Better Days on the Horizon For US Wireless
Morgan Stanley sees financial light at the end of the tunnel for US wireless carriers. Reduced capital spending due to completed network upgrades, slowing demand and drop in equipment prices will free up cash for US operators making them better investments. But the bank is counting on some industry consolidation to help boost margins and net income. This means less competition and stabalization of prices. But carriers still need to get subscribers excited about data if they are going to see any return on their expensive network upgrades.
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