VoIP is the acronym for "Voice Over Internet Protocol", which is a tech's way of saying you can use the Internet to make telephone calls. Well, guess what that's nothing new because the techs have been doing this for years using a variety of software packages talking to other techs with the same software. (To simplify matters, this technology results in what is often referred to as "broadband" phones or "Internet" phones.)
The big news is that recent technology lets you adapt any phone to a VoIP phone and save a lot of money in the process. Big U.S. players such as AT&T, Verizon, Avaya, Primous and Vonage are establishing their marks with the new technology.
One of these companies, Vonage, has been whispered about in Canada for the past year or so and this summer officially introduced its Canadian offering.
How Does it Work?
With a VoIP phone setup you receive your typical small "black box". You connect it to a power supply, plug your external cable into it then simply attach your telephone. Presto you are up and running.
The main feature of broadband telephony is that it is inexpensive because the technology and infrastructure already exists. For example, Vonage offers the basic service for less than $20.00 a month including 500 anytime minutes calling anywhere in the U.S or Canada. The service also includes those conventional features we have become used to like voice mail, caller id, call forwarding and others. You can also track your usage, billing information and investigate other special features of the service. The company offers special programs designed for small business.
One of the advantages of this technology for small business is that you can choose any area code in which you want your phone number to be active. For example if your office is in Saskatoon, but you do the bulk of your business in Vancouver, you can choose the 604 area code so your customers can call you without having to pay long distance charges.
Other features of the Vonage system let you take your modem traveling and use it with any phone anywhere you have a high-speed Internet connection or use special phone software that can be used on a laptop when you are traveling.
Quality?
Nay sayers of this technology originally pointed fingers at the voice quality and said it would never compare with conventional phone systems, but now the Internet has the bandwidth and quality to support the application and the critics have quieted. Today the voice quality is equal to regular phone service.
Growth in Canada
The competitive landscape in Canada for VoIP service is bound to heat up quickly in Canada and the larger players are eyeing the market and as more and more homes and businesses are opting to high-speed Internet service. Telephone companies being cautious about the market until it has been determined whether it will be left unregulated. Major Canadian cable providers such as Rogers and Shaw are expected to introduce their VoIP plans early next year.
Industry experts can't yet agree on an expected growth pattern, but all do agree that the technology is here and growth over the next few years is expected to be rapid as more and more consumers and businesses option for the features of this new technology.
Some people feel that eventually all telephone technology will migrate to VoIP technology.
Rod Feller, Editor/Publisher
