T-Mobile (TMUS) will soon be under new leadership, and the company is quietly planning to implement drastic changes for customers as it becomes a “digital-first” company.

Last week, T-Mobile revealed that it is replacing CEO Mike Sievert with its current chief operating officer, Srini Gopalan, effective Nov. 1.

“One fact has become crystal clear: Srini is ready to lead,” said Sievert in a press release. “He is highly skilled, passionate and incredibly knowledgeable, and above all he is obsessed with taking our employee and customer experience to the next level. I have full trust and confidence in his vision for T-Mobile, and the Un-carrier’s ability to innovate to an even greater extent under his leadership.”

When Gopalan takes over as CEO, Sievert will move on to the newly created role of company vice chair.

“The company has gone to pains over the last few months to emphasize that Srini remains focused on being an industry disruptor rather than an incumbent, and we expect them to continue to push that narrative,” wrote analysts at New Street Research in an analyst note.

T-Mobile makes bittersweet change to major policy customers love

As T-Mobile moves in a different direction with leadership, customers should brace themselves for major policy changes.

Recently, leaked documents, obtained by The Mobile Report, revealed that T-Mobile is making a big update to its device trade-in policy that some customers may either love or hate.

The document shows that starting in October, T-Mobile plans to accept damaged or broken devices as trade-ins.

The phone carrier has previously accepted damaged devices toward promos, but usually only for low-end 5G phones. In December last year, it also ran an iPhone 16 and Galaxy S24 deal, where damaged devices were eligible for the full value on T-Mobile’s premium plans.

However, this new trade-in policy comes with a couple of catches. As expected, damaged devices will have a reduced trade-in value compared to undamaged ones.

Specifically, devices with broken screens or water damage will get 50% of the value they would if they were in good condition. Devices that are completely non-functional or have Find My enabled will not receive any value.

The payouts from the trade-ins are also divided into two different tiers. T-Mobile customers on the Experience Beyond plan will be categorized under Tier 1, receiving the highest trade-in payout. 

Customers under the Experience More plan will be under Tier 2, receiving half of the payout value that those in Tier 1 receive.

Related: T-Mobile plans a harsh change for customers after new CEO starts

Devices not explicitly listed as eligible may also qualify for a trade-in. However, T-Mobile will decide whether an unlisted device counts towards a trade-in by evaluating its trade-in value.

In addition, it is vital to note that damaged devices that are traded in will only qualify if they’ve previously been used on the T-Mobile network for at least 30 days within the last 12 months. The document notes that this rule will help prevent fraud.

To help jumpstart its trade-in policy change, T-Mobile is introducing two new promotions starting Oct. 2 that will accept damaged device trade-ins. Under the promotions, Google Pixel and Motorola flagships will qualify for $1,000 off with an eligible trade-in, if the device is in good condition. For damaged devices, the discount will be up to $500.

The move from T-Mobile comes after leaked documents shared on Reddit last week revealed that the phone carrier plans to make customers 100% dependent on its T-Life app to handle upgrades, new lines, account activations, etc., by January next year.

T-Mobile recently lost a chunk of its loyal customers

As T-Mobile plans significant policy changes, the phone carrier is battling a fleeing customer problem.

In its second-quarter earnings report for 2025, T-Mobile revealed that while it welcomed 830,000 new postpaid phone customers during the quarter, its postpaid phone churn (the number of customers who cut their phone service) increased by 10 basis points year-over-year.

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The steep loss comes after T-Mobile gradually increased prices for its older phone plans over the past year, angering customers. It has also battled increased competition from cable companies that offer discounted phone services through bundled TV and internet plans.

During an earnings call on July 23, Sievert flagged that T-Mobile is navigating a “highly competitive environment” where competitors are unveiling “unprecedented device promotions.” Gopalan said the company is focusing on evolving its promotions to keep customers away from rivals.

“This is a market where the dynamics of competition changes and evolves,” said Gopalan. “So we go through periods where the focus is on rate plans. Currently, we’re in a period where the focus is on device promotions.”

Related: Verizon angers customers with new tactic to boost loyalty