T-Mobile has been in the process of making some huge changes, with varying levels of popularity, but now one that’s been in the running for a while has finally been confirmed.
It has now been confirmed that Mike Sievert will be replaced as the CEO of the telecommunications company by current Chief Operating Officer Srini Gopalan. This comes after months of speculation as it appeared that Seivert was taking less of a role in the company’s ongoing change in direction and strategy.
A new CEO will likely mean more change
Will it shed the current drama though?
This change has been a long time coming. It was reported in July that Deutsche Telekom, the telecoms company with the largest shareholding in T-Mobile, was looking at shuffling board members around to ease a change in direction. COO Gopalan was well placed to take Sievert’s place as CEO then, and it has finally been confirmed that Deutsche Telekom will be getting its way.
The swap comes at a time when T-Mobile is making drastic changes to its approach, moving from expanding its membership to building up fiber networks and strengthening itself as a brand. It also seems as if T-Mobile is making an even bigger shift away from bricks-and-mortar stores to more use of the T-Life app — a move which has proven very unpopular with staff.
Sievert’s departure from the role seems an amiable one, with T-Mobile praising him for his leadership, under which the company added $200 billion to its market capitalization. However, his reign also saw some unpopular decisions being made, including the dropping of the price guarantee and continued price raises.
Sievert won’t be leaving the company, too. Instead, T-Mobile is creating a new position for him: Vice Chairman of the company and board, with a particular eye to advising on strategy, innovation, and external relations. This answers the question of how Sievert could leave his position as CEO while also still being contracted to work with T-Mobile until 2028. In this way, he’s effectively still working for the company, while presumably not having as vital a role as before. Plus, it allows T-Mobile to continue to benefit from his experience and knowledge, while allowing Gopalan to take the company in another direction. And in a more cynical manner, Sievert sticking around may also mean a less drastic change in T-Mobile’s stock prices, which can happen with a change at the top.
As for what this means for customers? It will most likely mean more changes to how T-Mobile works. So if you think your carrier is about to settle down, think again.
