Compare · Communication Services
AT&T vs. T-Mobile: how they make money
The same facts for both companies, in the same order, from each company's own page and filings. This is not a ranking and says nothing about which share to own.
Each company in 5 points
AT&T
1 · What it sells
AT&T sells wireless plans, phones and home internet, mostly in the US, with $125.6 billion of revenue in FY2025.
Sources and detail on the AT&T page2 · Who pays it
In FY2025, US consumers paid 72.7% of AT&T's revenue, businesses 23.5%, Mexico wireless customers 3.5% and other lines 0.3%.
Sources and detail on the AT&T page3 · What it keeps from $100
Of every $100 that came in during FY2025, AT&T kept $16.2 as net income, including a DIRECTV sale gain of about $5.6 billion, while operating income was $19.23 per $100 of revenue.
Sources and detail on the AT&T page4 · Where the operating profit comes from
In FY2025, Advanced Connectivity earned $24,588 million of operating income and Legacy $3,339 million, before Corporate and Other's loss of $3,910 million, though Legacy carries direct costs only.
Sources and detail on the AT&T page5 · The one thing to watch
Total debt was $159,627 million on Sep 30, 2026, up from $136,100 million on Dec 31, 2025, and Q3 interest expense was $1,979 million, against $1,700 million a year earlier.
Sources and detail on the AT&T page
T-Mobile
1 · What it sells
T-Mobile sells monthly phone and home internet plans, plus the phones that use them, under the T-Mobile, Metro by T-Mobile and Mint Mobile brands, with $88.3 billion of revenue in FY2025.
Sources and detail on the T-Mobile page2 · Who pays it
In FY2025, postpaid customers' service bills were 65.6% of T-Mobile's revenue, phone and device sales 18.1%, prepaid customers 11.9%, and wholesale partners and other revenue 4.4%.
Sources and detail on the T-Mobile page3 · What it keeps from $100
Of every $100 that came in during FY2025, T-Mobile kept $12.45 as net income, with no large one-off gains, and its operating income was $20.70 per $100 of revenue.
Sources and detail on the T-Mobile page4 · Where the operating profit comes from
T-Mobile reports one operating segment, and in FY2025 its service revenue of $71,306 million cost $11,497 million to deliver directly, while devices that sold for $15,972 million cost $21,277 million.
Sources and detail on the T-Mobile page5 · The one thing to watch
Postpaid account churn was 1.09% a month in Q3 FY2026, against 0.97% in Q3 FY2025, while revenue per account rose to $155.73 from $149.44.
Sources and detail on the T-Mobile page
Where each $100 went
Each company's own receipt for its latest full fiscal year, with matching lines in the same order where both have them.
AT&T
Where $100 went · FY2025
| Cost of services | $18.8 |
|---|---|
| Selling, admin, impairments and restructuring | $22.0 |
| Cost of phones and other equipment | $18.8 |
| Depreciation and amortization | $15.4 |
| Interest | $5.0 |
| Income tax, outside partners and preferred stock | $3.8 |
| Kept as net income | $16.2 |
| Total | $100 |
Of every $100 that came in during FY2025 (revenue $125,648 million + other income and affiliates' income $9,649 million = $135,297 million). Cityfort calculation from FY2025 10-K. On revenue alone, operating income was $19.23 and net income to common $17.42 per $100. The net income includes the DIRECTV gain and $1,926 million of DIRECTV equity income, which ended with the Jul 2, 2025 sale.
T-Mobile
Where $100 went · FY2025
| Cost of services | $13.0 |
|---|---|
| Selling, general and admin | $26.6 |
| Cost of equipment sales | $24.1 |
| Depreciation, amortization and impairment | $15.6 |
| Interest and other expense, net | $4.5 |
| Income tax | $3.7 |
| Kept as net income | $12.4 |
| Total | $100 |
Of every $100 that came in during FY2025 (revenue of $88,309 million; other items were a net expense of $224 million, counted with interest). Cityfort calculation from FY2025 10-K. Operating income was $20.70 per $100 of revenue. Depreciation includes a $278 million impairment.
Line items differ because each company groups its costs its own way in its filings. Only on AT&T's receipt: Selling, admin, impairments and restructuring; Cost of phones and other equipment; Depreciation and amortization; Interest; Income tax, outside partners and preferred stock. Only on T-Mobile's receipt: Selling, general and admin; Cost of equipment sales; Depreciation, amortization and impairment; Interest and other expense, net; Income tax.
Revenue, net income and free cash flow
Up to five fiscal years for each company, drawn on one shared scale per measure. Amounts in US$ as reported (GAAP).
Revenue
AT&T
T-Mobile
See the numbers
Net income
AT&T
T-Mobile
See the numbers
Free cash flow
AT&T
T-Mobile
See the numbers
Who pays each company
AT&T
- US consumers · 72.7% of revenueHouseholds paying for phone plans, phones and home internet. They paid $91,382 million in FY2025: $87,259 million in Advanced Connectivity and $4,123 million in Legacy.
- Businesses · 23.5% of revenueCompanies and public agencies paying for wireless, fiber and older network services. They paid $29,514 million in FY2025: $25,165 million in Advanced Connectivity and $4,349 million in Legacy.
- Mexico wireless customers · 3.5% of revenueConsumers and businesses in Mexico. They paid $4,379 million in FY2025, or 3.5% of revenue. AT&T agreed to sell this business on Oct 13, 2026.
- Other · 0.3% of revenueCorporate and Other brought in $373 million in FY2025, or 0.3% of revenue.
T-Mobile
- Postpaid customers (service) · 65.6% of revenueHouseholds and businesses that pay a monthly bill after service. Postpaid revenue was $57,932 million in FY2025, 81% of service revenue.
- Phone and device buyers (equipment) · 18.1% of revenueMostly the same customers, buying phones and other devices, often in installments. Equipment revenue was $15,972 million in FY2025.
- Prepaid customers (service) · 11.9% of revenuePeople who pay in advance, under the T-Mobile, Metro by T-Mobile, Mint Mobile and Ultra Mobile brands. Prepaid revenue was $10,497 million in FY2025, 15% of service revenue.
- Wholesale partners and other · 4.4% of revenuePartners that resell access to T-Mobile's network, plus other revenues. Wholesale and other service revenue was $2,877 million and other revenues $1,031 million in FY2025.
Revenue by segment
AT&T
FY2025
| Segment | Revenue | Share |
|---|---|---|
| Advanced Connectivity | $112.4B | 89.5% |
| Legacy | $8.5B | 6.7% |
| Latin America | $4.4B | 3.5% |
| Corporate and Other | $373M | 0.3% |
T-Mobile
FY2025
| Segment | Revenue | Share |
|---|---|---|
| Postpaid | $57.9B | 65.6% |
| Equipment | $16.0B | 18.1% |
| Prepaid | $10.5B | 11.9% |
| Wholesale and other | $3.9B | 4.4% |
Debt and cash
AT&T
- Debt
- $159.6B
- Cash and investments
- $10.8B
On Sep 30, 2026.
On Sep 30, 2026, net debt of $148,860 million equaled about 3.7 years of operating cash flow, which was $40,235 million over the prior four quarters.
T-Mobile
- Debt
- $86.0B
- Cash and investments
- $5.6B
On Sep 30, 2026.
On Sep 30, 2026, debt minus cash was $80.3 billion, about 2.8 years of the $28.7 billion of cash from operations over the prior four quarters.
Sources: AT&T S6, S1, S24, S14 · T-Mobile S11, S6, S1, S3, S5, S24
Who owns each company
AT&T
- One class of shares.
- Officers and directors as a group: 0.1% of shares (as of Dec 31, 2025).
- Vanguard Capital Management: 7.5% (as of Apr 29, 2026).
- The Vanguard Group (proxy table): 8.7% (as of Feb 13, 2024).
- BlackRock (proxy table): 7.5% (as of Jan 26, 2024).
T-Mobile
- One class of shares.
- Officers and directors as a group: 0.3% of shares (as of Mar 31, 2026).
- Deutsche Telekom AG: 55.9% of its class, 55.9% of votes (as of Oct 29, 2026).
Sources: AT&T S6, S28, S1, S29, S30 · T-Mobile S20, S21, S6, S8
Risks only one page tracks
Risks whose type the other company's page does not list. Both pages track risks of these types: debt, competition, execution, technology. Every risk is on each company's page.
AT&T
- Costs of retirees and benefit plans (other)About 477,000 retirees and dependents were eligible for benefits at Dec 31, 2025, and the postemployment benefit obligation was $8,478 million. AT&T's 10-K says markets, interest rates and medical inflation can raise these costs.
T-Mobile
- Control by Deutsche Telekom (governance)Deutsche Telekom held 55.9% of the shares in October 2026 and can name up to 10 board nominees. Other holders cannot outvote it, and T-Mobile uses Nasdaq's controlled-company exemptions.
- Antitrust class action over the Sprint merger (legal cases)The Dale class action, filed in 2022, alleges that the Sprint merger violated antitrust laws and raised prices for AT&T and Verizon customers. It seeks trebled damages. T-Mobile says it is defending the case and cannot predict the outcome.
- Unpaid device and service bills (other)Many customers pay for phones in installments. Bad debt and losses on sold receivables were 1.9% of revenue in Q3 FY2026, against 1.6% in Q3 FY2025.
Key facts
- How does AT&T make money compared with T-Mobile?
- AT&T's revenue by segment in FY2025: Advanced Connectivity 89.5%, Legacy 6.7%, Latin America 3.5%, Corporate and Other 0.3%. T-Mobile's revenue by segment in FY2025: Postpaid 65.6%, Equipment 18.1%, Prepaid 11.9%, Wholesale and other 4.4%.
- Which is bigger by revenue, AT&T or T-Mobile?
- AT&T reported $125.6B of revenue in FY2025, and T-Mobile reported $88.3B in FY2025.
- How much net income did AT&T and T-Mobile report?
- AT&T reported net income of $21.9B in FY2025, and T-Mobile reported $11.0B in FY2025.
- How much of every $100 did AT&T and T-Mobile keep as net income?
- AT&T kept $16.2 of every $100 that came in during FY2025, and T-Mobile kept $12.4 in FY2025 (Cityfort calculation from each company's annual report).
- How much debt and cash do AT&T and T-Mobile have?
- AT&T had $159.6B of debt and $10.8B of cash and investments on Sep 30, 2026. T-Mobile had $86.0B of debt and $5.6B of cash and investments on Sep 30, 2026.
- When do AT&T's and T-Mobile's fiscal years end?
- AT&T: Fiscal year ends on Dec 31. T-Mobile: Fiscal year ends on December 31 (the calendar year).
Sources: AT&T S3, S5, S1, S24, S25, S6, S26, S14 · T-Mobile S3, S4, S1, S15, S11, S6, S5, S24
Built from each company's page. AT&T updated Nov 6, 2026; T-Mobile updated Nov 6, 2026.
Sources
AT&T
- S1Form 10-K, fiscal year 2025 (ended Dec 31, 2025), AT&T Inc. (SEC EDGAR), Feb 9, 2026
- S3Form 10-K, fiscal year 2023 (ended Dec 31, 2023), AT&T Inc. (SEC EDGAR), Feb 23, 2024
- S5Form 10-K, fiscal year 2021 (ended Dec 31, 2021), AT&T Inc. (SEC EDGAR), Feb 16, 2022
- S6Form 10-Q, Q3 FY2026 (quarter ended Sep 30, 2026), AT&T Inc. (SEC EDGAR), Oct 21, 2026
- S14Earnings release Q3 FY2026, Form 8-K Item 2.02, Exhibit 99.1, AT&T Inc. (SEC EDGAR), Oct 21, 2026
- S24Financial and Operational Trends (trending schedule), Q3 FY2026: Q1 FY2024 to Q3 FY2026, AT&T Inc. (Investor Relations), Oct 21, 2026
- S25Historical Segment Recast trending schedule, FY2023 to FY2025 (new segments), AT&T Inc. (Investor Relations), Jan 28, 2026
- S26Q3 FY2026 earnings call transcript, Oct 21, 2026 (LSEG, posted by AT&T), AT&T Inc. (Investor Relations), Oct 21, 2026
- S28Definitive proxy statement (DEF 14A), 2026 annual meeting, AT&T Inc. (SEC EDGAR), Mar 23, 2026
- S29Schedule 13G, Vanguard Capital Management LLC (event Mar 31, 2026), Vanguard Capital Management (SEC EDGAR), Apr 29, 2026
- S30Schedule 13G/A, The Vanguard Group (event Mar 13, 2026; internal realignment, 0 shares), The Vanguard Group (SEC EDGAR), Mar 26, 2026
T-Mobile
- S1Form 10-K, fiscal year 2025 (ended Dec 31, 2025), T-Mobile US, Inc. (SEC EDGAR), Feb 11, 2026
- S3Form 10-K, fiscal year 2023 (ended Dec 31, 2023), T-Mobile US, Inc. (SEC EDGAR), Feb 2, 2024
- S4Form 10-K, fiscal year 2022 (ended Dec 31, 2022), T-Mobile US, Inc. (SEC EDGAR), Feb 14, 2023
- S5Form 10-K, fiscal year 2021 (ended Dec 31, 2021), T-Mobile US, Inc. (SEC EDGAR), Feb 11, 2022
- S6Form 10-Q, Q3 FY2026 (quarter ended Sep 30, 2026), T-Mobile US, Inc. (SEC EDGAR), Oct 28, 2026
- S8Form 10-Q, Q1 FY2026 (quarter ended Mar 31, 2026), T-Mobile US, Inc. (SEC EDGAR), Apr 28, 2026
- S11Investor Factbook Q3 FY2026, Form 8-K Item 2.02, Exhibit 99.2, T-Mobile US, Inc. (SEC EDGAR), Oct 28, 2026
- S15Investor Factbook Q4 FY2025, Form 8-K Item 2.02, Exhibit 99.2, T-Mobile US, Inc. (SEC EDGAR), Feb 11, 2026
- S20Definitive proxy statement (DEF 14A), 2026 annual meeting, T-Mobile US, Inc. (SEC EDGAR), Apr 27, 2026
- S21Schedule 13D/A (Amendment No. 36), Deutsche Telekom AG (event Oct 28, 2026), Deutsche Telekom AG (SEC EDGAR), Oct 29, 2026
- S24Form 8-K (Items 1.01, 2.03): Second Amended and Restated Credit Agreement ($10.0 billion revolver), T-Mobile US, Inc. (SEC EDGAR), Jan 6, 2026
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