Dan Schulman’s Aggressive Turnaround Strategy at Verizon
Verizon CEO Dan Schulman is dismantling corporate bureaucracy to restore competitive growth.
1Leadership and Initial Assessment
Dan Schulman assumed the CEO role at Verizon in October 2025, leaving retirement to address the company's significant market share losses. He immediately identified a bloated bureaucracy, noting that some decisions required 35 signatures. Schulman warned employees that the company was losing to rivals like T-Mobile and AT&T, signaling inevitable layoffs.
2Competitive Landscape and Challenges
Verizon faced severe subscriber attrition, losing 414,000 net postpaid phone lines in the first three quarters of 2025. While Verizon remains the largest U.S. wireless carrier, its historical network quality advantage has diminished. Furthermore, SpaceX’s $8 billion investment in cellular spectrum licenses presents a new, long-term competitive threat to traditional incumbents.
3Operational Overhaul and Layoffs
To signal a radical shift in corporate culture, Schulman oversaw the termination of approximately 13,000 employees, representing 13% of the workforce. He is actively dismantling ingrained habits, demanding that managers set ambitious goals rather than easily achievable ones. This approach aims to replace internal inertia with a faster, more risk-tolerant decision-making process.
4Shifting the Commercial Strategy
Verizon is moving away from a cycle of raising prices followed by heavy promotional spending. Under the new Simplicity offering, the company lowered the starting monthly price for a single line to $30. By reducing promotional spending by 41%, the firm is prioritizing long-term customer trust over short-term revenue gains.
5Early Signs of Recovery
The strategy is yielding measurable results, with Verizon gaining 406,000 net phone lines in the third quarter of 2026. This performance marks the company's strongest third-quarter showing in five years. Additionally, the firm added 137,000 customer accounts, demonstrating that the new focus on simplicity and bundling services is gaining market traction.
6Leveraging Artificial Intelligence
Verizon is positioning its infrastructure to support the AI boom by providing high-capacity fiber networks for data centers. The company has secured multi-billion dollar agreements with Google and Amazon Web Services. Internally, AI tools have already reduced the in-store phone buying process by approximately six minutes, enhancing overall operational efficiency.
7Addressing the SpaceX Threat
Schulman views SpaceX’s potential entry into the mobile market as a serious but manageable challenge. He estimates that building a rival network would require four to six years and roughly $300 billion in capital. He remains confident that Verizon can compete effectively once SpaceX’s network infrastructure is actually operational and active.
8The Future of Verizon
Schulman’s tenure is defined by an uncompromising demand for intensity and accountability. As he continues to transform the company, he accepts that his demanding leadership style may cause some employees to depart. His ultimate goal is to ensure the company’s internal pace of change matches the rapid evolution of the external market.
Original article: Fortune — Dan Schulman’s Aggressive Turnaround Strategy at Verizon