Despite the massive shift to VOIP over the last 20 years or so, Plain Old Telephone Service (aka “POTS”) delivered over copper lines continues to serve a purpose in enterprise telecommunications. As of last year, the FCC estimated that there were still more than 40 million POTS lines in use within the United States alone.
The continued use of POTS lines is driven by a number of factors:
However, the POTS line market continues to shrink (from a high of more than 120 million lines). As such, most carriers no longer want to offer such services, preferring instead to focus on VoIP or wireless communications. Recent deregulation in the US, along with retirement mandates in Europe, are either increasing the cost of POTS lines or raising the prospect of full decommissioning. As reported earlier this year by CNN, AT&T has applied to the California Public Utilities Commission to allow it decommission its remaining POTS lines, currently serving almost 600,000 residential and business customers. None of this is new. Previous NoJitter posts by Aaron Storeman and Phil Edholm in 2022 raised the alarms for telecommunications managers and encouraged proactive action to prepare for rising costs, and to evaluate alternative approaches. Still, large numbers of POTS lines remain in use as telecom managers haven’t found suitable alternatives, are comfortable paying the rising cost, or haven’t taken the time to develop a POTS migration strategy.
Alternatives to POTS come in many forms. These options include, but are not limited to:
Vendors and service providers including Alianza, Lumen, Ooma, and RingCentral have delivered a new option: Wireless POTS line replacement services.
These typically provide customers with a device to be installed on the premises. The device will, at a minimum, include both an analog port to connect to the legacy endpoint and wireless connectivity across LTE or 5G data networks. It may also support wired and/or wireless Ethernet connectivity. An included battery provides long survivability in the event of a power outage. Devices may either integrate the legacy analog endpoint with the provider’s VOIP service, or may function in a stand-alone fashion supporting on-demand callout when necessary (e.g. for an alarm system). Devices designed for critical use will usually support appropriate fire and life-safety resiliency standards (e.g., NFPA 72 and UL 864). Pricing varies but typically starts with a base monthly fee ($70 in the case of RingCentral’s offering), potentially with a per-call fee as well.
Those with existing POTS line services today should take an aggressive approach to phasing them out given the shrinking availability and rising cost of existing POTS offerings. New wireless options provide additional choice, though some endpoints may be supported through simple ATAs, or by replacing dedicated fax with eFax.
About Metrigy: Metrigy is an innovative research and advisory firm focusing on the rapidly changing areas of workplace collaboration, digital workplace, digital transformation, customer experience and employee experience—along with several related technologies. Metrigy delivers strategic guidance and informative content, backed by primary research metrics and analysis, for technology providers and enterprise organizations
