Telekom loses its “Mr. 5G” in the United States
san francisco After 23 years with the company, top network manager Neville Ray is leaving the US mobile communications company T Mobile. In the fall, the technical director of the US subsidiary of the Deutsche Telekom to retire, the company announced.
Ray is among the highest paid executives in the telecom industry. A mandatory notice to the Securities and Exchange Commission shows that he was paid around $11.5 million in fiscal 2021 alone. For comparison: CEO of Deutsche Telekom, Timotheus Höttges According to the Dax company, received total remuneration of around seven million euros for the 2021 financial year.
Since entering the US market at the beginning of the millennium, the Deutsche Telekom had major problems with the quality of their network. Ray wanted to change that, under his leadership T-Mobile US gradually expanded its position in the market.
The decisive breakthrough came with the expansion of 5G real-time mobile communications. T-Mobile was able to use the latest mobile generation significantly faster than its rivals AT&T and Verizon roll out
Ray said: “It’s bittersweet, however, now that T-Mobile’s network leadership is establishedt, there has never been a better time to announce my resignation.” Telekom CEO Timotheus Höttges joked about Ray’s departure: Ray is the company’s most expensive employee because the network expansion in the USA squandered so much money. “It was worth it. Because today our American network is number 1,” wrote Höttges.
Major US grid failure
Only a short time later, there was a major outage in the T-Mobile network in the USA. T-Mobile users reported more than 80,000 problem reports to the Downdetector troubleshooting service.
Ray blamed a service provider for the problems, from which the Telekom subsidiary rents fiber optic cables. Unlike in Germany, where Telekom owns much of the fiber optic network that the company uses, it is common in the US to rent the network from third-party providers.
Users reported that they were no longer able to dial 911 either. In 2021, T-Mobile was already sued because the US emergency number 911 could not be reached in more than 20,000 cases. T-Mobile settled the case by paying $19.5 million.
Just a few weeks earlier, T-Mobile had admitted that hackers had stolen sensitive data from 37 million customers. This was the eighth data breach in six years at the telecom company. T-Mobile was fined $350 million for a data breach in August 2021 that stole the data of 77 million users.
Ray’s successor as head of technology is to be Ulf Ewaldsson. He joined T-Mobile four years ago after having previously worked for the European network supplier for around three decades ericsson had worked.
More: Hackers attack US telecom subsidiary – data stolen from 37 million customers over weeks.