Contract of Telekom CEO Höttges extended

Deutsche Telekom has prematurely extended the contract of CEO Tim Höttges by two years until the end of 2028. At the same time, Head of Germany Srini Gopalan is moving to T-Mobile in the USA. His position in Germany will be taken over by Rodrigo Diehl, who was previously in charge of the Telekom subsidiary in Austria. This was announced by the company after a meeting of the Supervisory Board in Bonn on Monday.

"I am delighted to continue my work at Telekom. I was happy to comply with the Supervisory Board's request to extend my contract. I have a lot of fun and energy to continue my work at Telekom," explained Höttges, according to a company statement.

"Continuity and a breath of fresh air"

Höttges' contract would have expired at the end of 2026. A possible extension had already been reported at the end of last year. Höttges has been a member of the Group Executive Board since 2006 and has been in the executive chair since 2014. Under his leadership, Deutsche Telekom's stock market value has grown significantly.

"With this decision, the Supervisory Board is sending a signal of continuity and a breath of fresh air," said Supervisory Board Chairman Frank Appel. "Tim Höttges has made Deutsche Telekom the leading telecommunications company in the world."

With the contract extension, Deutsche Telekom is making an exception to its own rule that members of the Board of Management may not be older than 65. Höttges will reach this age in September 2027.

Gopalan goes to the USA

At the same time, Deutsche Telekom is sending Srini Gopalan, previously CEO Germany, to the US subsidiary T-Mobile as Head of Day-to-Day Operations. Gopalan, who was initially responsible for Deutsche Telekom's European brands on the Board of Management, had been head of the German business since 2020.

Gopalan will now contribute his experience to the important US business under CEO Mike Sievert. The successful US subsidiary contributes the largest chunk to the Group's revenue and earnings. Of the almost 85 billion euros in revenue in the first nine months of the 2024 financial year, 55 billion was generated by T-Mobile USA.

Gopalan's successor will be the previous head of the Telekom subsidiary in Austria, Rodrigo Diehl. "With Rodrigo Diehl, we are appointing an outstanding manager for the German business who stands for entrepreneurial success and customer focus", said Appel.

The question of who will succeed Höttges thus remains open. Gopalan is considered the hottest candidate for the top job in Bonn – The trip to the USA could serve as preparation. However, Head of Technology Claudia Nemat is also said to have ambitions.

(vbr)