VoIP Internet Phone Services Grow
August 16, 2009 by VoIP and Internet Telephony Tips
Filed under About VoIP
The new technology surrounding Voice over Internet phone plans (VoIP Phones) and all the different ways they can deployed in home and office environments, makes VoIP confusing to a lot of people. For home users and cell phone customers, it is very simple to use and no knowledge of VoIP technology is needed. Yet, VoIP usage is still not at the level many industry experts thought it should be. The VoIP consumer marketplace is competitive with phone companies and VoIP providers battling for the consumer’s minds and wallets. As long as consumers are content and don’t understand VoIP service and its value, the big phone companies can keep charging excessively high phone call rates and providing fewer services.
Many consumers still lack the information about VoIP phones and Internet phone service plans they need to make a shift to VoIP. Many will wait until there is a critical mass effect. That’s when a large number of people will shift to VoIP and when VoIP lingo is a common part of people’s vocabulary. Since VoIP operates seamlessly with current phone systems, it’s not a technology that jumps out at people.
Not long ago Google was an obscure web search engine that had little consumer usage. But then Google started to make noise, and it did so with the help of students and web marketers who believed it had something to offer. Now, the word Google is used as a verb and people wonder how they ever got along with its info finding magic. VoIP is starting the same way but still hasn’t found a way to move into mainstream consumer lifestyles. Rest assured though, that VoIP companies are targeting a variety of consumer demographic groups such as teens with cell phones, migrating people to Europe and North America who want to stay in close contact with their relatives back home, and businesses with multiple distant office locations who need inter-office phone communications. For regular home phone users, the value proposition they’re receiving is not as compelling. That will change too as VoIP companies research ways to make that home phone service more valuable to consumers, or to make it unnecessary to keep it.
That critical mass event happens when users believe they have a clear cost savings advantage to make the switch from using their regular telephone service to a VoIP phone service. Being able to dump the home phone would certainly provide a reduction in monthly bills, but consumers aren’t dropping their expensive land lines, even though they may have cable television and cell phone bills to boot. In telecommunications, it seems consumers are over-serviced, and a solution is needed. Internet telephony has that potential to eliminate some of the redundant services, but it hasn’t matured to the point where it can shape the phone services market by itself.
Phone companies in defending themselves, put a fair amount of effort into discussing the possible downside of VoIP and some have even put restrictions on VoIP transmissions to try to thwart VoIP service providers. Old stories of lost calls, garbled voice quality, non functional 911 assistance, and loss of privacy don’t carry much weight anymore though. Quality and technical issues are almost all resolved and the services continue to improve. So, if it’s not technical issues that are preventing widespread VoIP adoption, then what is the problem?
Need to Drop the Land Line
Many consumers won’t adopt a VoIP service until they can drop their current phone company land line completely. Despite the desire to do so, many appear to be resisting eliminating their dependence on the old lines. Most don’t want to be paying for two phone services at the same time, yet they do. A billion people on the planet have cell phones now, so that means there are a lot of phone lines that aren’t necessary, or that are too expensive given the value they offer. As long as phone companies can make customer’s land lines indispensable, or encourage them to stay put, they know their customers won’t switch to VoIP plans. So that leaves many consumers with more than one phone, a home phone and a mobile phone, and it’s costing them a lot of money.
For those who don’t make frequent long distance phone calls, the cost savings from VoIP service plans aren’t compelling enough. However, when you add the cost of the call and line features that phone companies add onto the monthly phone bill, the scenario changes. Call features such as caller ID, call blocking, call waiting, and voice mail, are free with VoIP plans. If these aren’t enough to entice consumers, VoIP companies will certainly look to sweeten the offer. Internet protocol communications are improving all the time and there will be more to offer the consumer such as; services via PDA’s, Blackberries, and IP hard phones connected to WiFi and WiMax services.
Internet Phoning Drawbacks
When VoIP users make a call to another VoIP user, the call is essentially free. However, not everyone has a VoIP-based phone to receive VoIP calls. Many only have their land line or in some cases, a cell phone. That means the call has to go from the Internet into the PSTN or public switched phone system in the destination state or country. This is where the cost of a call shows up. Usually the cost is low for terminating the call to the end user. If the caller is making a long distance call however, this nominal cost is a small sacrifice compared to what they’ll be paying on their traditional home phone service.
High speed DSL customers must have their basic phone service, so as long as they need the high speed Internet connection, they might not switch to VoIP. For cable subscribers, a land line is not needed and VoIP works very well with Cable Internet service. For cable subscribers, the land-based home phone really isn’t needed so the jump to VoIP should be an easy one for cable subscribers. If they aren’t making the leap to VoIP, it might indicate a lack of confidence in cable networks. Most people still have trouble comprehending that a voice telephone call can go through the cable company, or that it will be reliable. Cable companies have come a long way with their technology and networks and are more than capable of providing top notch phone services.
With better education of telecommunications consumers and the presentation of a solid value proposition that offers more than a little cost savings, VoIP will grow steadily. For those with international calling needs, VoIP is already the solution they’re looking for. For small businesses with lots of long distance calling, the savings are even more pronounced. What’s needed is more consumer education. With that, many will finally wean themselves from their dependence on that old analog-based land line telephone and launch into an era of cheap digital phone calls. That day is coming soon as the major phone companies are under increasing pressure to raise the price of local phone service in the face of a major shift to VoIP transmission. Critical mass will occur when price plus features create a force that overcomes consumer’s inertia.
Thanks to Scott White for contributing this article to our VoIP blog:
Many consumers still lack the information about VoIP phones and Internet phone service plans they need to make a shift to VoIP. Many will wait until there is a critical mass effect. That’s when a large number of people will shift to VoIP and when VoIP lingo is a common part of people’s vocabulary. Since VoIP operates seamlessly with current phone systems, it’s not a technology that jumps out at people.
Not long ago Google was an obscure web search engine that had little consumer usage. But then Google started to make noise, and it did so with the help of students and web marketers who believed it had something to offer. Now, the word Google is used as a verb and people wonder how they ever got along with its info finding magic. VoIP is starting the same way but still hasn’t found a way to move into mainstream consumer lifestyles. Rest assured though, that VoIP companies are targeting a variety of consumer demographic groups such as teens with cell phones, migrating people to Europe and North America who want to stay in close contact with their relatives back home, and businesses with multiple distant office locations who need inter-office phone communications. For regular home phone users, the value proposition they’re receiving is not as compelling. That will change too as VoIP companies research ways to make that home phone service more valuable to consumers, or to make it unnecessary to keep it.
That critical mass event happens when users believe they have a clear cost savings advantage to make the switch from using their regular telephone service to a VoIP phone service. Being able to dump the home phone would certainly provide a reduction in monthly bills, but consumers aren’t dropping their expensive land lines, even though they may have cable television and cell phone bills to boot. In telecommunications, it seems consumers are over-serviced, and a solution is needed. Internet telephony has that potential to eliminate some of the redundant services, but it hasn’t matured to the point where it can shape the phone services market by itself.
Phone companies in defending themselves, put a fair amount of effort into discussing the possible downside of VoIP and some have even put restrictions on VoIP transmissions to try to thwart VoIP service providers. Old stories of lost calls, garbled voice quality, non functional 911 assistance, and loss of privacy don’t carry much weight anymore though. Quality and technical issues are almost all resolved and the services continue to improve. So, if it’s not technical issues that are preventing widespread VoIP adoption, then what is the problem?
Need to Drop the Land Line
Many consumers won’t adopt a VoIP service until they can drop their current phone company land line completely. Despite the desire to do so, many appear to be resisting eliminating their dependence on the old lines. Most don’t want to be paying for two phone services at the same time, yet they do. A billion people on the planet have cell phones now, so that means there are a lot of phone lines that aren’t necessary, or that are too expensive given the value they offer. As long as phone companies can make customer’s land lines indispensable, or encourage them to stay put, they know their customers won’t switch to VoIP plans. So that leaves many consumers with more than one phone, a home phone and a mobile phone, and it’s costing them a lot of money.
For those who don’t make frequent long distance phone calls, the cost savings from VoIP service plans aren’t compelling enough. However, when you add the cost of the call and line features that phone companies add onto the monthly phone bill, the scenario changes. Call features such as caller ID, call blocking, call waiting, and voice mail, are free with VoIP plans. If these aren’t enough to entice consumers, VoIP companies will certainly look to sweeten the offer. Internet protocol communications are improving all the time and there will be more to offer the consumer such as; services via PDA’s, Blackberries, and IP hard phones connected to WiFi and WiMax services.
Internet Phoning Drawbacks
When VoIP users make a call to another VoIP user, the call is essentially free. However, not everyone has a VoIP-based phone to receive VoIP calls. Many only have their land line or in some cases, a cell phone. That means the call has to go from the Internet into the PSTN or public switched phone system in the destination state or country. This is where the cost of a call shows up. Usually the cost is low for terminating the call to the end user. If the caller is making a long distance call however, this nominal cost is a small sacrifice compared to what they’ll be paying on their traditional home phone service.
High speed DSL customers must have their basic phone service, so as long as they need the high speed Internet connection, they might not switch to VoIP. For cable subscribers, a land line is not needed and VoIP works very well with Cable Internet service. For cable subscribers, the land-based home phone really isn’t needed so the jump to VoIP should be an easy one for cable subscribers. If they aren’t making the leap to VoIP, it might indicate a lack of confidence in cable networks. Most people still have trouble comprehending that a voice telephone call can go through the cable company, or that it will be reliable. Cable companies have come a long way with their technology and networks and are more than capable of providing top notch phone services.
With better education of telecommunications consumers and the presentation of a solid value proposition that offers more than a little cost savings, VoIP will grow steadily. For those with international calling needs, VoIP is already the solution they’re looking for. For small businesses with lots of long distance calling, the savings are even more pronounced. What’s needed is more consumer education. With that, many will finally wean themselves from their dependence on that old analog-based land line telephone and launch into an era of cheap digital phone calls. That day is coming soon as the major phone companies are under increasing pressure to raise the price of local phone service in the face of a major shift to VoIP transmission. Critical mass will occur when price plus features create a force that overcomes consumer’s inertia.
Thanks to Scott White for contributing this article to our VoIP blog:
RNK Telecom is a privately held phone company offering wholesale and
residential telecommunications services including VOIP Services. They market ReVoS, an Internet telephony product which offers superior International Calling.
residential telecommunications services including VOIP Services. They market ReVoS, an Internet telephony product which offers superior International Calling.
How Can A Small Consumer VoIP Provider Survive
July 18, 2009 by VoIP and Internet Telephony Tips
Filed under About VoIP
There is a lot of buzz about VoIP Internet phone service. On the consumer side everyone is getting a lot of exposure to Vonage commercials as well as triple play offers from Cable Companies. From a technology standpoint, VoIP is now much more mature than in its nascent days when Internet telephony meant a scratchy voice conversation over two computers. Whereas VoIP has been used by Telcos to carry voice traffic over long portions of their networks for years, it is now positioned to become the standard technology used to carry voice traffic over the last mile from every consumer’s home. Increased broadband penetration and advances in VoIP technology make this possible, and now there is a long line of VoIP providers out there looking for a piece of the action. They range from giants like Verizon and Comcast to relatively small unknowns. For the first time in the history of telecommunications it is possible to be a telephony provider without the huge barriers of capital needed for switches and network operation centers (NOCS).) nor the regulatory barrier of being a Local Exchange Carrier. So will the industry be marked by many small nimble players? What is the likelihood of survival for small consumer VoIP service providers?
The Cable TV companies have a strong position in the telephony market. They already have a large embedded base of customers. They also have a local presence, with field installers regularly driving around neighborhoods and customer service locations in every town in which they have a franchise. Having the field installers is a major advantage since they can install VoIP service and also hook up inside wiring so the service experience is no different than before. Therefore a person doesn’t have to be the least bit technically inclined to adopt the service, thereby opening the market to the masses. The pure-plays like Vonage just can’t reach the mass market like this.
Cable companies also have huge brand awareness in their markets. What is also potentially important is that they are perceived as a utility company and people are used to getting phone service from this type of entity. There is a familiarity and comfort level of going to a utility company for phone service.
They also have tremendous strength in both billing and customer service. While some may hate the cable company because they have lengthy time windows for showing up for an installation, may show up late, and may keep you on hold at the call center, the Cable companies are in actuality very good at managing the complexities of their operations. For example, RCN entered some markets years ago as an alternate cable provider thinking they could leverage people’s dislike of the cable companies’ service record and do it better; instead they ended up realizing how very complex it is and ended up doing it worse. If a company wants to scale as a major VoIP provider, they will have to manage the complexities of billing and customer service. The cable companies have been down this road already.
Here is what could be the biggest factor to why the Cable companies will be most successful at VoIP and ruin the chances of other smaller entrants – They provide a broadband connection. Since this is required for VoIP, the incumbent provider has the first dibs on providing voice service. Also, since broadband connections have high margins and VoIP has low margins, broadband providers could treat voice service as a loss leader to get and keep customers on their high-speed connections. NetZero, for instance, is giving away free telephone numbers and low priced VoIP service presumably with the hopes of signing on users for their ISP. Voice service could in fact become so commoditized that it will be given away with broadband service the same way email is today. If this becomes a reality, there would be very little market opportunity and a bleak survival outlook for smaller pure-play VoIP service providers unless they could offer a differentiated value proposition.
The Local Phone Company also shares many of the same advantages as Cable in that they have strong brands, ability to bill effectively, established customer service, and field technicians. They also should provide the greatest comfort level to people for providing a phone service. However, the Phone Companies have dismal showing compared to the Cable companies who have the greatest number of VoIP subscribers. Verizon VoiceWing and AT&T CallVantage each have only 5.5% of the 2.9 million pure-play VoIP subscribers (Telephia Q2 2006). Those 320k subs are dwarfed by the Cable Companies like Time Warner Cable who alone had 1.6 million VoIP customers as of October 2006. Why have the Phone Companies had such a dismal result? Internal confliction between POTS and VoIP is one reason. They can not put emphasis on a low margin VoIP product in their core offer and have struggled to create an effective bundled product strategy with advanced services. They are also expending more resources and internal focus on better broadband offerings than DSL and trying to break into video services. Nonetheless, they still hold second and third positions for share of pure-play VoIP subscribers and have deep pockets, which will allow them to far outspend a small VoIP provider to get mindshare.
Vonage, with 53.9% of the 2.9 million pure-play VoIP subscribers, is spending a ton of money to get mindshare and customers. This is good in that it raises awareness of the product category, which helps a smaller pure-play. However, it also presents a huge challenge for smaller providers to compete head to head for customers when a single provider has such a dominant voice.
There are a number of challenges facing a smaller VoIP provider. Small providers have to compete for share of voice against companies that are spending a lot of money. As far as the business case goes, VoIP has relatively small margins and the ROI for marketing campaigns and generating brand awareness is a challenge. Yet without spending money on marketing, it is difficult to capture customers.
Then there is the challenge of the market size. Pure-play providers don’t have local installers and technicians, which limit the market to those who have the technical savvy to set up the service or the willingness to do so. If the target market is defined as people who have the technical savvy to set up VoIP on a home network, then this market is comprised largely of younger people. This group is increasing mobile based and has little use for a landline phone. Also, consider how the overall telephony market will change over the years. People in college now that will be graduating over the next couple of years and getting apartments are 100% mobile based and have never had a landline phone. Thus the market for pure-play VoIP will be shrinking as fast as it grows.
However, there is still an opportunity for small VoIP providers in this challenging market. The opportunity is to focus on niche markets and leverage specific advantages of VoIP that are particularly important to specific customers segments. In such segments, word of mouth advertising is a viable strategy if the service can meet a strong need. This solves the dilemma of investing in media to build a strong brand and maintains better profitability.
ReVoS Internet phone service is an example of a small VoIP provider taking just this strategy. They are focusing on a niche segment of people who make a lot of international calls. ReVoS offers VoIP service, which includes unlimited international calling to over 40 countries including the standard VoIP product offering for $24.95 per month. They have also developed a VoIP product that works over a mobile phone that doesn’t require a broadband connection. This is geared to people of international origin who, by the way, have the greatest propensity to use cell phones of any demographic in the U.S. This niche makes sense since carrying long distance call traffic is an inherent strength of the VoIP networks. Also these customer groups are better reached through a niche strategy and would be missed by mass-market strategies. This market is comprised largely of people living in the U.S. who have moved here from other countries. These are tight communities where word of mouth can flourish and the value proposition is strong when saving people money on high cost international calls. This is an example of how a small VoIP provider can successfully compete against much more formidable competitors such as the Cable Companies and Vonage.
However, the future of the telephony industry and the role that VoIP takes still needs to be fully defined and there are many uncertainties. There is a long list of unknowns, which include such things as Google getting into Voice and whether Microsoft includes a softphone and VoIP service as a standard part of their operating systems. Fixed Mobile Convergence (FMC) is another technology wildcard that could change the shape of the competitive landscape. The overwhelming penetration of mobile phone service and mobile carriers’ ability to steal the show with a FMC offer is very real. This may be the competing technology that upsets the MSOs stronghold on VoIP. The question then becomes which bundled product offer is greater 1) Broadband and VoIP or 2) Mobile phone and VoIP. Another thing to consider is how Wireless VoIP (wVoIP) could change the competitive landscape and underlying telephony ecosystem if municipal hotspots and/or WiMax take off.
Whatever the future the holds, the economies of the telephony industry are likely to place a few large carriers in control of the majority of the market. People want simplicity in their lives and the winners will be those who provide the most seamless solutions to people’s basic communications needs. For smaller VoIP providers to survive and make profit, they will need to meet strong niche needs that get overlooked by the mass adoption strategy, have a well defined and differentiated value proposition (Recall ESPN Mobile’s problem), efficient operations to control cost and low margins, low churn in order to compensate for limited total average revenue per subscriber (ARPU) absent a larger bundled product strategy, and the ability to benefit from viral marketing within the target markets. With all of this in place, there is a chance of survival for small VoIP providers.
Thanks to Scott White for contributing this article to our VoIP blog:
The Cable TV companies have a strong position in the telephony market. They already have a large embedded base of customers. They also have a local presence, with field installers regularly driving around neighborhoods and customer service locations in every town in which they have a franchise. Having the field installers is a major advantage since they can install VoIP service and also hook up inside wiring so the service experience is no different than before. Therefore a person doesn’t have to be the least bit technically inclined to adopt the service, thereby opening the market to the masses. The pure-plays like Vonage just can’t reach the mass market like this.
Cable companies also have huge brand awareness in their markets. What is also potentially important is that they are perceived as a utility company and people are used to getting phone service from this type of entity. There is a familiarity and comfort level of going to a utility company for phone service.
They also have tremendous strength in both billing and customer service. While some may hate the cable company because they have lengthy time windows for showing up for an installation, may show up late, and may keep you on hold at the call center, the Cable companies are in actuality very good at managing the complexities of their operations. For example, RCN entered some markets years ago as an alternate cable provider thinking they could leverage people’s dislike of the cable companies’ service record and do it better; instead they ended up realizing how very complex it is and ended up doing it worse. If a company wants to scale as a major VoIP provider, they will have to manage the complexities of billing and customer service. The cable companies have been down this road already.
Here is what could be the biggest factor to why the Cable companies will be most successful at VoIP and ruin the chances of other smaller entrants – They provide a broadband connection. Since this is required for VoIP, the incumbent provider has the first dibs on providing voice service. Also, since broadband connections have high margins and VoIP has low margins, broadband providers could treat voice service as a loss leader to get and keep customers on their high-speed connections. NetZero, for instance, is giving away free telephone numbers and low priced VoIP service presumably with the hopes of signing on users for their ISP. Voice service could in fact become so commoditized that it will be given away with broadband service the same way email is today. If this becomes a reality, there would be very little market opportunity and a bleak survival outlook for smaller pure-play VoIP service providers unless they could offer a differentiated value proposition.
The Local Phone Company also shares many of the same advantages as Cable in that they have strong brands, ability to bill effectively, established customer service, and field technicians. They also should provide the greatest comfort level to people for providing a phone service. However, the Phone Companies have dismal showing compared to the Cable companies who have the greatest number of VoIP subscribers. Verizon VoiceWing and AT&T CallVantage each have only 5.5% of the 2.9 million pure-play VoIP subscribers (Telephia Q2 2006). Those 320k subs are dwarfed by the Cable Companies like Time Warner Cable who alone had 1.6 million VoIP customers as of October 2006. Why have the Phone Companies had such a dismal result? Internal confliction between POTS and VoIP is one reason. They can not put emphasis on a low margin VoIP product in their core offer and have struggled to create an effective bundled product strategy with advanced services. They are also expending more resources and internal focus on better broadband offerings than DSL and trying to break into video services. Nonetheless, they still hold second and third positions for share of pure-play VoIP subscribers and have deep pockets, which will allow them to far outspend a small VoIP provider to get mindshare.
Vonage, with 53.9% of the 2.9 million pure-play VoIP subscribers, is spending a ton of money to get mindshare and customers. This is good in that it raises awareness of the product category, which helps a smaller pure-play. However, it also presents a huge challenge for smaller providers to compete head to head for customers when a single provider has such a dominant voice.
There are a number of challenges facing a smaller VoIP provider. Small providers have to compete for share of voice against companies that are spending a lot of money. As far as the business case goes, VoIP has relatively small margins and the ROI for marketing campaigns and generating brand awareness is a challenge. Yet without spending money on marketing, it is difficult to capture customers.
Then there is the challenge of the market size. Pure-play providers don’t have local installers and technicians, which limit the market to those who have the technical savvy to set up the service or the willingness to do so. If the target market is defined as people who have the technical savvy to set up VoIP on a home network, then this market is comprised largely of younger people. This group is increasing mobile based and has little use for a landline phone. Also, consider how the overall telephony market will change over the years. People in college now that will be graduating over the next couple of years and getting apartments are 100% mobile based and have never had a landline phone. Thus the market for pure-play VoIP will be shrinking as fast as it grows.
However, there is still an opportunity for small VoIP providers in this challenging market. The opportunity is to focus on niche markets and leverage specific advantages of VoIP that are particularly important to specific customers segments. In such segments, word of mouth advertising is a viable strategy if the service can meet a strong need. This solves the dilemma of investing in media to build a strong brand and maintains better profitability.
ReVoS Internet phone service is an example of a small VoIP provider taking just this strategy. They are focusing on a niche segment of people who make a lot of international calls. ReVoS offers VoIP service, which includes unlimited international calling to over 40 countries including the standard VoIP product offering for $24.95 per month. They have also developed a VoIP product that works over a mobile phone that doesn’t require a broadband connection. This is geared to people of international origin who, by the way, have the greatest propensity to use cell phones of any demographic in the U.S. This niche makes sense since carrying long distance call traffic is an inherent strength of the VoIP networks. Also these customer groups are better reached through a niche strategy and would be missed by mass-market strategies. This market is comprised largely of people living in the U.S. who have moved here from other countries. These are tight communities where word of mouth can flourish and the value proposition is strong when saving people money on high cost international calls. This is an example of how a small VoIP provider can successfully compete against much more formidable competitors such as the Cable Companies and Vonage.
However, the future of the telephony industry and the role that VoIP takes still needs to be fully defined and there are many uncertainties. There is a long list of unknowns, which include such things as Google getting into Voice and whether Microsoft includes a softphone and VoIP service as a standard part of their operating systems. Fixed Mobile Convergence (FMC) is another technology wildcard that could change the shape of the competitive landscape. The overwhelming penetration of mobile phone service and mobile carriers’ ability to steal the show with a FMC offer is very real. This may be the competing technology that upsets the MSOs stronghold on VoIP. The question then becomes which bundled product offer is greater 1) Broadband and VoIP or 2) Mobile phone and VoIP. Another thing to consider is how Wireless VoIP (wVoIP) could change the competitive landscape and underlying telephony ecosystem if municipal hotspots and/or WiMax take off.
Whatever the future the holds, the economies of the telephony industry are likely to place a few large carriers in control of the majority of the market. People want simplicity in their lives and the winners will be those who provide the most seamless solutions to people’s basic communications needs. For smaller VoIP providers to survive and make profit, they will need to meet strong niche needs that get overlooked by the mass adoption strategy, have a well defined and differentiated value proposition (Recall ESPN Mobile’s problem), efficient operations to control cost and low margins, low churn in order to compensate for limited total average revenue per subscriber (ARPU) absent a larger bundled product strategy, and the ability to benefit from viral marketing within the target markets. With all of this in place, there is a chance of survival for small VoIP providers.
Thanks to Scott White for contributing this article to our VoIP blog:
RNK Telecom is a privately held phone company offering wholesale and
residential telecommunications services including VOIP Services. They market ReVoS, an Internet telephony product which offers superior International Calling.
residential telecommunications services including VOIP Services. They market ReVoS, an Internet telephony product which offers superior International Calling.
Internet Telephony: New Direction, New Vision
July 12, 2009 by VoIP and Internet Telephony Tips
Filed under Internet Telephony, Broadband Phones, PBX, SIP & Softphones
VoIP telephony is shaking the global telecommunication industry. By broadening the perspective of Internet and traditional communication services, Voice over Internet telephony is the preferred choice of business and corporate houses including the residential users. With the fact that Internet telephony is not only restricted to voice as it directs sharing and sending of data and voice files through a single IP network i.e. Internet, it allows users to enjoy visual and verbal communication together in more effective way. Internet phone service promises to offer long distance or International call at significantly lower rates compared to Public Switched Telephone Network. Hence, calling through IP telephony cuts down the monthly telephone expenditure by around 50% versus that of PSTN services. Voice over Internet telephony offers fast and effective communication with numerous advantages like high-speed, excellent voice quality, call tariff network integration, feature richness, security and scalability.
To avail the benefit of voice over IP telephony, user needs high speed Internet connection, PC installed with VoIP software, Analog Telephone Adaptor and a headset. Packet switching technique of network services are used to avail the benefits of IP telephony. The Internet telephony process is the cheapest way of calling over the Internet as it uses single cable for sending and receiving data. The basics of IP process is conversion of analog voice signals into digital formats. The data in the digital format is compressed and encrypted of the signal that is routed over the IP network. The process is reversed before it reaches the destination. This conversion and reconversion is carried out in real time. With this high-end and flexible IP solutions, user can share the data with minimum latency or less interruptions with his near and dear ones around the world.
There are 2 types of VoIP telephony services, depending upon the requirement, users can opt for any one. For instance, users can either make free calls or pay a small amount for per- minute calling. Free calling is the best option to call your friends and relatives. For business purposes, paid call service works well as the reliability and security is the main consideration.
While looking for Internet telephony service providers, users must opt for a reputed VoIP service provider that offers best services in terms of quality, features like unlimited incoming and outgoing calls with other facilities for a flat rate and 24×7x365 hours of online service support. Hence, users must look for priority features such as cost effectiveness and excellent voice quality as well as other advanced features like voice mail, caller ID, call forwarding, 3-way calling, automatic redialing and many more. Users must select the VoIP provider that offers wholesale carrier services, reseller programs and business solutions to their clients from various sectors of the industry.
Thanks to Kristen for contributing this article to our VoIP blog:
To avail the benefit of voice over IP telephony, user needs high speed Internet connection, PC installed with VoIP software, Analog Telephone Adaptor and a headset. Packet switching technique of network services are used to avail the benefits of IP telephony. The Internet telephony process is the cheapest way of calling over the Internet as it uses single cable for sending and receiving data. The basics of IP process is conversion of analog voice signals into digital formats. The data in the digital format is compressed and encrypted of the signal that is routed over the IP network. The process is reversed before it reaches the destination. This conversion and reconversion is carried out in real time. With this high-end and flexible IP solutions, user can share the data with minimum latency or less interruptions with his near and dear ones around the world.
There are 2 types of VoIP telephony services, depending upon the requirement, users can opt for any one. For instance, users can either make free calls or pay a small amount for per- minute calling. Free calling is the best option to call your friends and relatives. For business purposes, paid call service works well as the reliability and security is the main consideration.
While looking for Internet telephony service providers, users must opt for a reputed VoIP service provider that offers best services in terms of quality, features like unlimited incoming and outgoing calls with other facilities for a flat rate and 24×7x365 hours of online service support. Hence, users must look for priority features such as cost effectiveness and excellent voice quality as well as other advanced features like voice mail, caller ID, call forwarding, 3-way calling, automatic redialing and many more. Users must select the VoIP provider that offers wholesale carrier services, reseller programs and business solutions to their clients from various sectors of the industry.
Thanks to Kristen for contributing this article to our VoIP blog:
To know more about the telephony services, visit: Internet Telephony including various enhanced quality VoIP Services.
