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T-Mobile Boss Resigns After Two Years to Join Competitor



T-Mobile USA said on Wednesday that CEO Philip Humm has resigned from his position after serving as company head for a mere two years. Jim Alling, Chief Operating Officer of T-Mobile USA, will reportedly take over the duties of CEO on an interim basis while a search is underway.

Parent company Deutsche Telekom said that Humm will pursue a career elsewhere so that he can reunite with his family, who stayed back in Europe. Humm originally joined Deutsche Telekom in 2005 and headed the company's mobile business in Germany. He then took on the responsibility of managing the sales and service activities of the European mobile companies within Deutsche Telekom in 2008.

Humm didn't assume the role of T-Mobile USA CEO here in the States until November 2010.

The Financial Times adds that Deutsche Telekom CEO René Obermann originally learned about the upcoming departure last year during AT&T's $39 billion abortive bid for T-Mobile USA. "The reason that Philipp has vacated his position at such short notice has to do with his new employer," Obermann said in a recent email to staff. "To my surprise, he informed me a few days ago that he would be joining a competitor."

That competitor is believed to be Vodafone.

After the collapse of AT&T's bid for T-Mobile USA, Humm helped create a new strategy that focused on building the company's LTE network, and to position the company as a lower-cost yet nimble challenger against the likes of AT&T, Sprint Nextel and Verizon Wireless. T-Mobile USA actually received spectrum from AT&T thanks to the break settlement which was put to use for the 4G network.

"Philipp Humm has given the company some important initiatives over the past years," said Obermann. "Under his leadership the cost situation at T-Mobile USA has vastly improved and he led the company during a difficult phase regarding the planned merger with AT&T."

"Now we need somebody who can convert initiatives into market-successes," he added.