Close Menu
TechCentralTechCentral

    Subscribe to the newsletter

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    Facebook X (Twitter) YouTube LinkedIn
    WhatsApp Facebook X (Twitter) LinkedIn YouTube
    TechCentralTechCentral
    • News
      Icasa told to align on BEE in move that will favour Starlink - Solly Malatsi

      Icasa told to align on BEE in move that will favour Starlink

      12 December 2025
      South African solar industry faces a reality check

      South African solar industry faces a reality check

      12 December 2025
      OpenAI launches GPT-5.2 after 'code red' push to counter Google. Shelby Tauber/Reuters

      OpenAI launches GPT-5.2 after ‘code red’ push to counter Google

      12 December 2025

      A leaner BCX positions itself as market consolidator

      11 December 2025
      Australia has banned kids from social media. Should South Africa follow suit?

      Australia has banned kids from social media. Should South Africa follow suit?

      11 December 2025
    • World
      Oracle’s AI ambitions face scrutiny on earnings miss

      Oracle’s AI ambitions face scrutiny on earnings miss

      11 December 2025
      China will get Nvidia H200 chips - but not without paying Washington first

      China will get Nvidia H200 chips – but not without paying Washington first

      9 December 2025
      IBM reportedly close to $11-billion deal to buy Confluent - Arvind Krishna

      IBM reportedly close to $11-billion deal to buy Confluent

      8 December 2025
      Amazon and Google launch multi-cloud service for faster connectivity

      Amazon and Google launch multi-cloud service for faster connectivity

      1 December 2025
      Google makes final court plea to stop US breakup

      Google makes final court plea to stop US breakup

      21 November 2025
    • In-depth
      Black Friday goes digital in South Africa as online spending surges to record high

      Black Friday goes digital in South Africa as online spending surges to record high

      4 December 2025
      Canal+ plays hardball - and DStv viewers feel the pain

      Canal+ plays hardball – and DStv viewers feel the pain

      3 December 2025
      Jensen Huang Nvidia

      So, will China really win the AI race?

      14 November 2025
      Valve's Linux console takes aim at Microsoft's gaming empire

      Valve’s Linux console takes aim at Microsoft’s gaming empire

      13 November 2025
      iOCO's extraordinary comeback plan - Rhys Summerton

      iOCO’s extraordinary comeback plan

      28 October 2025
    • TCS
      TCS+ | Africa's digital transformation - unlocking AI through cloud and culture - Cliff de Wit Accelera Digital Group

      TCS+ | Cloud without culture won’t deliver AI: Accelera’s Cliff de Wit

      12 December 2025
      TCS+ | How Cloud on Demand helps partners thrive in the AWS ecosystem - Odwa Ndyaluvane and Xenia Rhode

      TCS+ | How Cloud On Demand helps partners thrive in the AWS ecosystem

      4 December 2025
      TCS | MTN Group CEO Ralph Mupita on competition, AI and the future of mobile

      TCS | Ralph Mupita on competition, AI and the future of mobile

      28 November 2025
      TCS | Dominic Cull on fixing South Africa's ICT policy bottlenecks

      TCS | Dominic Cull on fixing South Africa’s ICT policy bottlenecks

      21 November 2025
      TCS | BMW CEO Peter van Binsbergen on the future of South Africa's automotive industry

      TCS | BMW CEO Peter van Binsbergen on the future of South Africa’s automotive industry

      6 November 2025
    • Opinion
      Netflix, Warner Bros deal raises fresh headaches for MultiChoice - Duncan McLeod

      Netflix, Warner Bros deal raises fresh headaches for MultiChoice

      5 December 2025
      BIN scans, DDoS and the next cybercrime wave hitting South Africa's banks - Entersekt Gerhard Oosthuizen

      BIN scans, DDoS and the next cybercrime wave hitting South Africa’s banks

      3 December 2025
      Your data, your hardware: the DIY AI revolution is coming - Duncan McLeod

      Your data, your hardware: the DIY AI revolution is coming

      20 November 2025
      Zero Carbon Charge founder Joubert Roux

      The energy revolution South Africa can’t afford to miss

      20 November 2025
      It's time for a new approach to government IT spend in South Africa - Richard Firth

      It’s time for a new approach to government IT spend in South Africa

      19 November 2025
    • Company Hubs
      • Africa Data Centres
      • AfriGIS
      • Altron Digital Business
      • Altron Document Solutions
      • Altron Group
      • Arctic Wolf
      • AvertITD
      • Braintree
      • CallMiner
      • CambriLearn
      • CYBER1 Solutions
      • Digicloud Africa
      • Digimune
      • Domains.co.za
      • ESET
      • Euphoria Telecom
      • Incredible Business
      • iONLINE
      • IQbusiness
      • Iris Network Systems
      • LSD Open
      • NEC XON
      • Netstar
      • Network Platforms
      • Next DLP
      • Ovations
      • Paracon
      • Paratus
      • Q-KON
      • SevenC
      • SkyWire
      • Solid8 Technologies
      • Telit Cinterion
      • Tenable
      • Vertiv
      • Videri Digital
      • Vodacom Business
      • Wipro
      • Workday
      • XLink
    • Sections
      • AI and machine learning
      • Banking
      • Broadcasting and Media
      • Cloud services
      • Contact centres and CX
      • Cryptocurrencies
      • Education and skills
      • Electronics and hardware
      • Energy and sustainability
      • Enterprise software
      • Financial services
      • Information security
      • Internet and connectivity
      • Internet of Things
      • Investment
      • IT services
      • Lifestyle
      • Motoring
      • Public sector
      • Retail and e-commerce
      • Satellite communications
      • Science
      • SMEs and start-ups
      • Social media
      • Talent and leadership
      • Telecoms
    • Events
    • Advertise
    TechCentralTechCentral
    Home » In-depth » Why BT wants rid of its telephone network

    Why BT wants rid of its telephone network

    By Duncan McLeod5 July 2015
    Twitter LinkedIn Facebook WhatsApp Email Telegram Copy Link
    News Alerts
    WhatsApp

    bt-640

    As the UK’s telecommunications regulator Ofcom embarks on its next strategic review of the market, incumbent fixed-line operator BT — Britain’s equivalent of Telkom — has called for it to be allowed to close down its telephone network. Perhaps somewhat counterintuitively, this actually makes sense.

    As Ofcom’s studies confirm that landline and mobile telephone call use continues to fall, telecoms companies have faced mounting pressures to find other ways of making money.

    BT, like many others, has sought to diversify by offering so-called “quad play” packages, common in the US, which bundle together telephone, broadband, mobile and television services. So it could be said that BT is as much a television company as it is telephone company these days. The world has moved on, and BT with it.

    However, BT and KCOM Group (formerly Kingston Communications, serving Hull, a town in the north of England) are alone within the industry as they are designated by the UK’s Communications Act 2003 as “universal service providers”. This means that both companies must provide basic telephone services on request and at the same price to all customers throughout their areas of influence.

    In the 12 years since, the world has changed dramatically: in 2003 people were starting to switch their Internet access from dial-up modems to the new, speedier connection called “broadband”. The UK’s first, relatively primitive 3G mobile phone network opened, the Freeview digital television service turned one year old, and BBC iPlayer was still many years in the future.

    Today, in 2015, the Internet is everything; the average UK adult now spends more time per day interacting with connected digital technology than sleeping, and the average household has at least three Internet-connected devices.

    BT’s argument is that the future is not telephones but digital services over the Internet. BT has an entire network built to handle the telephone calls of the last century (and the century before that) — the so-called “plain old telephone system” (Pots). The rest of its network is a modern telecoms network that’s digital right up to the cable that connects the exchange to the home, which carries both voice and data signals. Today, telephony is just another service that can be delivered over the Internet — why do we need a large and expensive network dedicated to offering telephone services?

    The answer is we don’t. Telephone services can be provided in what’s called an “over the top” service running on a data network. The mobile industry has already recognised this and re-designed its networks accordingly. While first-generation, 2G and 3G networks provided both voice and data, today’s fast 4G networks are data only. Voice calls are just another form of network traffic like Web browsing, social media or streaming video.

    BT (or more accurately its arms-length Openreach division which provides the infrastructure), argues that it wants to do the same, but its hands are tied by the legally-binding requirements of the “universal service” clause of the Communications Act.

    Out with the old...
    Out with the old…

    However, we need to be very careful here with our terminology. According to Ofcom, 16% of UK adults now live in a mobile-only household. This means those people rely solely on their mobile phones for making telephone calls and don’t have a landline telephone. Does this mean Openreach has removed their telephone line? No, because that same line is what provides broadband services to our homes — you can have a telephone line without connecting a telephone to it.

    BT’s argument is that today the concept of a universal service has become a millstone around its neck that forces it to maintain a large and outdated telephone network at great cost to support telephone exchanges that fewer and fewer people use.

    Despite the growing trend that sees people using apps such as Skype, Viber or WhatsApp to communicate through the Internet, the companies responsible have no requirement upon them to build or maintain their own networks — they rely on those provided by telecoms firms. Why should BT be lumbered with offering a basic telephone service to all, when the same thing can be achieved via broadband? Scrapping its network that is solely responsible for providing a telephone service would allow BT to re-invest in the further development of its broadband and Internet provision and so compete more freely with other over-the-top providers.

    There is of course an obvious caveat to all of this: the concept of universal service is to ensure that every household has access to basic telephone services. This remains an important and worthy obligation, it’s just that there are now other ways of achieving it. That’s the point that Ofcom really needs to grasp: scrapping the telephone network does not mean scrapping the telephone.The Conversation

    • Nigel Linge is professor, computer networking and telecoms at the University of Salford
    • This article was originally published on The Conversation


    BT BT Group Nigel Linge Ofcom Telkom
    Subscribe to TechCentral Subscribe to TechCentral
    Share. Facebook Twitter LinkedIn WhatsApp Telegram Email Copy Link
    Previous ArticleFarroukh ready to quit MTN: report
    Next Article Neotel deal lights fuse under SA telecoms

    Related Posts

    A leaner BCX positions itself as market consolidator

    11 December 2025
    Vodacom follows MTN with post-paid price hikes

    Vodacom follows MTN with post-paid price hikes

    11 December 2025
    Why MTN still won't rule out a deal with Telkom - Ralph Mupita

    Why MTN still won’t rule out a deal with Telkom

    26 November 2025
    Company News
    When the physical world goes online: the new front line of cyber risk - Snode Technologies

    When the physical world goes online: the new front line of cyber risk

    12 December 2025
    Endless possibilities with Adapt IT Telecoms' unified VAS platform - Matthew Seabrook

    Endless possibilities with Adapt IT Telecoms’ unified VAS platform

    11 December 2025
    Securing IoT connectivity: how MSB Micro Systems keeps devices in check

    Securing IoT connectivity: how MSB Micro Systems keeps devices in check

    11 December 2025
    Opinion
    Netflix, Warner Bros deal raises fresh headaches for MultiChoice - Duncan McLeod

    Netflix, Warner Bros deal raises fresh headaches for MultiChoice

    5 December 2025
    BIN scans, DDoS and the next cybercrime wave hitting South Africa's banks - Entersekt Gerhard Oosthuizen

    BIN scans, DDoS and the next cybercrime wave hitting South Africa’s banks

    3 December 2025
    Your data, your hardware: the DIY AI revolution is coming - Duncan McLeod

    Your data, your hardware: the DIY AI revolution is coming

    20 November 2025

    Subscribe to Updates

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    Latest Posts
    Icasa told to align on BEE in move that will favour Starlink - Solly Malatsi

    Icasa told to align on BEE in move that will favour Starlink

    12 December 2025
    South African solar industry faces a reality check

    South African solar industry faces a reality check

    12 December 2025
    TCS+ | Africa's digital transformation - unlocking AI through cloud and culture - Cliff de Wit Accelera Digital Group

    TCS+ | Cloud without culture won’t deliver AI: Accelera’s Cliff de Wit

    12 December 2025
    OpenAI launches GPT-5.2 after 'code red' push to counter Google. Shelby Tauber/Reuters

    OpenAI launches GPT-5.2 after ‘code red’ push to counter Google

    12 December 2025
    © 2009 - 2025 NewsCentral Media
    • Cookie policy (ZA)
    • TechCentral – privacy and Popia

    Type above and press Enter to search. Press Esc to cancel.

    Manage consent

    TechCentral uses cookies to enhance its offerings. Consenting to these technologies allows us to serve you better. Not consenting or withdrawing consent may adversely affect certain features and functions of the website.

    Functional Always active
    The technical storage or access is strictly necessary for the legitimate purpose of enabling the use of a specific service explicitly requested by the subscriber or user, or for the sole purpose of carrying out the transmission of a communication over an electronic communications network.
    Preferences
    The technical storage or access is necessary for the legitimate purpose of storing preferences that are not requested by the subscriber or user.
    Statistics
    The technical storage or access that is used exclusively for statistical purposes. The technical storage or access that is used exclusively for anonymous statistical purposes. Without a subpoena, voluntary compliance on the part of your Internet Service Provider, or additional records from a third party, information stored or retrieved for this purpose alone cannot usually be used to identify you.
    Marketing
    The technical storage or access is required to create user profiles to send advertising, or to track the user on a website or across several websites for similar marketing purposes.
    • Manage options
    • Manage services
    • Manage {vendor_count} vendors
    • Read more about these purposes
    View preferences
    • {title}
    • {title}
    • {title}