AT&T CEO speaks out following last week’s mass outages that left thousands of customers without service.
In a letter sent to employees on Sunday, CEO John Stankey explained that Thursday’s outage was caused “by the application and execution of an incorrect process used as we worked to expand our network” and confirmed that approximately 75% of AT&T customers in the US were unable to do so. to access the network in the morning. Service was restored around 1:00 pm EST.
“No matter the timing, one thing is clear: We have disappointed many of our customers, including many of you and your families. For that, we apologize,” Stankey wrote. “Moments like these are a test of resilience. This is not our first network outage, and it won’t be our last; unfortunately, it’s the reality of our business. What matters most is how we react, how we adapt and we improve to provide the service our customers need and expect.”
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Stankey then revealed that consumer and business customers “most affected” by the outage would receive an automatic $5 account credit. Prepaid customers will have other options available, although the company did not specify what those options were.
“I believe this approach is fully manageable while achieving the 2024 business goals we have set and our stated financial guidance,” Stankey said.
The widespread outages peaked Thursday around 8 a.m. EST, when more than 74,000 customers were unable to access their networks. More than 90% of people who reported problems said they were without service and were unable to make or receive calls.
AT&T closed out 2023 strong, with full-year mobility services revenue up 4.4% over the same period last year, the highest in the company’s history.
“We delivered exactly what we promised to do in 2023, delivering sustainable growth and consistent business performance, resulting in full-year free cash flow of $16.8 billion, ahead of our highest forecast ” Stankey said in a statement at the time. “As we advance our leadership in converged connectivity, we will continue to expand our best-in-class 5G and fiber networks to meet growing customer demand for seamless, ubiquitous broadband and drive sustained growth for shareholders.”
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AT&T was down just over 12% in the one-year period as of Monday afternoon.