BT saves £100m in streamlined B2B service
BT is to combine its business-to-business operations in a single division that will streamline its service and deliver £100 million of annualised savings by 2025.
It will unite its Global and Enterprise units by creating BT Business, focused on next generation connectivity, removing the current duplication and rationalise management teams, support functions, product portfolios and systems.
BT Business will launch on 1 April and will be led by Bas Burger the current CEO of BT’s Global unit while the CEO of BT Enterprise, Rob Shuter, will support the integration over the next few months before leaving to spend more time with family and on his personal interests.
There were no details on how the rationalising would impact the overall workforce.
BT Group Chief Executive Philip Jansen said: “By combining the two units, BT Business will bring the Group’s combined assets, products, capabilities and brand to the service of all of our 1.2m business customers who will benefit from faster innovation and delivery.
“Bas is an excellent leader and I’m confident he will build on the plans already underway and drive the combined business back to growth.”
BT Business will create a B2B focused telecoms and technology business which in FY22 generated pro-forma revenues of approximately £8.5 billion and EBITDA of over £2 billion.
The saving of “at least £100m” annualised by the end of FY25 will contribute to BT Group’s previously announced target to deliver £3bn in gross annualised savings across the same timeframe.
BT Business will continue to invest in the skills, technology and partnerships required to achieve its ambition of returning to growth and become the leading provider of secure multi-cloud connectivity.
Mr Jansen added: “I am grateful to Bas and Rob for laying the foundations that enable us to take this next step in BT Group’s transformation.”
“Bas and the Global and Enterprise teams will now work out the details of the integration over the next few months. I would like to reiterate my thanks to Rob for his contribution to BT over the last two years and wish him well for the future.”