Multinational businesses are struggling to breathe under the weight of geographically-bound telephony

global cloud telephony

Many multinational businesses are still shackled by an outdated and inefficient model of telephony; one that is fragmented, regional, and deeply rooted in the legacy infrastructure of traditional telecommunications providers.

It begs the question, in a world that demands ‘anytime, anywhere’ communications, why are telephony services still so geographically defined?

Given today’s global and increasingly remote workforce, seamless communication is necessary for any forward-thinking multinational business. Despite Unified communications (UC) platforms like Microsoft Teams radically changing the way organisations and people operate (by enabling users to work from anywhere and carry their phone number with them), global enterprises still find themselves managing a tangled web of local, region-specific, telecoms contracts.

These contracts include differing tariff structures, service levels, support teams, and portals, sometimes across dozens of countries.

But why should expanding enterprises put up with the geographical limitations of telcos? How can multinational organisations benefit from next-generation communications while avoiding the complexities and inefficiencies of juggling multiple telephony providers around the world? And is it possible to avoid the multiple contracts of telco giants and achieve cost savings and streamlined operations with a single, multinational partner?

Why is geography relevant in a digital world?

The answer lies in the infrastructural legacy of telcos like BT, AT&T, Verizon, and Gamma. These companies were built over decades, with physical infrastructure: copper into buildings, later replaced by fibre. This meant that telcos operated primarily within the geographical boundaries of the countries or regions they served.

While these companies have made strides in expanding their infrastructure, their businesses are still largely defined by geography. Take, for example, the largest telcos, which have made significant strides to expand their network infrastructure globally. While these companies boast vast networks that extend across continents and under oceans, the reality is that their services are still geographically constrained. Even the biggest players that operate in multiple countries fail to provide truly global coverage due to their focus on regional and national infrastructures. 

This creates a mismatch. Today’s global enterprises are increasingly centralised in how they manage people, platforms, and technology. They’ve adopted cloud-first, software-led approaches across most of their IT estate. UC platforms now span the globe with single-instance deployments, and yet their telephony is still managed as if each country operates in a silo.

While telcos continue to promote themselves as offering ‘anytime, anywhere’ communications, the reality is that their legacy infrastructures still tie them to specific geographic regions.

For the IT and procurement teams tasked with managing this mess, the consequences are significant. Every additional provider introduces more complexity – more contracts, invoices, and service relationships to manage and maintain. This also means more moving parts to go wrong, and more inconsistency across regions in terms of experience, cost and reliability.

In times of rapid change, these issues multiple. Every time the business moves, grows, or restructures, the telephony network drags its heels. And for an industry that prides itself on connectivity, telcos consistently rank among the lowest for customer service quality. Resolving issues with even one provider can be frustrating – managing up to 20 or more becomes a logistical nightmare.

Breaking free from the herd

Smaller, innovative multinational providers have recognised that the future of telephony and telecoms should not be defined by physical infrastructure, but rather an efficient, software-based solution that can connect enterprises across the globe.

These flexible and agile multinational providers offer a better solution. They use cloud-based technology to unify global communication.  They offer a single, global contract, a unified tariff structure, one management portal, and seamless integration into platforms like Microsoft Teams. For multinational enterprises, the value is clear: fewer moving parts, faster provisioning, simpler compliance, and a more consistent user experience across borders.

It also means organisations gain greater flexibility to support remote and hybrid working without being tied to old networks. This shift in strategy lets businesses avoid dealing with the inefficiencies and fragmentation of working with multiple telcos in different regions, enabling a truly global, cost-efficient solution that suits their needs.

Challenging the status quo

However, many C-suite executives remain unaware of the waste and inefficiency involved in managing contracts with multiple providers. While the administrative complexity, fragmented services and vendor management overheads quickly add up, they are often overlooked or lower down the priority ladder.

By consolidating telecoms services to one provider with a global reach, companies can eliminate this inefficiency, streamline processes, and achieve better cost control. And thankfully the C-suite mindset is changing.

As CFOs demand tighter control over costs and CIOs push for greater agility, telecoms is coming under the spotlight. Businesses are starting to audit their global telco estates and ask challenging questions: Why are we still doing this country-by-country? How much are we spending managing this complexity? And what would it mean to simplify?

Embracing a truly unified global solution

Anytime, anywhere’ is possible. It just requires a single provider. While telcos continue to promote themselves as offering ‘anytime, anywhere’ communications, the reality is that their legacy infrastructures still tie them to specific geographic regions.

But this should not hamper expanding enterprises looking for cost efficiencies and streamlined telephony and UC services. By partnering with a multinational provider that bridges the multinational gap, businesses can avoid the hidden stresses of having to manage telco giants individually, which can lead to inefficiencies, exacerbated by poor customer service.

Today’s multinational enterprises need a telephony model that mirrors the flexibility, consistency, and global reach of their people and platforms. That’s the promise of multinational cloud telephony – and the future of business communications.

Zach Bennett, Microsoft Teams MVP and Principal Architect, LoopUp

Zach Bennett

Zach Bennett is Microsoft Teams MVP and Principal Architect at LoopUp. Recognised for his deep expertise in Microsoft voice solutions and with over 10 years of experience in the Microsoft UC space, Zach leads global Teams Phone deployments – from initial strategy and proof-of-concept through to multi-site rollouts. 

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