BT Regulatory News (BT.A)

11 January 2021

BT ESTABLISHES DIGITAL UNIT TO ACCELERATE, NEXT-GEN SERVICES FOR CUSTOMERS

BT today announced the creation of a new technology unit - Digital - to lead its digital innovation agenda, effective from 1 April 2021. The new unit will focus on the development and rapid delivery of innovative products, platforms and services in key areas such as healthcare and data.

Harmeen Mehta appointed as Chief Digital and Innovation Officer

To lead the new unit, BT has appointed Harmeen Mehta as Chief Digital and Innovation Officer, reporting directly to Chief Executive Philip Jansen and as a member of the Executive Committee. Harmeen will work closely with Philip, the Board, the Chief Technology Officer and BT's customer facing units to drive the company's digital transformation. The new Digital unit will include accountability for IT, digital innovation, BT-wide business transformation and data and product strategy.

Harmeen joins from global telecommunications provider Bharti Airtel, where she's spent the last seven years as Group CIO, as well as leading their cloud and security businesses. She has 24 years' experience leading digital, engineering, IT and innovation transformation. Before Bharti Airtel, Harmeen held CIO positions at BBVA, HSBC and Bank of America Merrill Lynch.

Howard Watson to lead converged networks and service platforms

Howard Watson will become Chief Technology Officer, leading the team accountable for network strategy, networks transformation and service platforms, as well as retaining accountability for cyber and information security. The continued focus on network leadership and partnership with customer facing units on converged services and experiences will leverage the strength of BT's superior networks to differentiate its services for its customers.

New BT Technology Advisory Board established

Supporting the acceleration of BT's technology transformation, BT also announced a non-executive Technology Advisory Board ("TAB") to provide insight, provocation and external perspective to the Executive Committee on emerging technologies, market and societal trends.

The TAB will consist of recognised industry experts, meeting three times a year, to provide thought leadership on the development of propositions and identify opportunities in the portfolio for future consideration. Members include Daniela Rus, Dame Wendy Hall, Steve King, Shweta Sharma, Mike Young, and John Stecher. Their wide-ranging expertise includes artificial intelligence, technology and digital transformation, product strategy, disruptive technologies, and innovation.

A change to Strategy and Transformation

With a new strategic ambition and transformation programme now in execution, BT announced that Mike Sherman, Chief Strategy and Transformation Officer, has decided it's the right time for him to leave BT. Mike has played a major role over the last three years in resetting BT for the future and this change marks the next stage of driving this plan across BT. Product strategy, business transformation, data and AI, currently in Strategy and Transformation, will form part of the new Digital unit. Responsibility for corporate strategy moves to Simon Lowth, Chief Financial Officer.

Chief Executive Philip Jansen said: "This is more than a leadership announcement, it's an important statement of intent. 2020 saw a number of major BT innovations enter the marketplace but there's opportunity to go much further. The creation of BT Digital will enable us to focus on the areas where we can have the greatest impact, delivering digital platforms that bring together best-in-class services for our customers, and fully embracing new technologies such as AI and machine learning. This is bigger than just BT; it's about building partnerships with other leading innovators to expand into new areas and bring the benefits of top-notch digital services to customers, including enhanced converged fixed and mobile services, tools that guard against cyber-attacks, and connected care applications to help families look after elderly or vulnerable loved ones even if they're geographically remote. These changes will help us take these ideas to market fast and at scale, accelerating our digital and business transformation programmes already underway, and I'm delighted to welcome Harmeen to BT at this exciting time. I'd also like to thank Mike for his leadership and contribution to BT, we wish him well for the future."

Harmeen Mehta added: "BT is an institution with deep roots and a rich and fabulous past of serving customers and multinationals in the UK and globally. I am really excited to be part of the future of BT as we build a customer centric digital organisation bringing new products and services to delight our customers and create new opportunities of digital growth in the business. There never has been a more interesting time to play such a meaningful role in the lives of our customers and I'm excited to play such a key role in delivering the exciting ambition that Philip and his team have set out."

Harmeen joins BT on 1 March 2021.

END

About BT

BT Group is the UK's leading telecommunications and network provider and a leading provider of global communications services and solutions, serving customers in 180 countries. Its principal activities in the UK include the provision of fixed voice, mobile, broadband and TV (including Sport) and a range of products and services over converged fixed and mobile networks to consumer, business and public sector customers. For its global customers, BT provides managed services, security and network and IT infrastructure services to support their operations all over the world. BT consists of four customer-facing units: Consumer, Enterprise, Global and its wholly-owned subsidiary, Openreach, which provides access network services to over 650 communications provider customers who sell phone, broadband and Ethernet services to homes and businesses across the UK.

For the year ended 31 March 2020, BT Group's reported revenue was £22,905m with reported profit before taxation of £2,353m.

British Telecommunications plc is a wholly-owned subsidiary of BT Group plc and encompasses virtually all businesses and assets of the BT Group. BT Group plc is listed on the London Stock Exchange.

For more information, visit www.bt.com/about