- Push-out Score suggests push-out forces
- After seven years in the position
- Accolades, praise and thanks for McAdam
- Hans Vestberg taking over
- McAdam will remain as Chairman at Verizon
- McAdam spoke at length and said 120 words
(exechange) — New York, June 8, 2018 — Lowell McAdam, chief executive of Verizon, leaves the position. As announced by Verizon Communications Inc. in a news release and in a regulatory filing published on Friday, June 8, 2018, Lowell C. McAdam leaves his post as Chief Executive Officer at the telecommunications company after seven years in the role, effective August 1, 2018.
Among the 3,000 largest publicly held companies incorporated in the U.S. based on market capitalization, the average tenure of the CEOs who departed over the past 12 months was 9.5 years, according to data compiled by exechange.
McAdam’s duties will be taken over by Hans E. Vestberg, currently Chief Technology Officer of Verizon Communications Inc.
“The time for a change in leadership is now”
A reason for McAdam’s departure from the CEO post was not explicitly given. McAdam said: “I strongly believe in the power of change to drive long-term growth and innovation. For Verizon, the time for a change in leadership is now, and I am confident that Hans is the right person to bring Verizon through its next chapter.”
M.Frances Keeth, Lead Independent Director of Verizon’s Board of Directors, said: “Verizon has a history of robust succession planning to ensure that the company is best positioned to deliver on our value proposition to all stakeholders. The leadership succession announced today is part of a deliberate and thoughtful process that began to take shape three years ago.”
McAdam will remain as Chairman at Verizon
McAdam will serve as Executive Chairman of the Board through his retirement from the company at the end of the year, at which time he will become Non-Executive Chairman.
Verizon said: “The Board accepted the resignation of Lowell C. McAdam as Chief Executive Officer of Verizon, which resignation is effective as of August 1, 2018.”
Verizon further said: “McAdam will remain Chairman of the Board, and he will remain an officer of the company for a transition period through December 31, 2018. On December 31, 2018, McAdam will retire as an employee of Verizon and remain on the Board thereafter as Non-Executive Chairman.”
In the position of CEO since 2011
McAdam was named CEO on August 1, 2011, and Chairman on January 1, 2012.
Prior to that, McAdam was Verizon’s president and COO, with responsibility for wireline and wireless operations. He was also responsible for internal services and the technology management and CIO functions.
Under his leadership as CEO, Verizon took over complete ownership of Verizon Wireless by purchasing Vodafone’s 45 percent stake in the company, positioning Verizon for a new phase of wireless growth.
He is also leading the company’s push into growth markets in the Internet of Things and digital media.
In April 2017, Verizon launched Oath, formed from the company’s acquisition of AOL and Yahoo, which houses more than 50 digital and technology brands that together engage 1 billion people worldwide.
McAdam is one of the architects of today’s global wireless industry, having built wireless businesses on three continents since the technology’s development in the 1980s.
He was president and CEO of Verizon Wireless from 2007 until 2010 and before that served as its executive vice president and chief operating officer.
Before joining Verizon Wireless in 2000, McAdam was president and CEO of PrimeCo Personal Communications, a joint venture owned by Bell Atlantic and Vodafone AirTouch, where he oversaw the deployment of one of the industry’s first all-digital networks.
He also served as vice president-international operations for AirTouch Communications and was lead technical partner for cellular ventures in Spain, Portugal, Sweden, Italy, Korea and Japan.
Prior to joining AirTouch in 1993, he held various executive positions with Pacific Bell.
McAdam is a member of the Cornell University Board of Trustees, where he chairs the Cornell Tech Board of Overseers and sits on the executive committee.
He has co-chaired the CEO Council on Health and Innovation, which encourages the adoption of innovative strategies to improve employee health and the delivery of higher-quality, more cost-effective healthcare.
Previously, he was a member of the GE Board of Directions, and he was a director of the National Academy Foundation, a partnership between business leaders and educators that helps high schools establish technical and service academies to prepare students for college careers.
He also is past chairman of the board of directors of the CTIA, the wireless industry trade association.
He earned a bachelor’s degree in engineering from Cornell and a master’s degree in business administration from the University of San Diego.
He also spent six years in the U.S. Navy Civil Engineer Corps and became a licensed professional engineer in 1979.
Push-out Score suggests push-out forces
It is not completely certain what forces eventually triggered Lowell McAdam’s move.
The Push-out Score™ determined by exechange suggests that push-out forces may have contributed to the change.
Read the full story in the exechange report 24.2018 ($).