Comcast is preparing layoffs as part of a broad overhaul of its core connectivity operations, with the company planning to record a $1 billion charge in the current fourth quarter.

Executives disclosed the charge during Comcast’s third-quarter earnings call. The restructuring covers the company’s broadband, pay-TV and wireless businesses as it responds to broadband subscriber losses, continued cord-cutting and intensifying competition.

Chief Financial Officer Jason Armstrong told analysts that Comcast is changing both its leadership approach and internal structure.

“We are fundamentally redesigning our organization,” Armstrong said. “We’ve already made important leadership changes across customer experience, growth, and marketing. We’re simplifying our organizational structure to move faster, improve execution, and operate more efficiently.”

The company did not provide details about the number of positions expected to be eliminated or the specific timing of the layoffs. The cuts are not expected to affect NBCUniversal, which is set to be separated into a new stand-alone public company. That transaction remains on track for completion by mid-2027.

Comcast Frames Overhaul as a Transformation

Armstrong described the wider restructuring of Comcast’s non-NBCUniversal operations as a “transformation exercise.” He said the planned cost actions are intended to give the business a fast start in 2027.

Executives do not view the plan simply as a cost-cutting program, according to Armstrong. Instead, he said the goal is to simplify the company so it can move more quickly and become more nimble in its decision-making.

Comcast had already made senior leadership changes within the business. Steve Croney was elevated to CEO of Connectivity & Platforms, while former Expedia and Apple executive Jon Gieselman was named chief growth officer for the domestic residential operations within the segment.

Connectivity & Platforms has concentrated on customer service as well as flexible packages and a wider range of price points designed to attract consumers. Although executives indicated that the business is making progress, its third-quarter revenue declined 2.6% to $19.7 billion.

Ongoing broadband subscriber losses contributed to that decrease. Growth in Wireless and Business Services partially offset the pressure.

AI, Cord-Cutting and New Competition

Comcast’s reorganization is unfolding as traditional pay-TV continues to lose customers and the competitive landscape for broadband providers evolves. Starlink received only a brief mention on the earnings call, but executives acknowledged the need to prepare for emerging challengers even if satellite service is not currently having a material impact on Comcast’s business.

“While satellite is not yet a material factor, we recognize the importance of anticipating emerging forms of competition and positioning our business to respond as the market evolves,” co-CEO Mike Cavanagh said.

Comcast is also using agentic artificial intelligence tools to streamline customer service. Armstrong said the company has reduced customer service contact rates by approximately 20% and eliminated more than 30 million service interactions year to date compared with the previous year.

“As personal AI agents reshape how consumers discover, purchase, and manage services, we’re positioning Comcast to capitalize on that shift,” he said.

Investors responded positively to the quarterly results, sending Comcast shares up 4% in late-day trading Thursday. Even with that increase, the stock remained down 18% for 2026 to date. Shares of rival Charter Communications had fallen 46%, reflecting broader uneasiness around broadband providers amid competition from telecommunications companies.

NBCUniversal Split Moves Forward

Co-CEOs Cavanagh and Brian Roberts also addressed the pending separation of NBCUniversal during the earnings call. Roberts pointed to employees’ “energy and excitement” surrounding the transaction.

Cavanagh, a former banker with significant mergers-and-acquisitions experience, is expected to lead the new public company as CEO. He is also expected to examine a number of potential options for the business after the split.

ShowBiz Take

The $1 billion fourth-quarter charge puts a concrete price on Comcast’s attempt to reshape its connectivity business. The planned layoffs are only one part of a wider strategy that includes management changes, simpler decision-making, expanded pricing options and greater use of AI in customer service.

The timing is particularly important because Comcast is managing two major transitions at once: an operational redesign of broadband, pay-TV and wireless, and the planned separation of NBCUniversal. The company’s third-quarter revenue decline and broadband subscriber losses show why executives are pressing for faster execution, even as Wireless and Business Services provide some offsetting growth.

What Happens Next?

Comcast is expected to record the $1 billion charge during the fourth quarter, but the size and schedule of the associated layoffs have not been specified. Attention will also remain on whether the connectivity overhaul can stabilize performance heading into 2027, while the NBCUniversal separation proceeds toward its targeted mid-2027 completion.