Lumen Is Positioning Itself to Be an AI Winner, but a Stretched Debt Balance Will Remain a Challenge

Lumen has transformed itself into a US enterprise-focused company through acquisitions and, more recently, divestitures. The firm has indicated that it plans to continue moving in this direction with plans to sell the remainder of its consumer-focused mass markets business. Lumen is positioned to benefit in an age of growing connectivity and artificial intelligence, but we think it will face intense competition along the way.