The Federal Communications Commission (FCC) has authorized AT&T to begin phasing out its traditional landline service for more than 184,000 households in California, a transition slated to commence on June 1, 2027. This decision follows AT&T's nearly three-year effort to be released from its Carrier of Last Resort (COLR) obligations, which mandate the provision of basic telephone service to all customers regardless of location or income.
AT&T stated that only about 3% of its California customers currently use traditional phone service and that the company plans a year-long approach to move these customers to alternative, more reliable services. The telecommunications giant also committed to investing $19 billion in California through 2030 to enhance network infrastructure and upgrade services as the state transitions away from aging copper networks.
The California Public Utilities Commission (CPUC) had previously rejected AT&T's request to abandon its landline obligations in 2023. The company subsequently sponsored, but failed to pass, California Assembly Bill 470, which would have relieved it of the COLR status.
After its request was denied by California state regulators, AT&T pursued a federal route, filing a lawsuit against the state and submitting applications to the FCC in May. While the FCC's decision represents a victory for AT&T, the company still faces a lawsuit filed by the CPUC in June and additional pending applications.
According to the Rural County Representatives of California, the notices being sent to AT&T customers may be misleading, as the company still has obligations to provide basic telephone service upon request, despite the FCC's approval for discontinuation.
