No More Pay Phones From AT&T, Mobile and VoIP Eats Up Pay Phones.
The calls you used to make in a hurry from the street corner for a dime or a quarter will be gone pretty soon. The days of phreaking which began with pay phones are coming to an end. Where are those VoIP Pay Phone? Somebody get them up please.
After years of seeing its public pay-phone business migrate to cell phones, AT&T Inc. said Monday that it will phase out its pay phones in Illinois and 12 other states by the end of 2008.
While AT&T's decision doesn't mean the end of the pay phone -- independent firms still will offer the service -- public phones will become even more difficult to find.
In 1998, there were an estimated 2.6 million pay phones operating nationwide, a figure that has declined to 1 million today, according to AT&T. About 250 million cell phones are in use in the United States.
Press Release.
AT&T Inc. (NYSE:T) announced today plans to exit the shrinking pay phone business by the end of 2008. Existing contracts and customer service commitments will continue to be honored during the period that the business is being phased out.
AT&T's Public Communications unit has continued to experience significant pressure from reduced pay phone usage, primarily as a result of the growth of alternative communications choices, such as wireless phones and personal communication devices.
The company plans to phase out both public pay phones and phones provided under contracts at government correctional facilities through the end of next year. All customers will receive advance notification of specific plans as well as information on other potential providers and product options.
The move affects AT&T pay phones in the company's traditional 13-state service area only. BellSouth Corp., which was acquired by AT&T Inc. in late 2006, had previously exited the pay phone business in its nine-state service area. AT&T's wholesale pay phone services are not affected.
Public Communications will honor all existing customer contract terms and conditions while continuing to provide excellent customer service throughout the withdrawal process.
"This is the right time for us to take this step on behalf of our customers, employees and stockholders," said David Huntley, senior vice president for Customer Information Services. "We expect that independent providers will pick up much of this business, and, as we exit the business, we will be able to refocus our resources to areas that offer stronger growth potential and greater opportunity for the company."
Pay phones in the United States have declined across the industry from about 2.6 million phones in 1998 to an estimated 1 million phones today.
Huntley said the company will be attentive to the needs of both customers and employees during the 13-month process of phasing out the business.
Current AT&T Public Communications customers may call 800-809-0878 with questions
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