WSJ Leadership Institute Presents Leaders Why AT&T’s $25 Billion Plan Demands a New Corporate Culture
Jan 12, 2026
AT&T's CEO John T Stankey, a veteran with four decades at the telecom giant, shares insights on his ambitious $25 billion modernization plan. He discusses the clash between AT&T's traditional engineering culture and the need for a more market-driven, customer-centric approach. Stankey emphasizes the importance of in-office collaboration, a commitment culture where employees earn their roles, and the transformative impact of AI. He admits underestimating cultural change in his early leadership and reflects on the balance between employee well-being and performance.
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Decision To Buy And Divest Warner
- Stankey recounts owning the decision to buy Warner and later divest it to refocus AT&T.
- He says both media and communications needed separate transformations and a public balance sheet couldn't reposition both effectively.
Flip From Engineering To Market Focus
- AT&T needed to flip from an internally focused engineering culture to a market-focused, customer-driven culture.
- John T Stankey says technology and lower switching costs force companies to earn the customer's business every day.
Require Mutual Earning Of Commitment
- Build a commitment culture where employees must earn their keep and the company must earn theirs with employees.
- Be explicit: performance drives reward, not blind loyalty or family metaphors.
