AT&T is continuing a decade-long workforce reduction as it pivots toward AI and fiber networks. According to a WIRED report, the company's chief technology officer Jeremy Legg said headcount will not stay flat, and AT&T generated less revenue per employee last year than Verizon or T-Mobile. The company cut about 8,000 jobs in 2025, and a source familiar with the matter described 85,000 employees as the target by 2030, a figure AT&T called inaccurate.
The telecom giant is deploying AI for customer service, cell tower siting, maintenance, and software code generation. Starting next year, it will replace physical hardware at thousands of central hubs with cloud software from startup DriveNets, allowing remote adjustments. This automation is expected to eliminate many junior developer and middle management roles, even as some work remains manual, like handling phone disconnections.
AT&T is also retiring its copper wire network, which powers landline and DSL services. By the end of 2025, copper will be retired from over 85% of its footprint. The shift has cut energy use significantly—660,000 megawatt-hours since 2024, enough to power about 65,000 homes—and reduces the need for on-site personnel. However, regulatory approvals and local protests in rural areas remain hurdles, and the company faces competition from satellite services like Starlink.