financetom
Technology
financetom
/
Technology
/
AT&T sues California in bid to stop offering traditional phone service
News World Market Environment Technology Personal Finance Politics Retail Business Economy Cryptocurrency Forex Stocks Market Commodities
AT&T sues California in bid to stop offering traditional phone service
May 20, 2026 3:01 PM

WASHINGTON, May 20 (Reuters) - AT&T ( T ) on Wednesday filed suit against California officials seeking a court order declaring it does not have to continue offering traditional copper wire phone service to new customers as it vowed to spend $19 billion on modern telecom services.

California requires the U.S. wireless carrier to spend $1 billion annually to maintain a century-old telephone network that few use, AT&T ( T ) said, saying the network now serves just 3% of households in AT&T's ( T ) California territory.

AT&T's ( T ) suit named the California Public Utilities Commission and the state attorney general. The CPUC did not immediately respond to a request for comment.

AT&T ( T ) said it is committing to investing $19 billion in California as it works to connect more than 4 million additional households and businesses across California by 2030 and added IP-based networks are far more reliable and efficient.

AT&T ( T ) also Wednesday asked the Federal Communications Commission for permission to discontinue traditional phone service in parts of California where it has faster, more reliable service available. It also filed a petition with the FCC to declare that California's rules that effectively require AT&T ( T ) to power, repair and sell traditional phone service, even after the FCC has authorized the service to be phased out, are preempted by federal standards.

AT&T ( T ) added that transitioning from copper will save an estimated 300 million kilowatt-hours annually by 2030 or the equivalent of eliminating emissions from 17 million gallons of gasoline. The company added that California has already suffered about 2,000 outages from copper thefts this year and it struggles to find replacement parts.

The federal government and virtually all states where AT&T ( T ) historically offered copper-wire service "have now eliminated outdated regulatory obstacles" allowing AT&T ( T ) to begin powering down its old network and increasing its investments in modern communication technologies, the company said in its lawsuit filed in U.S. District Court in southern California.

Comments
Welcome to financetom comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
Related Articles >
Meta repeatedly pushes back new AI model release for developers, WSJ says
Meta repeatedly pushes back new AI model release for developers, WSJ says
Jun 3, 2026
June 3 (Reuters) - Meta has repeatedly pushed back plans to release its new Muse Spark AI model API to developers, and as of Tuesday, had no scheduled launch date, the Wall Street Journal reported, citing people familiar with the matter.  A Meta spokesperson told Reuters on Wednesday that the company is already testing the Application Programming Interface (API) with...
Murata Introduces World’s First 2.2μF/100Vdc Soft-Termination Chip MLCC in 0805-inch Size for Automotive Applications
Murata Introduces World’s First 2.2μF/100Vdc Soft-Termination Chip MLCC in 0805-inch Size for Automotive Applications
Jun 3, 2026
KYOTO, Japan--(BUSINESS WIRE)-- Murata Manufacturing Co., Ltd. ( MRAAF ) introduces the GCJ21BD72A225KE02, a soft-termination chip multilayer ceramic capacitor (MLCC) for automotive powertrain and safety equipment. This world's first soft-termination chip MLCC product achieves the highest available capacitance of 2.2μF at 100Vdc in the smallest 0805-inch (2.0×1.25mm) size*. This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20260603192945/en/ As...
TSMC boss upbeat on outlook as AI boom shows no sign of easing
TSMC boss upbeat on outlook as AI boom shows no sign of easing
Jun 3, 2026
HSINCHU, Taiwan, June 4 (Reuters) - Taiwan's TSMC, the world's largest contract chipmaker, said on Thursday it is confident in its growth over the next few years, driven by robust demand for computing power and advanced semiconductors, as it rides an AI boom. Chief Executive C.C. Wei, speaking at TSMC's annual shareholders' meeting in the northern Taiwanese city of Hsinchu,...
Pimsy Just Went Live: The Digital Being Gen Z and Gen Alpha Already Follow
Pimsy Just Went Live: The Digital Being Gen Z and Gen Alpha Already Follow
Jun 3, 2026
HAMBURG, GERMANY, June 04, 2026 (GLOBE NEWSWIRE) -- System Akvile, the digital skin health company behind a platform used by more than a million people, has launched Pimsy: an independent character who was built for the way Gen Z and Gen Alpha actually deal with skin. Pimsy is not a chatbot. Pimsy is a digital being with its own following,...
Copyright 2023-2026 - www.financetom.com All Rights Reserved