Verizon slashes again: ai promises revival, but customers scream

Verizon is bleeding headcount again, laying off another 13,000 workers just months after a previous round. CEO Dan Schulman, betting big on artificial intelligence to resuscitate a struggling carrier, insists this isn’t just about shrinking – it’s about a fundamental shift.

Ai as the new customer service face

During the Bloomberg Tech conference, Schulman bluntly stated that AI will decimate its customer care workforce, a move designed to streamline operations and inject a desperately needed dose of innovation. He envisions a leaner, more responsive Verizon, less bogged down by bureaucratic processes. 'We’re about outcome and how fast can we move the company forward,' Schulman declared, a stark contrast to the company's previously glacial pace.

The strategy hinges on deploying chatbots – Anthropic’s Mythos and Google’s Gemini – to handle routine inquiries, freeing up human agents for more complex issues. But the reality on the ground is a frustrating echo of the digital age: customers are still overwhelmingly met with robotic responses, despite assurances to the contrary.

The human factor – and the growing frustration

The human factor – and the growing frustration

Reddit is ablaze with complaints. Users like ‘su_A_ve’ are reporting 24-hour waits for a live agent, a stark contrast to Verizon’s proclaimed commitment to treating customers like individuals, not merely account numbers. ‘I just can’t even anymore with companies laying off workers and replacing them with subpar AI,’ one user lamented. The sentiment is widespread – a palpable sense of disillusionment.

While Verizon’s executives, including a recently poached Deutsche Telekom executive, are touting AI’s potential, the underlying problem remains: a persistent lack of responsiveness and a growing disconnect between the company’s promises and the customer experience. Rumors are already swirling of another impending layoff, scheduled for July 16th – a chilling indication that the restructuring is far from over. Schulman’s optimism feels increasingly tone-deaf, considering the mounting evidence of customer dissatisfaction.

The bottom line: Verizon is doubling down on AI, but its efforts risk alienating the very customers it needs to retain. It’s a high-stakes gamble, and so far, the odds aren’t looking good.