Skip to content
Vendor-Neutral Advisory

Telecom Expense Optimization: Finding the Overspend Hiding in Your Bill

Eric Anderson
Eric Anderson

The overspend is real, and it's larger than most leaders assume

Telecom and network services accumulate the way most recurring technology spend does: additions happen easily, removals almost never do. Industry telecom-expense audits and optimization initiatives typically recover somewhere in the range of 12% to 20% of total telecom spend in complex, multi-site environments — not through renegotiating every contract, but by finding what's already being paid for and no longer needed or being billed incorrectly.

Where the overspend actually hides

Dormant circuits and lines

Closed locations, decommissioned equipment, and departed employees frequently leave active circuits, lines, or device plans still being billed — nobody's job is specifically to notice and cancel them.

Billing errors that never get audited

Carrier billing systems make mistakes — duplicate charges, incorrect rate application, taxes and surcharges applied inconsistently across an account. These rarely get caught because nobody is comparing the bill line-by-line against the actual contract terms.

Contracted capacity that exceeds actual usage

Bandwidth and service tiers sized for peak assumptions made years ago frequently exceed what current usage actually requires — especially after any consolidation, cloud migration, or shift to remote work changed traffic patterns.

Redundant services covering the same function

Multi-site organizations especially accumulate overlapping services — multiple providers covering the same function at different locations because of historical decisions, acquisitions, or one-off local purchasing — where consolidation to fewer providers would reduce both cost and administrative overhead.

Contracts that auto-renewed past their competitive window

Telecom contracts are frequent auto-renewal candidates (see the questions to ask before any auto-renewal), and pricing that was competitive at signing is rarely re-benchmarked against current market rates at renewal.

Why this doesn't get caught internally

Telecom billing review requires comparing invoices against contracts and actual usage data line by line — a task that's rarely anyone's full-time responsibility and easy to deprioritize against more visible operational work. It's also the kind of review where an outside party, with no relationship to preserve with the current carrier, is more likely to recommend a genuine consolidation or switch rather than a modest renegotiation.

Starting the review

MALA includes telecom and connectivity spend as part of a full technology reality assessment, at zero upfront cost. Talk to an advisor about what a review of your current telecom contracts would likely find.

Share this post