Advantages of IP Telephony

In relatively short period of time, IP telephony is expected to revolutionize the
telecommunications industry. Advantages of IP telephony include lower cost long
distance and reduced access charges, more efficient backbones and compelling new services. The benefits of shifting traditional voice onto packet networks can be reaped by businesses, Internet Service Providers (ISP), traditional carriers etc. Business benefits from IP telephony because it takes advantages of existing data networks, reducing operating costs by managing only one network and enables them to enjoy almost-toll quality voice. In a recent survey, conducted by Forester Research of 52 Fortune 1000 Firms, more than 40% of telecom managers plan to move some voice/fax traffic to IP network by 1999. For consumers IP telephony started from inexpensive or even free Internet calls. Although IP telephony calls lack certain quality when compared to calls in PSTNs people are willing to sacrifice it for much less costs. Many households have only one telephone line which is often used for Web browsing. Therefore they would like to use IP telephony as a way of accepting incoming calls by rerouting them to the PC.


ISPs have also become increasingly focused on IP telephony because it enables them to offer new services beyond Internet access (voice/fax), improve their network utilization, and offer voice services at significantly lower rates. It is forecasted that the Internet will carry 11% of U.S. & International long distance traffic and 10% of the world's fax traffic by 2002.[9] In fact, UUNET, PSINet, IDT and America Online have already announced IP telephony and fax plans for 1999.

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