Wireless stocks drop, LNP looms

Nov 22 2003 - 11:37 AM ET | Number portability
As local number portability moved closer, stocks in wireless carriers dropped. CBS Marketwatch says this is due to the increased costs of both following the rules and staying competitive. Wireless plans are expected to drop, and the perks are expected to flourish. T-Mobile's "Friday free" plan is an example of this (The company added Friday to its free weekend calling plan). Verizon Wireless (-%5) and Nextel (-8%) have fared pretty well. Investors believe Verizon Wireless will do well after LNP because of its #1 carrier position and its advanced technology. Nextel has always had hardcore customers, and is expected to keep most of them, but since push-to-talk is becoming the status quo, it's going to be interesting to watch Nextel over the next few years. AT&T Wireless (-%23) and Sprint PCS (-%33) are getting beat up. No other reason than they are expected to do worse than Verizon Wireless and Nextel.