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Voice over Internet Protocol

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Voice over Internet Protocol
Voice Over Internet Protocol
Table of Contents
1. Description of VoIP Trends and Characteristics
2. VoIP Technology
3. Future Trends
4. Companies Involved with VoIP
5. Regulation Issues
6. Global Implications of VoIP
7. References

VoIP: Current and Future Trends
Description of VoIP Trends and Characteristics Voice over Internet Protocol, or VoIP, as it is also known, is a combination of telephonic technology with Internet applications. This rapidly advancing technique is used in a number of applications, including desktop IP phones, mobile VoIP-enabled handheld devices, and gateways (Wyss, 2003). What is particularly remarkable about the growth of the VoIP industry, is the fact that the Internet was originally designed for purposes not related to voice communications.

Indeed, voice communications were handled effectively by public switched telephone networks (PSTNs) and cellular networks (Wyss, 2003). The very nature of the Internet – used as it was for asynchronous data communication – made it unfavorable for the voice communications industry. Other factors playing a role in this include the loss and retransmission of data packets and no specific bandwidth dedicated for each user (Wyss, 2003). Unlike telephonic networks such as PSTNs and the cellular industry, the Internet is not controlled by a single centralized entity for coordination purposes. Real-time communication services powered by the Internet should thus prove highly unlikely or at the very least challenging.

However, VoIP technology appears to have evolved to become part of businesses and homes around the world, and financially it is doing increasingly well annually, and projections for the future are rosy. Wholesale VoIP for example generated over $400 million in 2002, whereas sales of VoIP gateways and equipment are estimated to reach $12 billion by 2006. This is a six-fold increase from 2001 (Wyss, 2003). Wired IP phones, as well as mobile IP phones and private



References: Balmoris, Michael (February, 2004). "FCC Moves To Allow More Opportunities For Consumers Through Voice Services Over The Internet". February 12. www.fcc.gov Communications (August, 2003). "Voice over IP – status-quo, key trends and outlook for the future". Communications. http://www.embedded-control-europe.com/pdf/BaSSep03p34.pdf Miller, Matthew (February, 2004). "With one voice: VON Coalition argues case for VoIP". EDN, 24 February. http://www.reed-electronics.com/ednmag/article/CA386087?stt=000&industryid=22043 Singer, Michael (July, 2003). "Trends Point Toward New Internet Architecture". Earthweb, July 14. http://www.cioupdate.com/trends/article.php/2234781 Wyss, Balz (March 2003). "Voice Over Internet Protocol (VoIP)". Microsoft Corporation. M Microsoft Embedded and Appliance Platforms Group (EAPG). http://download.microsoft.com/download/c/2/0/c20581e5-33bb-45a1-8d76-f367fb26a612/VoIP_white_paper.doc.

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