Telecom Behemoth Verizon Communications Inc, on Friday, names Hans Vestberg as its new CEO. The announcement surprised analysts and signalled the company’s priority is building the next-generation 5G network, not expanding further into media content.
Prior to taking over the top post, Hans Vestberg served as chief technology officer of the company for just over a year. Mr Vestberg, the former CEO of communications equipment maker Ericsson, joined the telecommunications company a year ago.
“While Verizon has made some moves in the media space and smaller investments, things like go90 have not gone well,” said BTIG analyst Walter Piecyk. “Perhaps this [appointment] is a reflection of their retrenchment from media and a focus on the network.” Mr Piecyk was quoted on New York Post.
Vestberg while speaking in an interview said: “Verizon would keep pursuing its current 5G strategy but he did not see anything new on the horizon to pursue media content.”
According to a report appeared on Reuters, current Verizon CEO, Lowell McAdam, said: “It was the perfect time to hand the reins to Vestberg, with Verizon at an inflection point holding all the pieces it needs for 5G, such as fibre and spectrum.”