Verizon Communications has appointed Dan Schulman, former CEO of PayPal, as its new chief executive officer. He replaces Hans Vestberg in a strategic shift to navigate the company through challenges in the U.S. wireless market.
Leadership Transition at Verizon
This leadership change comes amid rising competition and slowing subscriber growth in the telecom sector. Verizon faces pressure as consumers are becoming more hesitant to invest in premium wireless plans.
Dan Schulman’s Background
- Dan Schulman, 67, served as CEO of PayPal for nearly a decade.
- He led PayPal through its split from eBay and the surge in online transactions during the COVID-19 pandemic.
- Schulman has been a member of Verizon’s board for seven years.
In his first communication with Verizon employees, Schulman emphasized the importance of customer-centric culture. He stated that the key to success lies in listening to customers and empowering teams for meaningful change. Schulman aims to drive financial results that exceed market expectations.
Highlights from Hans Vestberg’s Tenure
Under Vestberg’s leadership, Verizon made significant investments, including:
- A $52 billion acquisition of C-Band spectrum to enhance wireless capabilities.
- A $20 billion deal to acquire Frontier Communications.
- A $6 billion acquisition of TracFone Wireless.
Vestberg’s era included aggressive strategies in 5G deployment, yet the company has faced challenges in the competitive landscape against rivals like AT&T and T-Mobile US.
Current Market Environment
Verizon’s stock fell 3% in the wake of the leadership change. The company has struggled to keep pace with rival operators, leading to calls for transformative leadership to stimulate growth.
Vestberg will continue to support Verizon as a special adviser until October 2026. His transition comes shortly after T-Mobile announced its own CEO change, signaling ongoing shifts within the U.S. telecom industry.
