On June 25, 2025, Three UK experienced a major voice network outage that disrupted services for millions across the country. For several hours, customers could not make or receive calls including vital emergency 999 calls. While data services remained largely functional, the failure of the voice network exposed the fragility of critical communication infrastructure.
The incident was more than an inconvenience. It was a stark reminder that resilience is not just about having the right technology. It is a financial necessity and a strategic imperative for every organization that relies on digital infrastructure.
This article explores what happened, the true cost of failure, and what decisive actions business leaders and IT decision-makers must take to protect their operations.
What happened
Three UK, one of Britain’s largest mobile operators, suffered a significant voice service disruption. The most alarming consequence was that customers could not contact emergency services during the outage. While Three UK worked with internal and external teams to restore services, the reputational and operational damage was already done. Customers flooded social media with complaints, calls for compensation began almost immediately, and regulatory scrutiny is now inevitable.
The financial consequences of resilience failure
Outages like this are not just technical problems. They translate directly into monetary loss, regulatory penalties, and long-term damage to customer relationships.
Direct revenue loss
Telecom industry analysts estimate that large-scale service outages can cost between £1 million and £3 million per hour in lost billing, service credits, and delayed transactions. Given Three UK’s national footprint, this outage likely resulted in millions of pounds in immediate financial damage.
Compensation and refunds
Customers and businesses affected by the outage are demanding compensation. Past examples from operators like O2 show that mass compensation whether through free data packages, bill credits, or direct payments can cost millions. Three UK will likely face similar obligations.
Regulatory fines
Ofcom is expected to investigate this incident, particularly given the failure of emergency call services. Fines for such failures can be significant. For example, EE was fined £2.7 million in 2020 for failing to ensure emergency call accessibility. Three UK could face a similar or even larger penalty.
Indirect costs
The real cost of an outage extends beyond immediate losses:
Customer churn: Even a small percentage of customers leaving as a result of the outage represents millions in lost future revenue.
Brand damage: Rebuilding trust will require substantial investment in marketing, customer retention programs, and goodwill offers.
Legal risk: Businesses that suffered material loss due to communication failure may pursue litigation against Three UK or any sole-provider they depended on.
What business and IT leaders must do now
If your organization depends on uninterrupted communication to operate, this is the moment to act. The cost of doing nothing is far greater than the investment required to build resilience.
1. Diversify your communication channels
Never depend on a single telecom provider for critical voice or data services. Equip key staff with dual-SIM devices using different networks. Adopt VoIP or softphone systems that work independently of mobile carriers. For mission-critical operations, consider private LTE, radio systems, or satellite communications as part of your contingency plan.
2. Build voice outages into business continuity planning
Many business continuity plans focus on data and applications but neglect voice services. Update your plan to include scenarios where voice networks fail. Identify alternative channels for internal and external communications, from collaboration apps like Teams and Slack to secure messaging platforms and email alerts. Test these plans regularly in simulated outage scenarios.
3. Demand resilience and transparency from providers
Engage directly with your telecom and cloud providers. Ask them to explain their resilience measures, emergency call safeguards, and redundancy testing routines. Request written documentation and insist on clear service level agreements that address outages. Ensure your contracts contain meaningful remedies for service failure.
4. Train your teams for outage response
Resilience is as much about people as technology. Make sure your teams know how to pivot to backup communication systems in an emergency. Define who is responsible for internal updates, external messaging, and escalation. Schedule periodic drills to practice these processes under realistic conditions.
5. Monitor and test backup systems
Having backup systems is not enough. Regularly test failover solutions, whether that is an alternative network, VoIP system, or satellite phone. Verify that equipment is maintained, accessible, and that employees are trained in its use. A backup plan that fails in practice is no plan at all.
6. Understand the cost of downtime
Run a cost analysis for your business. How much would one hour of lost communication cost you in terms of revenue, reputation, and customer trust? Use this figure to justify investment in resilience technologies and services. Business leaders who see resilience as a cost centre rather than a financial safeguard are leaving their organizations exposed.
Regulatory and compliance perspective
Ofcom will almost certainly tighten requirements on operators following this incident. Future regulations may impose stricter standards on emergency service access, redundancy design, and outage reporting. Businesses should stay ahead of these changes, as supplier contracts, compliance frameworks, and risk registers will need to be updated accordingly.
The strategic view: resilience is not optional
The Three UK outage highlights that even the most essential and advanced services can fail. The true test of an organization is not whether failure happens, but how well it is prepared to respond and recover.
Resilience must be seen as a strategic asset. It combines:
Thoughtful architecture that eliminates single points of failure
Supplier partnerships that are transparent and accountable
Teams that are trained and ready to adapt
A leadership mindset that values preparation over damage control
The financial impact of failure far outweighs the investment in resilience. Whether you lead a small business, a large enterprise, or an MSP, this is the time to review, refine, and strengthen your approach.
What to do next
Take immediate steps:
Map your communication and infrastructure dependencies. Identify single points of failure.
Contact your providers. Understand their resilience commitments and demand transparency.
Update your business continuity plan to include detailed voice and communication outage scenarios.
Implement and test alternative communication channels.
Quantify your risk. Know the potential cost of downtime and use it to drive action.
If you would like help designing a resilience strategy that protects your operations and reputation, or if you want a financial risk analysis tailored to your organization, I am happy to assist. At The Modern IT Navigator, we help leaders translate these lessons into meaningful action.