Dish Network laid off an unspecified number of employees, as the Covid-19 (coronavirus) pandemic and the company’s looming entrance into the US mobile market prompted it to re-examine its operations.
A company representative told Mobile World Live the move included “a focused set of staffing reductions to align our workforce” to “best serve our Dish and Sling customers, position the company to support our future wireless aspirations and create long-term opportunity for our teams”.
The representative added the cuts primarily impacted Dish Network’s In-Home Services division, which handles the installation and repair of the company’s TV and wireless home network products. The representative acknowledged the decision was taken in response to economic conditions caused by the ongoing Covid-19 crisis.
Dish Network had approximately 16,000 employees as of 31 December 2019.
The operator’s refocus comes as it prepares to take over Sprint’s pre-paid assets and enter the US mobile market. A divestment of the assets was one of the conditions set by the Department of Justice for granting its blessing to Sprint’s merger with T-Mobile US.
In a research note, MoffettNathanson analysts said Dish Network faces an uphill battle, as store closures and economic troubles caused by Covid-19 hamper growth in gross subscriber additions and increase churn.
The analysts tipped Dish Network’s MVNO play to initially be “yet another shrinking business” for the operator.Subscribe to our daily newsletter Back