AT&T, the No. 2 U.S. wireless carrier, reported a drop in quarterly revenue and unexpectedly lost postpaid subscribers as lower prices for its unlimited plans failed to attract customers in a saturated wireless market.
The company said it lost 61,000 postpaid subscribers, or those who pay monthly bills, in North America on a net basis in the first quarter.
Analysts on average had estimated 95,000 subscriber additions, according financial data and analytics firm FactSet.
AT&T’s (T) total operating revenue fell nearly 3% to $39.37 billion, mainly due to record-low sales of wireless handset sales.
The company, which is in the process of Time Warner (TWX), also said it would no longer give a full-year revenue forecast due to the unpredictability of wireless handset sales.