TLDR
- Verizon appointed Dan Schulman, former PayPal CEO, as its new CEO effective immediately, replacing Hans Vestberg who becomes a Special Advisor through October 2026.
- Schulman tripled PayPal’s revenue from $8 billion to $30 billion and grew earnings per share five-fold during his nine-year tenure as CEO.
- The leadership change comes as Verizon prepares to close its $20 billion acquisition of Frontier Communications in Q1 2026.
- Verizon added only 300,000 subscribers in Q2 2025, trailing T-Mobile’s 1.7 million and AT&T’s 401,000 new subscribers in the same period.
- Verizon stock fell over 3% on the announcement and is up 5% year-to-date, lagging behind the S&P 500’s 15% gain.
Verizon Communications made a major leadership change on Monday. The telecom company appointed Dan Schulman as its new CEO, effective immediately.
Schulman replaces Hans Vestberg, who held the position since 2018. Vestberg will transition to a Special Advisor role through October 2026 and remain on the board until the 2026 annual meeting.
The new CEO isn’t exactly new to Verizon. Schulman has served on the company’s board since 2018. He was elected as lead independent director in 2024.
Schulman brings serious credentials to the job. He spent nine years as PayPal’s CEO, tripling revenue from $8 billion to $30 billion. He also grew earnings per share five-fold during his tenure.
Before PayPal, Schulman held senior leadership positions at AT&T, Priceline, Virgin Mobile, and American Express. His telecom experience runs deep.
The stock didn’t love the news. Verizon shares dropped over 3% following the announcement. The stock is up 5% year-to-date, trailing the S&P 500’s 15% gain.
Timing and Challenges
The leadership change comes at what Verizon calls a “critical juncture.” The company is preparing to integrate Frontier Communications following its pending $20 billion acquisition. The deal is expected to close in the first quarter of 2026.
Verizon faces some real headwinds. The company is dealing with high churn rates and slowing customer growth. Increased prices and fierce competition haven’t helped.
The numbers tell the story. During the second quarter, Verizon added just 300,000 subscribers. T-Mobile brought in 1.7 million new subscribers in the same period. AT&T added 401,000.
Verizon did beat revenue expectations in Q2. The company generated $34.5 billion, surpassing consensus estimates of $33.76 billion. Adjusted earnings per share came in at $1.22, topping expectations of $1.19.
But subscriber growth remains the pain point. That’s where competitors are eating Verizon’s lunch.
The New Strategy
Schulman outlined his plan in the announcement. He wants to maximize value propositions, reduce cost to serve, and optimize capital allocation. The goal is delivering sustainable long-term growth for shareholders.
“Verizon is at a critical juncture,” Schulman said. “We have a clear opportunity to redefine our trajectory, by growing our market share across all segments of the market.”
Mark Bertolini was appointed Chairman of Verizon’s Board of Directors in connection with the leadership change. He praised Schulman’s experience and track record.
Vestberg’s tenure saw major investments in Verizon’s 5G network. He oversaw the purchase of C-Band spectrum and a nationwide rollout for mobile and home internet services. But subscriber growth remained sluggish compared to rivals.
Vestberg called Schulman’s appointment “the right move at the right time.” He said the pending Frontier acquisition made this a good moment to pass the baton.
Verizon reaffirmed its full-year 2025 financial guidance. The company will report third quarter 2025 earnings on October 29.
