The chief executive of T-Mobile US Philipp Humm resigns from his post and will be replaced by the Chief Operating Officer Jim Alling. It has been confirmed by the management that Humm will also be leaving the TMo’s mother company, Deutsche Telekom, and will return home to his family in Europe. As much as the company wants to be open about the issue, the real reason why Humm is resigning was not disclosed leaving everyone to speculate about it.
In May 2010, T-Mobile US hired him but he later became the CEO by November of the same year. Expert analysts believe Humm was hired simply because of the upcoming merger between T-Mobile and AT&T that started in March 2011. The said merger hasn’t been accepted by the people and even roused controversies pushing the Federal Communications Commission and the Department of Justice to disapprove it.
On December 19, 2011 AT&T finally abandoned the merger after several petitions from third-party carriers like Sprint Nextel. One of the reasons why there were a lot of parties that opposed it is that it could reduce the competition in the US mobile market and may directly affect the rates of the services had FCC and DOJ approved of it.
Humm was hired to oversee the merger, analysts said. But since it was junked by concerned government agencies, T-Mobile has to let go of him. At least, that’s the most apparent reason for his resignation after the company declined to give further details. Prior to his appointment as T-Mobile CEO in the US, he also served as head of the same company in Germany and Europe. Basically, he had all the skills needed to oversee the attempted merger with AT&T.
T-Mobile is the fourth largest mobile operator in the United States. However, its rank does not necessarily mean it is closer to the competition as it has just an estimated 33.4 million subscribers while AT&T and Verizon Wireless have 104 million and 93 million subscribers, respectively.
Analyst Jack Gold of J. Gold Associates said that Deutsche Telekom, the mother company of T-Mobile, signaled that it wants to leave the US mobile market after years of struggle to acquire a bigger chunk. Humm’s resignation could easily be linked to this. However, just today, The Wall Street Journal published a report suggesting that the ex-CEO of T-Mobile will actually become the chief executive of Vodafone to oversee operations in Northern and Central Europe.