Struggling AT&T plans “tens of billions” in cost cuts, more layoffs

Enlarge / AT&T service van driving in June 2019 in Oakdale, California. (credit: Getty Images | Andrei Stanescu)

AT&T is planning tens of billions of dollars worth of cost cuts, AT&T President and COO John Stankey told investors yesterday. Stankey also discussed the future of DirecTV satellite service, saying it won't be the primary TV option AT&T pitches to most customers going forward.

For the company-wide cuts, AT&T management "has looked at effectively 10 broad initiatives that we believe can generate double digits of billions over a 3-year planning cycle," Stankey said at a Morgan Stanley conference, according to a transcript posted by AT&T.

One of the first of those 10 initiatives will include job cuts, which Stankey called "headcount rationalization." Stankey noted that AT&T has already been cutting jobs but said the company plans "additional work" in that area:

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