The impending switch-off of the Public Switched Telephone Network (PSTN) in 2025 represents a transformative shift in global telecommunications. For decades, the PSTN’s extensive network of copper cables has enabled reliable communication, enabling voice calls, emergency systems, and numerous non-voice services. However, as the world transitions to digital-first solutions, this change will have a profound impact, particularly in Asia, which boasts diverse technological landscapes and socio-economic challenges.
The PSTN, once a backbone of communication, has become increasingly outdated. Maintaining analogue infrastructure is costly, inefficient, and incompatible with modern telecommunications demands. While this transition heralds a new era of efficient and versatile connectivity, it is not limited to traditional voice calls. Many services reliant on the PSTN—such as alarm systems, lifts, and utility telemetry—must also migrate to new solutions. These industries now face the urgent task of finding secure, reliable replacements to meet their communication needs.
The PSTN switch-off will particularly influence Asia, a region characterized by a mix of advanced telecom markets and underserved rural areas. The transition to digital networks could drive innovation while also highlighting the need for inclusive solutions.
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Why Retire PSTNs?
The switch-off offers telecom operators the chance to realign their service portfolios and invest in innovative solutions. For instance, cloud-based communication platforms, IoT services, and unified communications are poised to gain traction. The migration opens the door for telecom providers to enhance customer offerings while optimizing operational efficiency.
In rural areas, the transition presents a unique opportunity to bridge the digital divide. Advanced technologies can enable connectivity in regions previously underserved by traditional PSTN infrastructure. Focusing on rural projects can amplify the socio-economic benefits of digital transformation, fostering growth in the education, healthcare, and agriculture sectors.
The shift away from PSTNs is not without its hurdles. Businesses and consumers reliant on legacy systems must undergo significant upgrades to adapt to the new infrastructure. This challenge is particularly acute in sectors like healthcare and security, where critical systems such as alarm panels and medical devices are often tied to PSTN lines. Additionally, many organizations are still unaware of the implications of the switch-off. This knowledge gap underscores the need for robust educational campaigns and support mechanisms to ensure a smooth transition.
In Asia, the PSTN switch-off will significantly impact key sectors like utilities and emergency services, presenting both challenges and opportunities. Vast, rural areas, which rely heavily on remote monitoring systems for utilities like water and energy, face the task of transitioning from PSTN-based telemetry systems to more advanced solutions. IoT-enabled sensors transmitting data via LTE-M (Long Term Evolution for Machines) offer a promising alternative, delivering real-time analytics, deep building penetration, and cost-efficient deployment, particularly for low-data applications in remote environments. Urban hubs such as Tokyo, Singapore, and Mumbai, with millions of elevators reliant on PSTNs for emergency communication, must also adapt to regulatory requirements for reliable emergency lines.
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Alternatives to PSTNs
Cellular Connectivity
Cellular connectivity, with its ‘always-on’ capabilities, provides an effective solution, supporting the secure 4G connections necessary for real-time CCTV monitoring and rapid emergency responses while reducing maintenance costs through remote diagnostics. Across industries, cellular networks are emerging as the optimal PSTN replacement due to their reliability, ensured by dual-SIM or roaming capabilities; security, strengthened by VPNs and encryption; and scalability.
VoIP
Voice over Internet Protocol (VoIP) technology, which enables calls over internet connections, continues to gain momentum globally due to its cost-effectiveness and compatibility with various devices, including computers, tablets, mobile phones, and desk phones. In 2021, leading telecom service provider, PCCW Global, partnered with premium VoIP communications provider, DIDWW, to expand SIP trunking service coverage across Europe and Asia. Similarly, Colt Technology Services introduced VoiceLINE(v) in Japan—a future-proof, VoIP-based ISDN telephony service.
ZTE has also entered the VoIP domain by launching its next-generation Public Cloud RCS solution. The platform supports advanced communication features such as instant messaging, video sharing, and group chats, while upgrading traditional call services to VoIP, showcasing the growing integration of internet-based telephony.
The Asia-Pacific fixed communications market is projected to grow through 2028, fueled by extensive fiber roll-out programs that encourage consumers to adopt VoIP services. However, the region faces a decline in fixed voice revenue as mobile and OTT (over-the-top) voice services continue to dominate. "Despite the increase in overall voice telephony access lines in the region, fixed voice revenue will continue to decline over the forecast period," noted Kantipudi Pradeepthi, a telecom analyst.
SIP
Session Initiation Protocol (SIP), a modern replacement for PSTNs, continues to gain traction as businesses and telecom providers adopt it to enhance communication infrastructures. SIP enables seamless initiation, maintenance, and termination of multimedia sessions over IP networks, offering a flexible and efficient solution for modern communication needs.
M1 Limited, one of Singapore’s leading mobile network operators, partnered with Amazon Web Services (AWS) to launch Maxine, a VoiceBot integrated with M1’s SIP trunk services.
Hosted Voice
Hosted voice solutions, an advanced alternative to PSTNs, are rapidly transforming communication infrastructures across APAC.
PCCW Global partnered with Virtutel, an Australian wholesale firm, to expand hosted unified voice services to Australia and New Zealand. Adding to the discourse, Carol Wan, Vice President, Data Sales for the Asia Pacific region at PCCW Global, highlighted the need for the wholesale carrier industry to develop blockchain standards, signaling an ongoing focus on technological innovation within the sector.
In APAC, companies like China Telecom are spearheading advancements in hosted voice services. China Telecom offers a comprehensive suite of unified communication tools, including Hosted PBX and SIP Trunking, to facilitate smooth operations across the region.
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The Impact on Asia’s Telecom Landscape
Asia's diverse telecom ecosystem will experience the PSTN switch-off in multifaceted ways. In countries like Japan, Singapore, and South Korea—leaders in digital infrastructure—the transition is expected to be seamless, with widespread adoption of VoIP and 5G services. However, in developing nations with significant rural populations, such as India and the Philippines, the transition requires careful planning and investment.
For telecom operators in Asia, the switch-off represents an opportunity to innovate while addressing digital equity. Telecom providers must adopt a proactive approach to manage the complexities of the PSTN retirement. Key strategies include conducting comprehensive audits of existing infrastructure, migrating legacy systems, and offering end-user training to facilitate the adoption of new technologies.
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