December 31, 2009

AT&T To FCC: No More Landlines!

In a 32-page filing with the FCC last week, AT&T asked that the requirement that it support a landline network be repealed, allowing them to move entirely to VoIP.

This could be troublesome for the 1 in 5 Americans who don't use a cell phone or VOIP line, and still use the old fashioned landline.

However, AT&T is claiming that the cost of maintaining a landline network is hurting their business.

AT&T said, "The business model for legacy phone services is in a death spiral. With an outdated product, falling revenues, and rising costs, the plain-old telephone service (POTS) business is unsustainable for the long run."

AT&T says that 18 million Americans use VOIP phone service, and that by the end of next year, 24 million will use VoIP powered phone service.

So far, the FCC has been reluctant to mess with any sort of landline regulations, but AT&T is a political giant that spends millions on political lobbyists every year.

AT&T said over 700,000 landlines are being cut every month.


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