By Kerry E. Grace 
   DOW JONES NEWSWIRES

TAKING THE PULSE: Most U.S. telecommunications companies are seen posting weaker bottom lines for the first quarter as they look for ways to keep subscribers happy and drive revenue growth amid consumer-spending cutbacks. Wireless companies face a challenge from the new wave of mobile-application stores as concerns arise that names like Apple Inc. (AAPL) and Google Inc. (GOOG) may possibly deprive them of another source of revenue. But the telecoms say they're working on application outlets of their own.

The companies are also up against heightened competition from discount wireless-phone carriers like MetroPCS Communications Inc. (PCS) and Leap Wireless International Inc. (LEAP), which have forecast big gains in subscribers and offer plans for as low as $30 and don't require contracts. Unlimited local and long-distance service can be obtained for as little as about $40 a month, compared with $100 at AT&T Inc. (T) or Verizon Wireless.

COMPANIES TO WATCH:

AT&T Inc. (T) - reports April 22

Wall Street Expectations: Analysts polled by Thomson Reuters anticipate earnings of 48 cents a share on revenue of $31.14 billion, compared with year-earlier net income of 57 cents a share on revenue of $30.74 billion. The prior year included 17 cents in acquisition and other charges.

Key Issues: Chief Executive Randall Stephenson said last month the current downturn isn't any worse than what the industry faced after the technology bubble burst at the start of the decade. AT&T has launched a bid for the roughly $3 billion in wireless assets that chief rival Verizon Wireless has to sell as part of its purchase of Alltel. AT&T's spending spree has raised debt-level concerns at Standard & Poor's Ratings Services, along with substantial losses in the value of its pension plans.

Verizon Communications Inc. (VZ) - reports April 27

Wall Street Expectations: Analysts anticipate earnings of 59 cents a share on revenue of $26.21 billion, up from 57 cents and $23.58 billion, respectively.

Key Issues: The economy's continued deterioration put some of the company's core businesses into question. Many are still concerned with weakness in Verizon's landline, wholesale and business operations. But Chairman and CEO Ivan Seidenberg said earlier this month the company's wireless and wireline trends haven't changed. Verizon also got a 10-year contract worth up to $2.5 billion last month to provide network and data services for the U.S. Defense Department around the world.

Motorola Inc. (MOT) - reports April 30

Wall Street Expectations: Analysts predict a loss of 11 cents a share on revenue of $5.56 billion, compared with a year-earlier loss of 9 cents on revenue of $7.45 billion.

Key Issues: The company cut 4,000 jobs in January after holiday sales plunged, and its cuts haven't spared parts of its cellphone division previously flagged as crucial to its turnaround plans. It cut a team of more than 70 employees working on the Windows Mobile platform, which it had said it would focus on. Motorola said the cuts didn't signal a change in strategy. The company has said it expects modestly dropping cellphone demand, which may hurt its already smarting handset division.

Sprint Nextel Corp. (S) - reports May 4

Wall Street Expectations: The struggling wireless provider is seen posting a 5-cent loss on revenue of $8.28 billion, compared with year-earlier loss of 18 cents and revenue of $9.33 billion. The prior-year results included 22 cents in merger-related charges.

Key Issues: Sprint has suffered from high customer-turnover rates in recent years, but is looking to combat that with prepaid plans from its Boost Mobile unit. Chairman and CEO Dan Hesse said last month he wants the carrier to be the go-to provider of wireless connections for consumer electronic makers. Sprint already embraces the wholesale model - which involves selling network capacity to other companies to be resold to consumers - more than any other U.S. carrier, but it still makes up just a sliver of total revenue.

(The Thomson Reuters financial estimate and year-earlier net may not be comaparable due to one-time items and other adjustments.)

-By Kerry E. Grace, Dow Jones Newswires; 201-938-5089; kerry.grace@dowjones.com