McAdams will be succeeded by Vestberg as CEO of Verizon

Verizon CEO Lowell Mc Adam is retiring and will be succeeded by its current chief technology officer who is the former CEO of Ericsson. McAdam who served as Verizon’s CEO for seven years will remain as its chairman through year’s end and become a

Vestberg, 52, is now chief technology officer and head of global networks for Verizon, the leading USA wireless telecom group which also owns the AOL and Yahoo brands and is a major broadband provider.

Verizon launching 5G in Los AngelesVerizon's Board of Directors has chosen Hans Vestberg, Verizon's president of Global Networks and CTO, to serve as the new CEO starting August 1, the company announced Friday.

Current CEO Lowell McAdam, 64, will step down on August 1, seven years after he took the helm of the company. Stratton plans to retire by the end of the year. Before joining Verizon he worked six years as the chief executive of Ericcson, a networking and telecommunications company.

The shuffle of leadership has come up due to the critical change in the wireless industry as Verizon and it's competitors are racing to bring in 5G coverage and prove the network superiority.

The outgoing CEO said he believes in the power of change to drive long-term growth and innovation and for Verizon, the time for a change in leadership is now.

Verizon's decision to name Vestberg the new CEO is an indication that the telecom giant wants to focus fully on its wireless technology far more than television and films, unlike rival AT&T.

Under McAdam, Verizon took over the stake in the important wireless unit from Britain's Vodafone and built a customer base of more than 150 million. He also led the acquisitions of major media, fiber and telematics assets, including AOL Inc., Yahoo! The change comes at a time when the company is preparing to deploy its 5G network in the United States.

The lines between telecom and media are rapidly blurring though. He was ousted by Ericsson in 2016 after a string of missing quarterly financial targets. Companies are now more focused on growing the number of customers with varied strategies.

Meanwhile, Current CEO McAdam has expressed confidence in his successor. "Hans is an energizing force who will continue to position Verizon to lead the Fourth Industrial Revolution - the emergence of technologies that blend the physical and the digital to create historic breakthroughs in connectivity and mobility".