Last year, we warned of the retirement of plain old telephone service (POTS), a process put in place by the Federal Communications Commission (FCC) with the goal of alleviating the pressure on telcos to maintain these old, antiquated communication lines.
To help your business stay ahead of the looming POTS end, SpyGlass is keeping you informed by answering key questions to help prepare for the sunsetting of analog services.
Q: What’s the update on the behind-the-scenes end of POTS?
A: The end of POTS is a true step in digital transformation for many businesses, yet it’s rarely discussed in mainstream media.
It will impact your business model — no matter how quietly the changes move, you must take action.
The FCC states 41 million POTS lines are still operating across the U.S. These lines represent a huge number of businesses and consumers who will face a significant change in their ability to communicate sooner or later. The FCC is not requiring but encouraging the move to alternative communication tools, and some telcos have eliminated services, but not all.
Q: Is it true POTS costs have risen, often behind a company’s back?
A: The simple answer is yes.
From 2020 to 2021, the rates charged to businesses using POTS lines grew by about 36%, according to the Bureau of Labor. That means many companies still using these lines are paying drastically high rates for a service they think is standard. In fact, some enterprises have already seen rates on a single line increase to over $1,000, and several reported new lines costing as high as $1,300 per line.
One of the biggest costs of analog phones is maintaining the lines and phones themselves. Because you cannot add more sophisticated phones or additional lines to an analog trunk, a business that relies on POTS will also have to depend on services to replace old lines and other equipment.
What business can afford to continue blindly using POTS?
Start a SnapShot Audit today to find out how to start saving on
your current POTS lines.
Q: Is there a way to save on current analog services?
A: Possibly, but the best way to save is to invest in the future.
One way to save today on POTS lines is to get visibility into your technology billing. Knowing what to look for takes years of experience and industry expertise — two traits SpyGlass is known for. And to keep getting answers to your billing questions after a SnapShot Audit, SpyCare™ combines cloud software, access to our experts and help desk, valuable market data, and annual optimization in a single managed service to prevent overspend in month one, instead of months or years.
Speaking of preparing for the future, businesses need to invest in new technology and infrastructure to meet the end of POTS changes. Many companies are transitioning from on-premise-based telecommunications to more versatile hosted or cloud based telecommunications. Both systems are internet-based, providing a higher quality of voice-over-internet protocols (VoIP) while keeping costs down for the long term. The benefits of moving toward the hosted-based telecommunications technology, range from cost, installation, maintenance, and even disaster recovery.
Q: How can a business transition cost-effectively for a future without POTS?
A: Businesses have options for alleviating the end of POTS financial burden without a drastic change in operations or high implementation costs.
The most effective solution is a move to VoIP service, which typically has lower costs, better reliability, and an easy-to-scale model that will save you time and money. Here’s where to start:
#1: Determine if your IT communications system is vulnerable
Businesses don’t want to consider vulnerability in this day and age. To be proactive, knowing how much your communication systems are tied to POTS use is critical.
Examine all communication lines within your organization. Aside from the standard options, consider alarm systems, fax machines and scanners, elevator systems, emergency call boxes, and any other system utilizing copper lines.
#2: Research the options
VoIP services are not only more feature-packed and robust than ever (and, let’s not forget, easy to use), but there are numerous providers. With more providers comes lots of competition to keep costs low. Your first step is to find out what your options are.
#3: Find out what you’re spending
At SpyGlass, we provide insight into what you’re paying for technology services (even if you don’t know it). Getting a holistic view of your telecom services picture is one of the most important steps to take due to soaring costs related to POTS. We want you to start saving immediately, and a SnapShot Audit can give you that information right away.
Within just a month, or less, SpyGlass TEM specialists pair proprietary technology spend analytics and sophisticated software with hands-on analysis to help clients manage the human side of business forecasting to alleviate overspending on tech services.
Let’s start here. Reach out to SpyGlass now to set up an updated SnapShot Audit. Let us research your vulnerability and cost-saving opportunities in POTS but also in all of your IT infrastructure. Put that money towards your profits instead.