Even if let's say lawful intercept is done away with and calls are end-to-end encrypted, the telco would still be in control of key management and distribution... and if those clowns can't secure lawful intercept, why do you think the key distribution infrastructure would fare any better?
Why should they be in charge of key management? They should be in charge of physical plant and leave all of that to someone else. We should be discontinuing the legacy PSTN and making "phone" an IETF protocol where your "phone number" is user@domain.
