(AP) -- Sprint CEO Dan Hesse says only "a low single-digit percentage" of new prepaid customers are coming over from Sprint's more lucrative contract-based plans.
Sprint Nextel Corp. roiled the wireless market in February by introducing a $50-per-month unlimited-calling plan under its prepaid Boost brand, raising fears that it would undercut its own contract-based plans.
Sprint lost 991,000 contract customers in the last quarter, while gaining 938,000 prepaying ones.
In an interview Thursday, Hesse dismissed the idea of cutting the price of the Boost plan to match recent moves by competitors.
He says, "We think it's priced where it should be."
©2009 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.
Explore further: Why the SIM card has had its day