A telephone exchange, telephone switch, or central office is a central component of a telecommunications system in the public switched telephone network (PSTN) or in large enterprises. It facilitates the establishment of communication circuits, enabling telephone calls between subscribers. The term "central office" can also refer to a central location for fiber optic equipment for a fiber internet provider.

In historical perspective, telecommunication terminology has evolved with time. The term telephone exchange is often used synonymously with central office, a Bell System term. A central office is defined as the telephone switch controlling connections for one or more central office prefixes. However, it also often denotes the building used to house the inside plant equipment for multiple telephone exchange areas. In North America, the term wire center may be used to denote a central office location, indicating a facility that provides a telephone with a dial tone. Telecommunication carriers also define rate centers for business and billing purposes, which in large cities, might encompass clusters of central offices to specify geographic locations for distance measurement calculations.

In the 1940s, the Bell System in the United States and Canada introduced a nationwide numbering system that identified central offices with a unique three-digit code, along with a three-digit numbering plan area code (NPA code or area code), making central office codes distinctive within each numbering plan area. These codes served as prefixes in subscriber telephone numbers. The mid-20th century saw similar organizational efforts in telephone networks globally, propelled by the advent of international and transoceanic telephone trunks and direct customer dialing.

For corporate or enterprise applications, a private telephone exchange is termed a private branch exchange (PBX), which connects to the public switched telephone network. A PBX serves an organization's telephones and any private leased line circuits, typically situated in large office spaces or organizational campuses. Smaller setups might use a PBX or key telephone system managed by a receptionist, catering to the telecommunication needs of the enterprise.

History

In the era of the electrical telegraph, its principal users were post offices, railway stations, the more important governmental centers (ministries), stock exchanges, very few nationally distributed newspapers, the largest internationally important corporations and wealthy individuals.Private Telegraphs, The Sydney Morning Herald, credited to The Times, April 19, 1878, p. 6. Despite the fact that telephone devices existed before the invention of the telephone exchange, their success and economical operation would have been impossible on the same schema and structure of the contemporary telegraph. Before the development of the telephone exchange switchboard, early telephones operated as intercoms; each telephone device was hardwired to connect with only one other telephone device, such as linking a person's home to their workplace.

A telephone exchange is a telephone system for a small geographic area that provides the switching (interconnection) of subscriber lines for calls made between them. Exchanges made possible the immediate creation of ad hoc temporary circuits on demand between any two subscribers, now known as circuit switching. This made telephony into a practical technology for everyday use and became the impetus for the creation of a new industrial sector: telecommunications.

As with the invention of the telephone itself, the honour of "first telephone exchange" has several claimants. One of the first to propose a telephone exchange was Hungarian Tivadar Puskás in 1877 while he was working for Thomas Edison. The first experimental telephone exchange was based on the ideas of Puskás and it was built by the Bell Telephone Company in Boston in 1877.Frank Lewis Dyer: Edison His Life And Inventions. (page: 71) The world's first state-administered telephone exchange opened on November 12, 1877 in Friedrichsberg close to Berlin under the direction of Heinrich von Stephan. George W. Coy designed and built the first commercial US telephone exchange which opened in New Haven, Connecticut in January 1878 and the first telephone booth was built in nearby Bridgeport. The switchboard was built from "carriage bolts, handles from teapot lids and bustle wire" and could handle two simultaneous conversations.National Park Service "first switchboard" page. Charles Glidden is also credited with establishing an exchange in Lowell, MA. with 50 subscribers in 1878.

In Europe other early telephone exchanges were based in London and Manchester, both of which opened under Bell patents in 1879. Belgium had its first International Bell exchange (in Antwerp) a year later.

In 1887 Puskás introduced the multiplex switchboard.Francis S. Wagner: Hungarian Contributions to World Civilization – Page 68

Later exchanges consisted of one to several hundred plug boards staffed by switchboard operators. Each operator sat in front of a vertical panel containing banks of ¼-inch tip-ring-sleeve (3-conductor) jacks, each of which was the local termination of a subscriber's telephone line. In front of the jack panel lay a horizontal panel containing two rows of patch cords, each pair connected to a cord circuit. When a calling party lifted the receiver, the local loop current lit a signal lamp near the jack. The operator responded by inserting the rear cord (answering cord) into the subscriber's jack and switched their headset into the circuit to ask, "Number, please?" For a local call, the operator inserted the front cord of the pair (ringing cord) into the called party's local jack and started the ringing cycle. For a long-distance call, the operator plugged into a trunk circuit to connect to another operator in another bank of boards or at a remote central office. In 1918, the average time to complete the connection for a long-distance call was 15 minutes.

Early manual switchboards required the operator to operate listening keys and ringing keys, but by the late 1910s and 1920s, advances in switchboard technology led to features which allowed the call to be automatically answered immediately as the operator inserted the answering cord and ringing would automatically begin as soon as the operator inserted the ringing cord into the called party's jack. The operator would be disconnected from the circuit, allowing them to handle another call, while the caller heard an audible ringback signal, so that that operator would not have to periodically report that they were continuing to ring the line.

In the ringdown method, the originating operator called another intermediate operator who would call the called subscriber, or passed it on to another intermediate operator. This chain of intermediate operators could complete the call only if intermediate trunk lines were available between all the centers at the same time. In 1943 when military calls had priority, a cross-country US call might take as long as 2 hours to request and schedule in cities that used manual switchboards for toll calls.

On March 10, 1891, Almon Brown Strowger, an undertaker in Kansas City, Missouri, patented the stepping switch, a device which led to the automation of telephone circuit switching. While there were many extensions and adaptations of this initial patent, the one best known consists of 10 levels or banks, each having 10 contacts arranged in a semicircle. When used with a rotary telephone dial, each pair of digits caused the shaft of the central contact "hand" of the stepping switch to first step (ratchet) up one level for each pulse in the first digit and then to swing horizontally in a contact row with one small rotation for each pulse in the next digit.

Later stepping switches were arranged in banks, the first stage of which was a linefinder. If one of up to a hundred subscriber lines (two hundred lines in later linefinders) had the receiver lifted "off hook", a linefinder connected the subscriber's line to a free first selector, which returned the subscriber a dial tone to show that it was ready to receive dialled digits. The subscriber's dial pulsed at about 10 pulses per second, although the speed depended on the standard of the particular telephone administration.

Exchanges based on the Strowger switch were eventually challenged by other exchange types and later by crossbar technology. These exchange designs promised faster switching and would accept inter-switch pulses faster than the Strowger's typical 10 pps—typically about 20 pps. At a later date many also accepted DTMF "touch tones" or other tone signaling systems.

A transitional technology (from pulse to DTMF) had converters to convert DTMF to pulse, to feed to older Strowger, panel, or crossbar switches. This technology was used as late as mid-2002.

Terminology Many terms used in telecommunication technology differ in meaning and usage among the various English speaking regions. For the purpose of this article the following definitions are made: Manual service is telephone service in which a human telephone operator routes calls as instructed by a subscriber with a telephone set that does not have a dial. Dial service is when an exchange routes calls by interpreting subscriber-dialed digits. A telephone switch is the switching equipment of an exchange. A wire center is the area served by a particular switch or central office. A concentrator is a device that concentrates traffic, be it remote or co-located with the switch. An off-hook condition represents a circuit that is in use, e.g., when a telephone call is in progress. An on-hook condition represents an idle circuit, i.e. no telephone call is in progress.

A central office originally was a primary exchange in a city with other exchanges service parts of the area. The term became to mean any switching system including its facilities and operators. It is also used generally for the building that houses switching and related inside plant equipment. In United States telecommunication jargon, a central office (C.O.) is a common carrier switching center Class 5 telephone switch in which trunks and local loops are terminated and switched.Source: from Federal Standard 1037C. In the UK, a telephone exchange means an exchange building and is also the name for a telephone switch.

Manual service exchanges

With manual service, the customer lifts the receiver off-hook and asks the operator to connect the call to a requested number. Provided that the number is in the same central office and located on the operator's switchboard, the operator connects the call by plugging the ringing cord into the jack corresponding to the called customer's line. If the called party's line is on a different switchboard in the same office, or in a different central office, the operator plugs into the trunk for the destination switchboard or office and asks the operator answering (known as the "B" operator) to connect the call.

Most urban exchanges provided common-battery service, meaning that the central office provided power to the subscriber telephone circuits for operation of the transmitter, as well as for automatic signaling with rotary dials. In common-battery systems, the pair of wires from a subscriber's telephone to the exchange carry 48V (nominal) DC potential from the telephone company end across the conductors. The telephone presents an open circuit when it is on-hook or idle.Connected to a switch, an off-hook condition operates a relay to connect the line to a dial tone generator and a device to collect dialed digits.