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Rise of the cloud phone system prompts Panasonic’s plan to depart telecoms market

Posted by Simon Dunstan on 15/12 at 10:00 AM Cloud hosted telephone systems, Telephone systems,
Panasonic leaves telecoms market

It always feels like a sad day when a telecoms giant pulls out of the market. We have seen it before with Toshiba, but now Panasonic has announced their intention to quit the telecoms market within the next two years. These are big names in the industry. Businesses across the country will currently have kit from one of these two on their desks, but the world is changing.

When you have been in the industry as long as I have, manufacturers like Panasonic are part and parcel of telecoms history. I began my career selling their systems. They have always been there, but in two years’ time, they will be gone.

The move to the cloud is a reality that manufacturers of on-premise telephone systems are having to face. Some manufacturers such as Alcatel-Lucent Enterprise have introduced cloud versions of their own products, where others like Panasonic, are making way for cloud-only providers, such as Gamma Horizon or Microsoft Teams.

The recent need for flexible working has accelerated the cloud revolution. Before the pandemic, people went to the office, which meant an on-premise phone system made sense. With many people now working from home, businesses need solutions that easily accommodate this shift and cloud-hosted systems fit the bill.

Another driver for cloud solutions is Openreach’s copper withdrawal programme, which will see all PSTN and ISDN phone lines switched off by the end of 2025 or earlier in a number of areas.

Businesses can still use on-premise phone systems using new fibre internet-based lines, known as SIP. Others though have chosen to switch to cloud-hosted systems.

For businesses still using a Panasonic system, they should note the tight deadline for their exit. Panasonic will be discontinuing their phone systems within two years. These businesses will need to think about the future of their phone system and what they want to replace it with because parts and support will be very hard to come by.

Panasonic users will also be missing out on the functionality they may need to support remote workers and may also be using copper lines that are being phased out.

Together, these are three compelling reasons to change a phone system! The same is true for Toshiba¸ and any other obsolete, phone system users.

The world is changing and businesses need to change too or get left behind or, worse, end up panic-buying a phone system when theirs breaks and cannot be fixed. We can advise any business of their options if they need further advice. Contact us at cloud@swcomms.co.uk.

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Simon Dunstan's avatar
Simon Dunstan on 15/12/2020

A real long-server, Simon has worked for us since 1998. He is a highly motivated senior account manager with an in-depth knowledge of solution sales.

Responsibility for new business development, tender bid management and ongoing account management, Simon thoroughly believes in providing real value for money using innovative communications technology to help achieve business needs.

Simon is father to two energetic boys. He is head coach of Sidmouth U8s rugby team and is an Exeter Chiefs season ticket holder.

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Contact: simon.dunstan@swcomms.co.uk

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