The fact that POTS lines are on the decline is nothing new for most of us. The transition away from Plain Old Telephone Service (POTS) lines is driven by several factors, primarily the obsolescence of copper-based infrastructure and the rise of less expensive, higher capacity digital alternatives.
There are two things that might surprise you: (1) The rapidly increasing cost of copper-based POTS lines and (2) The elimination of most of the reasons we might think we still need them.
The Decline of Copper-Based POTS Lines
POTS lines, which rely on copper wiring, have been a staple in telecommunications for over 100 years. However, the maintenance of these copper facilities has become increasingly expensive and unsustainable for carriers. The Federal Communications Commission (FCC) has facilitated this transition by easing regulations, allowing carriers to retire copper infrastructure without the previous obligations to maintain it. As a result, major carriers like AT&T, Verizon, and CenturyLink are phasing out these lines, forcing customers to seek modern alternatives. Ten years ago there were close to 100 Million POTS lines in existence compared to an estimated 35 Million today and that number is shrinking really fast.
Cost and Reliability Concerns
- Rising Costs: The cost of maintaining copper lines is high, and these costs are transferred to customers. During several Billing Breakthrough™ assessments, LAM has discovered POTS lines billing as high as $1,000 per line (and more)!
- Declining Reliability: Copper lines are susceptible to environmental disruptions and require frequent repairs, leading to service interruptions.
Modern Alternatives and Their Benefits
With the decline of POTS lines, businesses are turning to digital solutions such as “POTS In A Box” and other internet-based and wireless communication delivery methods. These alternatives offer several advantages:
- Cost Savings: Switching from legacy POTS to digital solutions can reduce communication costs by 50% or more for equivalent services.
- Enhanced Features: Modern systems provide unified platforms that integrate voice, video, and messaging, improving productivity and user experience.
- Regulatory Compliance: Solutions like “POTS in a Box” ensure compliance with safety regulations for critical systems like fire alarms and elevator phones by using cellular or IP-based connectivity.
Misconceptions About POTS Necessity
Many believe copper-based POTS lines are still required for elevators and security alarm services. While POTS lines have traditionally been used for these purposes, modern alternatives can meet these needs very effectively:
- Elevators: Current codes allow for cellular or VoIP-based elevator phones, which can provide the necessary reliability without relying on copper lines.
- Security and Alarms: Digital solutions can offer reliable backup communication methods for fire and security alarms, ensuring compliance with safety standards.
Are you still paying for legacy copper POTS lines? Just Ask LAM about our Billing Breakthrough™ or our Infrastructure Insight™ assessment services to find If you still have POTS, how much you are paying for them, and what better alternatives may exist for you.