updated 05:25 am EST, Tue January 31, 2012
AT&T undertakes leadership shakeup
Following its failed attempt to acquire T-Mobile, AT&T has begun a reorganization of its leadership, according to Reuters. The changes have seen experienced, longs-serving AT&T executives promoted. 27-year veteran John Stankey has been put in charge of strategy, while Forrest Miller, the current head of corporate strategy and mergers and acquisitions is retiring after 30 years. The company also said that 32-year company man Andy Geisse will head up the business segment, and and John Donovan will take over duties leading the AT&T's technology and network operations.
Following the failed merger with T-Mobile, the AT&T reported that it had taken a $6.7 billion loss for Q4 , which included $4 billion it had to pay T-Mobile as a condition of the deal once it fell through. AT&T misjudged the force of the opposition from both the FCC and the US Department of Justice on anti-competitive grounds, with both feeling that consumers stood to be worse off if the two companies combined.
Given the scale of the debacle, it was inevitable that a leadership shake-up would follow. While CEO Randall Stephenson survives for now, it appears as though Forest Miller has been made the fall-guy. Stankey has been given the critical job of steering the company out of the mess. On the appointment of Stankey to lead the company's strategy, AT&T stated 'Stankey, who has led nearly every major AT&T business unit during his 27-year career, will be responsible for developing the roadmap to maximize future growth opportunities.'