T-Mobile, one of the top three phone carriers in the US, is reportedly following in the footsteps of one of its main competitors as it rapidly loses loyal customers.
In September, T-Mobile made its move in a new direction loud and clear when it officially named Srini Gopalan as its new CEO on Nov. 1, replacing Mike Sievert, who had held the position for more than five years.
The change comes after T-Mobile disclosed in its latest earnings report that its postpaid phone churn (the number of customers who canceled their phone service) increased by three basis points year-over-year during the third quarter of this year.
The growing customer losses follow the phone carrier’s recent price hikes, elimination of discounts and phone plan changes. As more Americans face higher costs of living nationwide, many are looking for cheaper phone plan options with non-traditional carriers, according to a recent survey by Oxio.
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approx 90% will be of consumers Consider the options to traditional carriers.
Also, 85% Assume the cost is a primary factor In the mobile provider selection.
Also, 46% Consumers rank low-cost plans as their main reason for switching providers, while 33% Prioritize good network coverage. Source: Oxio
“Research shows that many consumers are looking for greater plan clarity and value — they want services they actually use,” Oxio CcxEO Nicholas Girard said in a statement. “We’re seeing strong interest in personalization, transparency and more control over mobile services.”
Gopalan has already announced that T-Mobile is undergoing a “digital transformation” to solve customer pain points.
“The amount of friction and frustration we have with customers today because of our processes and the state of development in this industry is unprecedented,” Gopalan said on an earnings call in October. “We have a huge opportunity to change that with our digital transformation.”
A key shift in T-Mobile’s digital transformation is reportedly making customers rely solely on its T-Life app to handle upgrades, new lines, account activation and other tasks by January 2026.
As for this new transformation, some T-Mobile employees recently took to the social media platform Reddit to reveal that they were suddenly fired from the company.
In a December 9 Reddit post, a Reddit user sounded the alarm about being notified of job cuts affecting T-Mobile employees who were account executives and sales managers at the company.
“I received several text messages this morning from friends of mine who are still employed by T-Mobile,” the Redditor wrote in the post. “Sales teams are significantly downsized nationwide today. Most account executives and sales managers are on the chopping block. There are even rumors that T-Mobile will introduce ‘consumer account executives’ in retail stores (perhaps experience stores?).
Related: T-Mobile starts charging customers for free offer
In the comments section under the post, several Reddit users who claimed to be T-Mobile employees confirmed that the company had fired them.
“I’m a solution engineer. Just got off the call with my manager 10 minutes ago. I’ve been fired. Still trying to process,” wrote a fired T-Mobile employee.
“AE (Account Executive) left here and there, unfortunately. Sending positivity to all affected by this company’s work,” wrote another.
A Reddit user even claimed that their interview for a position at T-Mobile was canceled due to a “hiring freeze.”
“I thought I’d start a VR position last Monday but I got a call saying they’re doing a ‘hiring freeze’. They said they’d push me to January. However, with everything I’m skeptical,” the Redditor wrote.
T-Mobile’s move follows Verizon’s decision in November to lay off more than 13,000 employees, citing the need to “simplify” operations after losing 7,000 postpaid phone customers in the third quarter of 2025.
“It is critical that we direct our energies and resources to set Verizon on a path to success,” Verizon CEO Dan Schulman wrote in a memo to employees last month. “The actions we are taking are designed to make us faster and more focused, positioning our company to deliver for our customers while continuing to capture new growth opportunities.”
More Telecom News:
Cuts in the tech industry have increased this year as companies cut costs nationwide amid economic uncertainty. According to recent data from Layoffs.fyi so far this year, 257 tech companies have conducted layoffs, resulting in 122,000 tech workers losing their jobs.
In November alone, employment across all industries in the U.S. fell, leading to 1.1 million job losses for 2025, according to the latest data from Challenger, Gray and Christmas. Compared to other sectors, the telecommunication industry has cut the most.
American employers announced 71,321 job cuts In November, up 24% 57,727 2024 was announced the same month.
November’s total job cuts are highest for the month From 2022, when 76,835 job cuts were announced.
Telecommunications industry November saw the largest number of job cuts than any other industry, announced 15,139Mainly because of Verizon. This is the highest monthly total since April 2020 16,552 off was announced in the area.
So far this year, the telecom industry has made announcements 38,035 offThis is a 268 percent increase over the 10,331 announced during the same period last year. Source: Challenger, Gray and Christmas
“Layoff plans fell last month, certainly a positive sign,” Andy Challenger, chief revenue officer at Challenger, Gray & Christmas, said in the report. “That said, job cuts in November have risen above 70,000 only twice since 2008: in 2022 and 2008.”
Related: AT&T Makes Drastic Changes Customers Will See on Their Bills
This story was originally published by TheStreet on December 12, 2025, where it first appeared in the Retail section. Add TheStreet as a preferred source by clicking here.
