The Big Switch Off is almost here: Is your business ready?

Incase you have been hiding under a rock for the past 7 years and haven’t heard, the Public Switched Telephone Network (PSTN) switch off is happening next year. 2025 may have seemed far away a couple of years ago when the original announcement was made, but it's creeping up closer than you think. Recent research has shown that over half of businesses are unaware of the PSTN switch off that is happening next year, and even less so how it’s going to affect them!

Telecommunications is about to experience some big changes - that's because major phone carriers like BT have announced plans to retire their old copper landline phone networks, commonly known as the Public Switched Telephone Network (PSTN), by 2027. The big switch off is not only happening in the UK, but across the world, with BT stating that Germany, Japan, and Sweden are ahead of us in making the shift. Estonia and The Netherlands have already go ahead of the curve and switched off their PSTN networks.

BT Openreach initiated a national stop-sell of the Public Switched Telephone Network (PSTN) as of the 5th September 2023, a significant step in the transition to newer, voice hosted technologies. This marked the beginning of the phase-out process, with the full PSTN switch-off scheduled for next year. 

This network switch off will impact all businesses still using traditional landline phone services. Once the PSTN networks shut down, any phones not upgraded to newer Voice over Internet Protocol (VoIP) systems will stop working. That's why it's critical for business leaders to start planning for this transition now. And not only does this just affect your business telephone systems – everything that currently relies on the old PSTN and ISDN networks will need replacing – we’re talking things like alarms, door entry systems, CCTV etc. 

CAN Solutions PSTN switch off timeline

Why is the PSTN Being Switched Off?

Telecom companies see major advantages to shifting all voice communications over to digital VoIP networks. Maintaining two separate network infrastructures is inefficient when internet protocol networks are more than capable of handling phone calls alongside data. VoIP systems also provide features that traditional phone lines lack, like advanced call routing, integrated voicemail, conference calling, call monitoring, and more.

It is interesting to note that the Industry, not Ofcom or the UK Government, has made the decision to close the PSTN. Telecoms providers across the globe are investing in new, more robust systems and networks in order to future proof their offering. They need to switch customers from the old PSTN lines to digital technology called Voice Over Internet Protocol (VoIP). You might also see this referred to as ‘digital phone’ or ‘digital voice’. VoIP systems also provide features that traditional phone lines lack, like advanced call routing, integrated voicemail, conference calling, call monitoring, and more.

Additionally, the copper wiring of Public Switched Telephone Networks is becoming increasingly difficult for providers to service and maintain. Switching to VoIP telephone service avoids expensive upkeep costs since it uses the same fibre optic cables as modern internet connections. This means less wiring into buildings and less infrastructure requirements for future installations.

As part of the upgrades in the UK, BT Openreach is currently busy rolling out the full fibre network (fibre to the premises or FTTP) in phases across the country. Find out more about FTTP here.

So is IP better than PSTN?

Yes. The demands on 20th century instant communication is proving hard for the PTSN network. As more and more people switch to mobile and internet communications, using the IP network to support all communications within one robust infrastructure is not only more affordable but more future proof as well.

How Businesses Should Prepare

To avoid any disruption when PSTN networks power down, businesses should begin upgrading their communication systems well before 2025. That gives IT teams plenty of time to research options, test new VoIP systems, and make sure all hardware and software is installed properly across the company.

The good news is that today's VoIP systems are feature-rich while being cost effective - especially since no expensive on-site PBX hardware is required. Cloud-hosted VoIP phone service often gives businesses more flexibility to scale up or down as needs change too – not to mention the ease of use and multiple apps created to suit your business.

For larger companies, working with a specialised VoIP integration provider is advised to ensure correct implementation and a smooth transition. But affordable, easy to self-manage systems are available from vendors such as Yeastar. Check out our VoIP solution, scalable to any business size and requirement.

The countdown for Public Switched Telephone Network retirement begins now. Act sooner rather than later to dodge any headaches from this massive telecommunication industry shift coming in 2025. Reach out to our expert business team now if you have any questions while assessing VoIP upgrade options for your business.