T-Mobile stopped by 2025. Over the past several months, the company has lost many customers after implementing sweeping price hikes and changes to its phone plans. It continues to face increased promotional activity from competitors, making it more challenging to retain and attract customers.
In T-Mobile’s latest earnings report, it reported that in the third quarter of 2025, its postpaid phone churn (the number of customers who cancel their phone service) reached 0.89%, which is 3 basis points higher than the churn reported in the same quarter of 2024.
The increased loss in subscribers comes at a time when many Americans are looking for cheaper phone plan options and are willing to switch phone carriers to save money, according to a survey by WhistleOut last year.
The average cost of a single-line phone plan is $76 per month.
Also, 42% Customers of T-Mobile, Verizon, and AT&T have seen their phone bills increase In the last year, which is 7% more than average.
Also, 58% Customers include T-Mobile, Verizon, and AT&T Thinking about switching As prices go up, switch to a different phone carrier.
T-Mobile risk of loss a joint 75.9 million customers Due to high mobile plan pricing.
Source: WhistleOut
Amid this growing threat, the company replaced its CEO, Mike Sievert, with Srini Gopalan on November 1. Sievert is now vice president of T-Mobile.
A month before taking over as CEO, Gopalan said he plans to roll out a “digital transformation” at T-Mobile to address customer pain points. This reportedly includes making customers entirely dependent on its T-Life app to handle upgrades, new lines, and account activations.
“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.”
As T-Mobile leans more toward digitalization, it laid off an undisclosed number of account executives and sales managers in December and continues to cut jobs across multiple departments.
According to a recent post on TheLayoff.com, T-Mobile reportedly laid off employees on January 6 in end-user support and resource planning. It also laid off workers in consumer and retail on January 13, and employees in its manufacturing division were reportedly let go on January 20.
Some T-Mobile employees took to the social media platform Reddit to claim that they are seeing more cuts in sales and business departments this month.
“Oklahoma here! They cut a bunch from SMB (small business department) and cut the rest. They even raised quotas while getting rid of resources to contact potential leads,” wrote a Reddit user claiming to be a T-Mobile employee on Jan. 18.
Related: T-Mobile Makes Tough Decision After Quietly Losing Customers
“They just let go of a bunch of people on the Orlando business SDR team. Like there was a meeting just now,” wrote another Reddit user on Jan. 15, who said the job cuts affected his spouse’s team at T-Mobile.
“Yes, I can directly confirm that there were a significant number of layoffs across T-mobile for business. This affected Enterprise, Midmarket, IOT, ANS, HSI and Public Sector. This is in addition to the restructuring and significant cuts that took place in December 2025,” another Reddit user wrote on January 15.
More Telecom News:
In a statement to TheStreet, T-Mobile said there were “some changes” at the company this month, but did not share how many employees were laid off.
“Being an on-carrier means fueling ever-expanding products and services, deepening relationships with our customers and enabling us to respond more quickly to a dynamic market,” T-Mobile said.
“As the next step in our growth, we are making some changes while continuing to hire to ensure we have the right focus, structure and momentum to transform the industry through innovation and our long-standing focus on customers,” it added.
T-Mobile’s move mirrors Verizon’s decision in November to lay off more than 13,000 employees after losing 7,000 postpaid phone customers in the third quarter of 2025.
In a memo to employees the same month, Verizon CEO Dan Schulman said the layoffs reflect the company’s goal to “simplify” its operations to better serve its customers.
“As a customer-first culture, we must align our teams and resources to create new value for customers and build a faster, stronger and more proactive Verizon,” Schulman said. “To do that, we must simplify our operations to address the complexity and friction that slows down and frustrates our customers.”
Verizon and T-Mobile aren’t the only tech companies cutting jobs soon. According to recent data from Challenger, Gray and Christmas, deficits in the tech industry will increase in 2025 as companies cut costs nationwide amid economic uncertainty and the rise of artificial intelligence.
In 2025, American employers announced 1,206,374 Job cuts, a 58% increase since 761,358 Announced in 2024.
The technology industry leads private sector job cuts in 2025 154,445increase 15% from 133,988 In 2024.
In particular, in the telecommunications sector, the layout reached 38,211 In 2025, a big one 261% increase since 10,584 This area was operational last year.
Source: Challenger, Gray, and Christmas
“Technology has focused on both the development and implementation of artificial intelligence more rapidly than any other industry,” Andy Challenger, chief revenue officer of Challenger, Gray & Christmas, said in the report. “This created a wave of job losses in the industry over the last decade with over-hiring.”
This trend is likely to continue this year as more companies across the country plan to explore AI in the workplace. According to a survey by Resume.org in September last year, six out of 10 companies plan to lay off employees in 2026, while 37% expect to replace roles with AI.
“AI adoption is going to reshape the job market more dramatically over the next 18 to 24 months than we’ve seen in decades,” Cara Dennison, head of career advising at Resume.org, said in a statement.
“We will see continued displacement of routine and process-driven roles as well as entirely new categories of work focused on AI oversight, data ethics, prompt engineering, and human-AI collaboration,” she continued.
RELATED: Verizon CEO reveals mistakes that led to more than 13,000 layoffs
This story was originally published by TheStreet on January 21, 2026, where it first appeared in the Retail section. Add TheStreet as a preferred source by clicking here.
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