Verizon Restructures into Three Divisions to Better Focus on 5G
Verizon Communications, in an effort to better focus on its 5G offerings, said it has created a new operating structure focused on three customer-facing areas: Consumer, Business and Verizon Media Group / Oath.
The changes will be effective Jan. 1, and Verizon said it expects to transition to financial reporting under the new structure during the second quarter of 2019.
“This new structure reflects a clear strategy that starts with Verizon customers,” Verizon CEO Hans Vestberg said in a statement. “We’re building on our network transformation efforts and the Intelligent Edge architecture to deliver new customer experiences and optimize the growth opportunities we see as leaders in the 5G era. We’re focused on how our technology can benefit customers’ lives and society at large.”
Verizon Consumer Group will include the consumer segment for both the company’s wireless and wireline businesses, including wireless wholesale and will be led by current Verizon Wireless EVP and president Ronan Dunne.
Verizon Business Group will include the wireless and wireline enterprise, small and medium business, and government businesses, as well as wireline wholesale and Verizon Connect, the company’s telematics business. It will be led by current EVP, wireless operations Tami Erwin.
According to Verizon, its Fios TV and Fios broadband services will be part of the products sold by the Consumer and Business Groups.
Verizon Media Group / Oath will include the company’s media, news, entertainment, gaming, commerce and other businesses and will be led by Oath CEO Guru Gowrappan.
Verizon’s Global Network & Technology organization, which will serve all company operations, will be led by Kyle Malady, currently chief network operations officer and chief technology officer.
There are no changes in leadership for company-wide staff functions.
“Our strategy is designed to elevate one of the most successful companies in the world to the greatest company in the world,” Vestberg said in a memo to employees Monday. “It’s a big leap and in order to realize this vision, it has to start with our customers. Today we begin this journey by reorienting our operating structure more towards our customers.”
The full memo to employees is below:
November 5, 2018
By now you’ve all heard me say how excited I am about the future of our company. Today is no different.
In the past three months, I’ve been meeting and listening to you, our customers, and investors. What I heard was a pride, dedication and commitment to our customers, our organization and values. What’s also unmistakable is we can be even better, that we have a lot of potential just waiting to be unlocked.
Today, I want to share how we will organize our team to better take advantage of the opportunities ahead of us. I like to call it… Verizon 2.0, “Building tomorrow with the best of today. “
The structure will follow a clear strategy, one that includes:
Our strategy is designed to elevate one of the most successful companies in the world to the greatest company in the world. It’s a big leap and in order to realize this vision, it has to start with our customers. Today we begin this journey by reorienting our operating structure more towards our customers.
We will transform and begin operating under this structure in January 2019.
Customer-facing Operating Groups including:
- Consumer, led by Ronan Dunne
- Business, led by Tami Erwin
- Media/Oath, led by Guru Gowrappan
A Global Network and Technology Organization led by Kyle Malady
Corporate staff functions including:
- Finance, led by Matt Ellis
- Strategy & New Business Development, led by Rima Qureshi
- Marketing, led by Diego Scotti
- Public Policy, Legal & Security, led by Craig Silliman
- CAO, led by Marc Reed
This is a big change that you will likely have questions about. Think about it for the next few hours and join me for a webcast today at 2:00 PM ET. The team and I will address your questions.
We have a lot to be proud of at Verizon. Our network leadership, our dedication to serving our customers, and our talented V Team are all strengths we must preserve as we begin this new era.
It’s my privilege to lead this team, guided by a shared purpose: Deliver the promise of the digital world by enabling people, businesses and society to innovate and drive positive change.
Thank you all for your support during this transition period. As always, the team – V Team – will make the difference.
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