AT&T Drops DEI To Push Spectrum Deal Forward

AT&T T is making a sharp policy turn, committing to end its diversity, equity and inclusion programs as it pushes to win regulatory approval for a $1.02 billion purchase of wireless spectrum licenses from U.S. Cellular.

In a filing to the FCC, the company said the legal environment around workforce policies has shifted and that it has adjusted its practices to reflect recent executive orders, court rulings and federal guidance. AT&T said it is ending its DEI programs not just in name but in substance, and added that it will not have any roles focused on DEI, laying out a clean break from past efforts.

The move closely tracks current FCC expectations, which link deal approvals to the elimination of DEI initiatives. AT&T is not alone. T-Mobile has taken similar steps while seeking permission for its own transactions, and Verizon changed course before receiving approval for its $20 billion deal for Frontier Communications.

Investors care because getting a green light for the spectrum purchase is critical to AT&T's wireless strategy, especially as data demand keeps climbing across its network.