Legere and T-Mobile USA: An Interesting Combo

By

The selection of former Global Crossing CEO John Legere to head up T-Mobile USA is a fascinating choice. Legere, a 32 year veteran of the telecommunications and technology industry, will assume the helm of T-Mobile on September 22. What he does in the next 12 months will bear a close watch.

Legere takes over a business unit that Deutsche Telekom (DT) wanted to unload to AT&T. U.S. regulators nixed a T-Mobile/AT&T merger, leaving DT with a still-declining business unit but one with a $3 billion cash injection plus $1 billion in new spectrum due to breakup conditions if the deal didn't go through. 


Image via www.tmobile.com

T-Mobile USA lost 1.65 million customers last year, with the last two quarters of 2012 not looking much better with a drop of 205,000 million in the second quarter.   The fourth-place U.S. wireless carrier is betting on a $4 billion LTE rollout to keep and attract subscribers, with network service to start in 2013.

Enter Legere, the former CEO of Global Crossing. With stints at AT&T and New England Telephone on his resume, Legere certainly knows the telecom business on the wholesale and enterprise sectors.  He's also was a senior VP at Dell Computer, so he has depth in the consumer and retail fields as well.

Global Crossing's story also lends itself well some of the other reason why Legere was brought into T-Mobile USA. Legere became head of Global Crossing shortly before the dot.com bubble turned into dot.bomb, with the company looking for a buyer and going through a Chapter 11 bankruptcy. After cleaning up the books, Global Crossing ultimately ended up purchased by Level 3.

Map Legere's resume to T-Mobile USA and you have experience in mergers, deployment of new technology, and running a company with issues (financial, organizational) and fixing them. Add in his international experience when he arrived from Asia Global Crossing to Global Crossing, and Legere should have a solid working relationship with the home office in Germany.

Perhaps the only "hole" in his resume is that his more recent career has been focused on the telecommunications wholesale and larger enterprise sectors with an emphasis on multi-national opportunities. T-Mobile USA has to stem customer churn, get its LTE build accomplished without hiccups, and maybe engineer a merger with another U.S. cellular carrier to get it out of DT's portfolio. While a Sprint/T-Mobile USA combination seems unlikely given the current regulatory mood, it is possible T-Mobile USA could pick up a smaller carrier for more licensed spectrum -- the most precious asset of the wireless world -- and market share. Clearwire, Leap Wireless and MetroPCS all might be potential merger candidates down the road.




Edited by Brooke Neuman
Get stories like this delivered straight to your inbox. [Free eNews Subscription]

Contributing Editor

SHARE THIS ARTICLE
Related Articles

Tech Podcast Award Winners Bring Excitement and Enthusiasm to a Range of Important Tech Topics

By: TMCnet Staff    6/18/2025

Tech Podcast Award winners produce engaging, informative, and often entertaining content, bringing valuable insight from industry front lines to the e…

Read More

How Mobile Technology is Driving the Shift to Casino Apps

By: Contributing Writer    6/12/2025

Recent years have seen casino apps completely changing the online casino experience. Thanks to mobile-first technology, apps are becoming the default.…

Read More

Decentralized IT Management: Fad or Future?

By: Contributing Writer    6/5/2025

Managing IT feels like an ongoing balancing act for many businesses. Centralized systems often create bottlenecks, slow down teams, and frustrate empl…

Read More

IT Management as a Driver of ESG Initiatives

By: Contributing Writer    6/5/2025

Businesses today face growing pressure to meet environmental, social, and governance (ESG) standards. Customers demand greener practices. Investors lo…

Read More

Everything You Need to Know About Mobile Casinos

By: Contributing Writer    5/30/2025

We live in the age of technology and we have come to solve things on the go, whether we are talking about personal or job-related issues. We have come…

Read More