Gary Audin
Gary Audin is the President of Delphi, Inc. He has more than 40 years of computer, communications and security...
Read Full Bio >>

Gary Audin | September 23, 2008 |


The Slow Demise of the Land Line

The Slow Demise of the Land Line The Telco landline is slowly retiring. A Jupiter research report surveying landline decline for 2006 and 2007 has landlines declining at 1% to 1.7% each quarter. Is this a good thing?

The Telco landline is slowly retiring. A Jupiter research report surveying landline decline for 2006 and 2007 has landlines declining at 1% to 1.7% each quarter. Is this a good thing?

The Telco landline is slowly retiring. A Jupiter research report surveying landline decline for 2006 and 2007 has landlines declining at 1% to 1.7% each quarter. Is this a good thing?The Jupiter report found that 12% of the voice customers do not have a landline. Of this group, "nearly 2/3 of them are ages 18 to 34". Still, about 70% of voice customers have a landline even when they have cell phones. Further, 15% have voice service from a cable company and 3% have service from an ISP.

The actual number of landlines will be smaller with each decline and may start to level off in a few years. Will the landline completely disappear soon? No, there will be locations where the investment for cable or cell phone provisioning will be too expensive.

This is alarming to the traditional Telco fixed line provider. The report also found that 12% of the landline customers intend to replace their home voice service with cell phone service exclusively. As the customer base ages, the trend to cell service will increase, while the landline service will slowly decrease.

If you look at a map of the cell services in the U.S., you will see large territories with no cell service. The landline will continue to service these customers. The disadvantage to these remaining customers will be a lower revenue base for the Telcos that will still have support the landline services. The smaller the landline customer base, the higher the cost per customer. The Telcos will have to raise landline rates to acquire enough revenue to cover their costs. This will push more voice customers to look for cell service. The Telcos may then offer more landline packages with a fixed fee for all domestic calls. This will also raise the rates for the enterprise that needs to have landline access to the PSTN to retain the landline customers.

I think there are other factors that will also push the demise of the landline. The VoIP services from cable companies; Telcos like Verizon's FiOS voice service with TV and Internet access; and the ISP phone services will also push the landline to near extinction. The accelerating offering and use of SIP trunking for all sizes of enterprise and organization will further push down the use of traditional landlines. Recent announcements for SIP trunking from the Telcos offer 2 to 700 calls per SIP trunk. This makes SIP trunking available to the very small enterprise that is replacing their key system with IP based products.

What will we lose as the landline disappears? I for one expect the high availability of the PSTN for voice calls. The cell services still don't match it. I worry about 911 and E911 service being pervasive everywhere, which they are not today. I also want the consistent voice quality of the PSTN. Will the Telco revenue decrease also lead to poorer PSTN service quality and longer repair times? Probably.

A funny paradox is that when I speak on VoIP subjects for a webcast, I am instructed to not use a cell phone or VoIP service but must use a PSTN landline connection for the voice quality and reliability. The loss of the PSTN call will most likely lead to longer webcast recording times, for corrections, and more webcast editing.


April 25, 2018

Yesterdays simple phone call to a contact center or business location is rapidly becoming todays interactive session, spanning multiple channels and devices. If you need to know how Omnichannel can

March 7, 2018

Video collaboration is experiencing significant change and innovation-how can your enterprise take advantage? In this webinar, leading industry analyst Ira Weinstein will present detailed analysis

February 21, 2018

Business agility has become the strongest driver for enterprises to begin migrating their communications to the cloud-and its a benefit that enterprises are already realizing. To gain this benefit

March 12, 2018
An effective E-911 implementation doesn't just happen; it takes a solid strategy. Tune in for tips from IT expert Irwin Lazar, of Nemertes Research.
March 9, 2018
IT consultant Steve Leaden lays out the whys and how-tos of getting the green light for your convergence strategy.
March 7, 2018
In advance of his speech tech tutorial at EC18, communications analyst Jon Arnold explores what voice means in a post-PBX world.
February 28, 2018
Voice engagement isn't about a simple phone call any longer, but rather a conversational experience that crosses from one channel to the next, as Daniel Hong, a VP and research director with Forrester....
February 16, 2018
What trends and technologies should you be up on for your contact center? Sheila McGee-Smith, Contact Center & Customer Experience track chair for Enterprise Connect 2018, gives us the lowdown.
February 9, 2018
Melanie Turek, VP of connected work research at Frost & Sullivan, walks us through key components -- and sticking points -- of customer-oriented digital transformation projects.
February 2, 2018
UC consultant Marty Parker has crunched lots of numbers evaluating UC options; tune in for what he's learned and tips for your own analysis.
January 26, 2018
Don't miss out on the fun! Organizer Alan Quayle shares details of his pre-Enterprise Connect hackathon, TADHack-mini '18, showcasing programmable communications.
December 20, 2017
Kevin Kieller, partner with enableUC, provides advice on how to move forward with your Skype for Business and Teams deployments.
December 20, 2017
Zeus Kerravala, principal analyst with ZK Research, shares his perspective on artificial intelligence and the future of team collaboration.
December 20, 2017
Delanda Coleman, Microsoft senior marketing manager, explains the Teams vision and shares use case examples.
November 30, 2017
With a ruling on the FCC's proposed order to dismantle the Open Internet Order expected this month, communications technology attorney Martha Buyer walks us through what's at stake.
October 23, 2017
Wondering which Office 365 collaboration tool to use when? Get quick pointers from CBT Nuggets instructor Simona Millham.
September 22, 2017
In this podcast, we explore the future of work with Robert Brown, AVP of the Cognizant Center for the Future of Work, who helps us answer the question, "What do we do when machines do everything?"
September 8, 2017
Greg Collins, a technology analyst and strategist with Exact Ventures, delivers a status report on 5G implementation plans and tells enterprises why they shouldn't wait to move ahead on potential use ....
August 25, 2017
Find out what business considerations are driving the SIP trunking market today, and learn a bit about how satisfied enterprises are with their providers. We talk with John Malone, president of The Ea....
August 16, 2017
World Vision U.S. is finding lots of goodness in RingCentral's cloud communications service, but as Randy Boyd, infrastructure architect at the global humanitarian nonprofit, tells us, he and his team....
August 11, 2017
Alicia Gee, director of unified communications at Sutter Physician Services, oversees the technical team supporting a 1,000-agent contact center running on Genesys PureConnect. She catches us up on th....
August 4, 2017
Andrew Prokop, communications evangelist with Arrow Systems Integration, has lately been working on integrating enterprise communications into Internet of Things ecosystems. He shares examples and off....
July 27, 2017
Industry watcher Elka Popova, a Frost & Sullivan program director, shares her perspective on this acquisition, discussing Mitel's market positioning, why the move makes sense, and more.
July 14, 2017
Lantre Barr, founder and CEO of Blacc Spot Media, urges any enterprise that's been on the fence about integrating real-time communications into business workflows to jump off and get started. Tune and....
June 28, 2017
Communications expert Tsahi Levent-Levi, author of the popular blog, keeps a running tally and comprehensive overview of communications platform-as-a-service offerings in his "Choosing a W....
June 9, 2017
If you think telecom expense management applies to nothing more than business phone lines, think again. Hyoun Park, founder and principal investigator with technology advisory Amalgam Insights, tells ....
June 2, 2017
Enterprises strategizing on mobility today, including for internal collaboration, don't have the luxury of learning as they go. Tony Rizzo, enterprise mobility specialist with Blue Hill Research, expl....
May 24, 2017
Mark Winther, head of IDC's global telecom consulting practice, gives us his take on how CPaaS providers evolve beyond the basic building blocks and address maturing enterprise needs.
May 18, 2017
Diane Myers, senior research director at IHS Markit, walks us through her 2017 UC-as-a-service report... and shares what might be to come in 2018.
April 28, 2017
Change isn't easy, but it is necessary. Tune in for advice and perspective from Zeus Kerravala, co-author of a "Digital Transformation for Dummies" special edition.
April 20, 2017
Robin Gareiss, president of Nemertes Research, shares insight gleaned from the firm's 12th annual UCC Total Cost of Operations study.
March 23, 2017
Tim Banting, of Current Analysis, gives us a peek into what the next three years will bring in advance of his Enterprise Connect session exploring the question: Will there be a new model for enterpris....
March 15, 2017
Andrew Prokop, communications evangelist with Arrow Systems Integration, discusses the evolving role of the all-important session border controller.
March 9, 2017
Organizer Alan Quayle gives us the lowdown on programmable communications and all you need to know about participating in this pre-Enterprise Connect hackathon.
March 3, 2017
From protecting against new vulnerabilities to keeping security assessments up to date, security consultant Mark Collier shares tips on how best to protect your UC systems.
February 24, 2017
UC analyst Blair Pleasant sorts through the myriad cloud architectural models underlying UCaaS and CCaaS offerings, and explains why knowing the differences matter.
February 17, 2017
From the most basics of basics to the hidden gotchas, UC consultant Melissa Swartz helps demystify the complex world of SIP trunking.
February 7, 2017
UC&C consultant Kevin Kieller, a partner at enableUC, shares pointers for making the right architectural choices for your Skype for Business deployment.
February 1, 2017
Elka Popova, a Frost & Sullivan program director, shares a status report on the UCaaS market today and offers her perspective on what large enterprises need before committing to UC in the cloud.
January 26, 2017
Andrew Davis, co-founder of Wainhouse Research and chair of the Video track at Enterprise Connect 2017, sorts through the myriad cloud video service options and shares how to tell if your choice is en....
January 23, 2017
Sheila McGee-Smith, Contact Center/Customer Experience track chair for Enterprise Connect 2017, tells us what we need to know about the role cloud software is playing in contact centers today.