- BT could save 3 billion pounds sterling by reducing up to 55,000 workers, AI could end even more contracts
- If the share price does not increase, BT might have to turn openreach
- Group revenues decreased by 2% on the other
BT CEO, Allison Kirkby, said that the growing adoption of artificial intelligence could lead to even deeper reductions beyond current plans to reduce the business workforce.
Kirkby confirmed that the plans, which hoped to save 3 billion pounds sterling by 2030, to reduce 40,000 to 55,000 jobs by the end of the decade.
In an interview with the Financial timeKirkby said: “Depending on what we learn from AI … There may be an opportunity for BT to be even smaller by the end of the decade.”
BT CEO blames AI for other job cuts
Kirkby resumed BT in 2024, replacing the former CEO Philip Jansen, and has led several savings exercises, in particular by selling non -essential assets such as the Italian and Irish units of the company.
THE FT also noted that BT had retained its international activities last month, citing sources familiar with the issue, suggesting that it could be open to offers.
However, the CEO considers that the current course of the current BT action (£ 186.45) does not reflect the true Openreach value – its wide -band network. If this perceived undervaluation continues, BT could consider turning Openreach when the deployment of the fiber is completed, but Kirkby said that it would prefer the course of the action to improve rather than having to resort to another spin-off.
Speaking in the last full exercise of BT, which ended on March 31, Kirkby said that the company had achieved “more than 900 million pounds sterling of annualized savings”. It blamed “international sales and combined” lower than the 2% drop in income, to 20.4 billion pounds sterling.
The scope of BT through the United Kingdom could be about to become even stronger, with The guardian revealing that the company could have participated in initial discussions to buy Talktalk, a smaller wide -band supplier who had financially difficult.
However, such an acquisition, as well as BT property of the EE mobile networks supplier, could state great domination over British networks, potentially arousing an antitrust survey.
The recently completed merger of three and Vodafone was subject to an in-depth investigation before finally approved by competition and the Authority Markets (CMA) of the United Kingdom.
