Abstract

The case discusses the voluntary breakup of AT&T in 1995 (the largest in corporate history) and its implications on the company and the telecommunication industry in the US. It examines the organizational structure of AT&T after the break-up. The case then explores the events that led to another restructuring of the company in 2000 in which the company was split into four entities - AT&T Wireless, AT&T Broadband, AT&T Consumer and AT&T Business. The organizational structure of AT&T in 2001 is discussed in detail. The case then describes the problems faced by AT&T after the break-ups. Finally, the case discusses the issues before the new CEO - David Dormann and his restructuring plan in 2003 to make AT&T a more customer-centric company.

Learning Objectives

The case is structured to achieve the following Learning Objectives:

• Break-up of AT&T and its strategic implications.

Keywords

Voluntary breakup, AT&T, 1995, telecommunication industry, US, organizational structure, AT&T, break-up, restructuring, 2000, four entities, AT&T, Wireless, AT&T Broadband, AT&T Consumer, AT&T Business, 2001, CEO, David Dormann, 2003, AT&T, customer-centric company