireless industry nickel-and-diming efforts have slowly been creeping skyward, and the Dish network plan has seen repeated delays thanks in part to squabbling between T-Mobile and Dish. So far, things are going just about as well as you’d expect. And three, because the FCC sucks at holding big companies accountable.
Two, because the remaining three providers (AT&T, Verizon, T-Mobile) and Wall Street want less price competition and would be incentivized at every step to ensure it fails. One, because Dish had no track record in this space outside of a parade of empty promises. Working closely with T-Mobile and Dish, the FCC and DOJ “antitrust enforcers” unveiled what they claimed was a “fix” for these problems: they’d cobble together a fourth major replacement wireless carrier in Dish Network.Īs we noted a few times, the proposal was never likely to succeed. A few years back, the Trump DOJ and FCC rubber-stamped the Sprint T-Mobile merger without heeding expert warnings that it would stifle competition, kill jobs and eventually raise rates.
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