Key Points
- Verizon is informally gauging interest in a potential leadership change at its consumer division, though no formal search is underway.
- The move follows a Q4 earnings call where CEO Dan Schulman called for a “full reboot,” amid service outages and operational challenges.
- Any change could affect Verizon’s longer-term succession plans, as current consumer chief Sowmyanarayan Sampath is seen as a possible future CEO contender.
Verizon has reached out to several executives to gauge potential interest in taking over the leadership position of its consumer division, currently headed by Sowmyanarayan Sampath, according to a report published this week.
The report, from the Financial Times, said the process of replacing Sampath is in its early stages, and that no one has been formally approached for an interview on the matter.
Verizon has not publicly commented on the report.
The news comes about a week after Verizon released its fourth quarter (Q4) earnings report, during which the company’s newly-minuted CEO Dan Schulman said the wireless provider needed a “full reboot” in order to meet the demands of customers and live up to certain service expectations.
In January, Verizon suffered an hours-long outage that affected consumer and business customers across several states, during which subscribers were unable to place ordinary calls or use wireless date, though calls to 9-1-1 continued as normal. (Wireless providers are required to allow customers to roam on other networks in order to make phone calls to emergency numbers.)
That same month, Verizon closed on its acquisition of Frontier after securing approval from California utility regulators, though it only did so after making key concessions, including promises to upgrade Frontier’s copper network to fiber, erect new wireless towers and replace outdated equipment across its state-wide service footprint.
Schulman is expected to serve as Verizon’s CEO through 2027, after which a long-term successor could be named. Sampath is one of several executives that is viewed as a possible contender for the CEO job after that point, though his departure from Verizon — if it comes to pass — will complicate that matter.
