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AT&T offers T-Mobile customers $450 to switch

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NEW YORK — The war for mile customers is heating up with AT&T making this pitch directly to T-Mobile customers: Switch to us and get $450.

It’s not cash. AT&T  is offering T-Mobile refugees a $200 credit per phone line, plus the chance to trade in their smartphones for up to $250.

It’s the latest in the battle between AT&T and T-Mobile, the underdog that’s been hounding its larger rival on every front.

Apple’s New iPhone 4s Goes on Sale

(File Photo by Michael Nagle/Getty Images)

With its very public “uncarrier” strategy, T-Mobile has set its sights on AT&T as well as Verizon. First, T-Mobile eliminated contracts, opting instead for customers to pay lower monthly rates and buy their own phones. Then came the “Jump” program, which allows customers to upgrade phones twice a year. Then T-Mobile killed roaming fees and slashed per-minute and text charges.

AT&T is fighting back by appealing to T-Mobile customers’ wallets. AT&T declined to say how long the $450 offer would last, citing competitive reasons. The company wouldn’t say how many customers it expects to gain from the pitch — or how much it would cost.

T-Mobile did not immediately respond to requests for comment. But CEO John Legere addressed rumors of the AT&T offer Thursday night on Twitter. “I guess we are making AT&T a bit nervous,” he wrote.

For more on this CNN Money story, click here.

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