Cat Goetze's Physical Phones: A Nostalgic Business Success

Cat Goetze, a 29-year-old entrepreneur from Los Angeles, founded Physical Phones, a Bluetooth-enabled landline phone business that generated over $789,000 in sales in 2025. The concept emerged during the pandemic when Goetze sought to reduce her screen time and reminisced about her childhood experiences with landline phones. After realizing the challenges of installing a traditional landline, she decided to create a modern alternative that connects to smartphones.

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Physical Phones are designed to connect wirelessly to smartphones via Bluetooth, allowing users to receive and make calls using a traditional handset. The product line includes three styles: a handset, a wall mount, and a rotary phone, priced between $90 and $110. Goetze's initial prototype, a pink handset, was shared on TikTok in 2023 but gained little attention. However, a subsequent viral video in July 2025, which garnered over 8 million views, reignited interest and led to significant sales, with $120,000 generated in just three days.

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The production of Physical Phones involved sourcing components from a manufacturer in Asia, which posed challenges due to tariffs imposed during the Trump administration. Goetze described the manufacturing process as time-consuming and detailed, requiring careful oversight. To meet the demand for holiday orders, she opted for expedited shipping, incurring nearly $74,000 in costs to fly the products to California. Despite the financial hit, Goetze emphasized the importance of customer satisfaction and commitment.

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In 2025, Physical Phones sold over 7,500 devices, resulting in approximately $439,000 in profit, which Goetze reinvests into the business for research and development. She does not take a salary from the company, instead supporting herself through her media business, CatGPT. Recently, she appointed Josh Silverman as CEO to manage day-to-day operations, allowing her to focus on future growth. Looking ahead to 2026, Goetze plans to expand Physical Phones into retail and launch Cat Labs, a product studio aimed at developing new products and services.

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While Goetze's innovative approach has garnered significant attention, some critics point to the challenges of competing in a market dominated by smartphones. The reliance on Bluetooth technology may also raise concerns about connectivity issues for some users. Nevertheless, the nostalgic appeal of landline phones in a digital age has resonated with many consumers seeking a simpler communication method.

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• “When I grew up, there was this booklet that the school sent out to all of the families in the school district that literally had all of the students' names and their home phone numbers,” — Cat Goetze, Founder of Physical Phones

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• “As a creator, your job is really to kind of hold an antenna out into the zeitgeist and pick up on what people want creatively, spiritually, emotionally.” — Cat Goetze, Founder of Physical Phones

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• “But I also think that it's those kinds of decisions where you really stand up for your customer and you show them how much you care.” — Cat Goetze, Founder of Physical Phones

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Goetze's journey with Physical Phones illustrates the potential for innovative solutions that blend nostalgia with modern technology, reflecting a growing consumer desire for alternatives to smartphone dependency.

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