Ask Matt: Will more streaming hurt T-Mobile?

Q: Will more video streaming hurt T-Mobile?

A: T-Mobile (TMUS) US screams to stand out from the other wireless carriers. But its offer to provide more unlimited streaming video data is just noise to investors.

The third largest U.S. wireless carrier behind AT&T (T) and Verizon (VZ) this week said it will soon allow subscribers of some plans to stream video to their phones without eating into monthly data allowances. Some investors might fear higher costs for T-Mobile to handle the increased video demand. But the fine print shows why it's not much of a concern. The video isn't being streamed at high definition - but rather lower 480p - so it's not as much of a bandwidth hog. The offer also only includes Hulu, Netflix and HBO. Consumers that watch videos from Facebook and Alphabet's YouTube, on the other hand, will still need to use their monthly bandwidth allowance.

T-Mobile is famous for its loud antics to draw attention - as the cellular market is mature and becoming a zero-sum game. Getting new subscribers usually requires convincing people to switch from another carrier. So far, T-Mobile's efforts seem to please investors. Shares are up more than 35% this year hitting roughly $37 a share Wednesday. Analysts think shares could be worth $47 a share in 18 months and profit double next year.

Paste BN markets reporter Matt Krantz answers a different reader question every weekday. To submit a question, e-mail Matt at mkrantz@usatoday.com or on Twitter @mattkrantz