OpenAI business brings Microsoft $10 billion in quarterly revenue
Microsoft also reported $7.2 billion owed by OpenAI for past transactions, while its ownership stake in the AI company declined to 24%.
T-Mobile lifts cash flow forecast floor as customer growth beats estimates
Quarterly revenue reached $23.58 billion, while more than 60% of postpaid lines in new accounts chose top-tier plans, the company's CFO said.
T-Mobile on October 28 increased the bottom of its forecast range for annual adjusted free cash flow to $18.7 billion from $18.4 billion after third-quarter revenue and customer additions exceeded analyst expectations. The upper limit remained $18.8 billion.
Revenue for the quarter ended September 30 increased 7.4% to $23.58 billion, exceeding the $23.14 billion estimate compiled by LSEG. The carrier added 274,000 net postpaid accounts, compared with the 251,917 analysts surveyed by Visible Alpha had expected.
Average revenue per account increased 4% to $155.73 as customers moved to premium offerings. Accounts are billing relationships that may cover several wireless lines for a family or business.
Chief Financial Officer Peter Osvaldik said more than 60% of postpaid lines in newly added accounts selected the company's highest-tier plans. He attributed the higher expected free cash flow mainly to strong performance in the core business.
T-Mobile also plans a broad November launch of T-Mix plans, which let customers select and switch perks including streaming subscriptions and food delivery. The offering is intended to provide more flexibility than fixed bundles as U.S. wireless carriers compete on benefits beyond coverage and device promotions.