Is T-Mobile CEO Mike Sievert about to be ousted? Maybe, but not for the reason you think

It might be a tumultuous time for T-Mobile’s loyal customers but the company is in great financial shape. An American multinational investment bank analyst believes that the company may not be able to maintain the stellar performance it delivered in the last quarter. This could potentially put CEO’s Mike Sievert future at the company in jeopardy. T-Mobile outperformed analyst expectations in the fourth quarter of 2024. It added 903,000 monthly phone customers and said it hoped to gain up to 6 million new monthly subscribers in 2025.

Citi’s analyst Michael Rollins isn’t so optimistic though. He believes that the company may not outperform its wireless rivals for much longer.

Cable companies are already eating into the market share of wireless providers and Comcast and Charter’s rumored merger could make things worse for T-Mobile by directly affecting its revenue growth.

Commenting on Citi’s analysis, CNBC’s Jim Cramer raised a new possibility.

Cramer praised T-Mobile for gaining legions of customers over the past several quarters despite the economy being sluggish. However, he thinks that Citi’s downgraded outlook for T-Mobile might indicate that the company’s owners might part ways with Sievert.Cramer has linked Citi’s downgrade to a possible reassertion of control over T-Mobile by majority shareholder Deutsche Telekom. If this ends up happening, there will likely be many reorganizations within the company, and the restructuring may involve the ouster of Sievert.

Whether Cramer has firsthand knowledge of internal matters or is just speculating that Citi’s downgrade was a result of internal changes is not known.

He signals that Sievert’s departure from the company will not bode well for its future. While some T-Mobile customers may be happy to see Sievert go because of what they perceive as unfair decisions, the company has witnessed tremendous growth since he became CEO in 2020.

T-Mobile is the first company, not just in the US, but in the entire world, to roll out a nationwide 5G standalone (SA) network. The company was also the first to deploy satellite texting, though the service is in beta.

So while customers affected by price increases and other contentious decisions might be relieved to hear he might be let go, T-Mobile may not necessarily be better off without him.