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AT&T to Cut Jobs Further as It Automates Telecom Operations

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AT&T to Cut Jobs Further as It Automates Telecom Operations

This digest was compiled by AI from multiple sources — links to the originals are below.

AT&T plans to continue reducing its workforce as it automates operations and phases out legacy landline service. The company cut 2,100 jobs in the first half of 2026 and aims to shrink headcount to around 85,000 by 2030. The shift is part of a broader effort to rebuild the 150-year-old telecom giant around AI and fiber internet.

Key Facts

  • AT&T cut 2,100 jobs in the first half of 2026.
  • AT&T employed nearly 131,000 people as of June 2026.
  • AT&T aims to reduce its workforce to about 85,000 employees by 2030.
  • AT&T handles about 15 percent of the world's internet traffic.
  • Starting next year, AT&T will replace physical hardware at thousands of central hubs with cloud software from Israeli startup DriveNets.

Workforce Reduction

AT&T has already shed more than half of its workforce over the past decade. Chief technology officer Jeremy Legg said the company will not have the same headcount in five years as it does today. AT&T generated less revenue per employee last year than competitors Verizon and T-Mobile, both of which have also cut jobs in recent months. A person familiar with the matter described 85,000 employees by 2030 as the company's target, but AT&T called that figure inaccurate.

AI and Automation

AT&T is using AI systems for customer service, to help identify locations for new cell phone towers, and to find maintenance issues on existing ones. A generative AI system called GeoModeler adjusts network settings on the fly during rare events like extreme weather. AT&T is also using AI to generate software code and help manage service issues. As more tasks are automated, a number of middle management and junior developer roles are expected to disappear.

Network Transformation

Starting next year, AT&T will replace physical hardware at thousands of central hubs with cloud software from Israeli startup DriveNets, in which AT&T is an investor. The change will allow technicians to make adjustments remotely, such as when a customer requests faster internet. AT&T is also doing away with its old-school landline service as part of the transition. CEO John Stankey said at the Goldman Sachs Communacopia + Technology Conference that AT&T wants to be seen as a dramatically different company with a fantastic fiber internet service and kickass wireless network by the end of the decade.

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