FCC moves to unblock AT&T California copper retirement

By James Calloway

AT&T operates 615 wire centers in California and has filed with the FCC to decommission about 360 of them, covering about 184,000 customers.

AT&T says adequate fiber and wireless coverage exists in those areas for its plain old telephone service alternative. The retirement process can start on or after June 1, 2027, and the company has begun notifying customers served by the initial 360 centers.

FCC Chairman Brendan Carr is circulating a proposed order that would preempt California’s “carrier of last resort” regulations. AT&T says those duties obstruct its copper retirement plans; state regulators and consumer groups defend California’s authority over service continuity. The dispute brings federal deregulation into direct conflict with state consumer-protection powers.

Recent FCC rules seek to accelerate retirement of power-hungry copper networks and free up capital for network upgrades and IP-based wireless or fiber alternatives. The proposal also follows the FCC’s approval of AT&T’s plan to discontinue copper service in parts of California, a decision state regulators have opposed.

The FCC says the order would ensure that “state obligations cannot be used in a manner that prevents a provider from effectuating a discontinuance that the Commission has approved.” Carr believes that, if adopted, the order would preempt state regulations governing copper retirements.

Before a vote, the FCC must release the proposal for comment and replies. Light Reading has asked the FCC when it will release the order and when a vote might take place. AT&T is preparing to retire the first portion of its California copper network while the issue moves through the FCC and courts.

In May, AT&T filed a suit in California seeking to preempt state requirements that it says prevent copper retirements. AT&T argues those requirements conflict with FCC rules designed to streamline and accelerate migrations from copper networks.

The Rural County Representatives of California, Communications Workers of America and The Utility Reform Network asked the FCC on October 22 to reject AT&T’s petition. They argue that the Communications Act limits the FCC’s ability to supersede state authority.

Opponents also warn that preemption could prevent the California Public Utilities Commission from ordering AT&T or another carrier to provide service, regardless of technology. They contend that result would be legally and practically outside FCC authority and that the FCC cannot preempt California’s carrier-of-last-resort rules.

AT&T has attached a commitment to build fiber to an additional 4 million-plus homes and businesses in California, taking its total state commitment to 9 million. California also forms part of AT&T’s plan to decommission the bulk of its copper network by 2030.

To support the migration, AT&T developed AT&T Phone-Advanced, a plain old telephone service alternative. The company says it supports all legacy devices through wireless or fiber connections, including:

• Caller ID and E911
• Fax machines
• Alarm systems and medical monitoring devices

Earlier this month, AT&T reported that just 1% of its eligible customers still used legacy copper-based voice technology. Susan Johnson, AT&T’s senior executive vice president for transformation and global supply chain, attributed the decline to network retirements and more customers choosing upgrades on their own.

AT&T says more than 100 outdated copper wire centers have been powered down without serving customers. It has decommissioned copper-based services in more than 500 communities covering 1.3 million locations across 18 states, and expects to complete the process in another 1,500 communities over the next year.

Johnson said: “Hitting this first 100 wire centers with no customers left is important for us to prove out that this is working for our customers, and now we are leaning into further scale.” She expects materially greater scale from there.

What does this change for AT&T customers in California?

For roughly 184,000 customers in the selected California areas, an adopted FCC order could let AT&T begin moving them from legacy copper and POTS service on or after June 1, 2027, using fiber or wireless for the replacement, subject to continuing litigation. The plan does not authorize immediate shutdowns.

AT&T’s filing says adequate fiber and wireless coverage exists for the POTS alternative in the affected areas. The practical change would be continued use of legacy phones and alarm systems through Phone-Advanced rather than a copper line, although California’s service obligations remain contested.

AT&T is not alone in pursuing copper retirement. Metro Colo Advisory, an advisory firm for data center infrastructure, tracks approvals and requests across the country. Its tracker lists Verizon as follows:

• Approved in parts of eight states: Florida, Indiana, Minnesota, Nebraska, Nevada, North Carolina, Texas and Wisconsin
• Requests pending in 18 additional states, including parts of California, plus Washington, D.C.

The next milestones are the FCC’s release of the proposed order, its comment-and-reply period and a possible vote. AT&T can start the California retirement no earlier than June 1, 2027, while its fiber commitment and the planned retirement of another 1,500 communities over the next year set the pace of the wider transition.