Everything you need to know before entering the fastest developing part of telecommunications world today.

What is VoIP?
Voice over Internet Protocol is the transmission of voice traffic over existing IP networks, in an effort to converge data and voice networks into one. This market leading technology is renowned primary through its cost-cutting benefits and it’s the main reason for worldwide increase of its usage, getting greater and greater share of world telephony market with each passing year.

How does VoIP work?
The idea behind termination, almost always a first step into VoIP world, is very simple: you put one device (gateway) that makes the interconnection between PSTN and IP. You receive international calls from a partner like Vox Mundi from abroad over the IP, avoiding usual and highly priced international telephony channels. After conversion of IP call into PSTN it is sent to its final recipient through your local phone lines. Since you are locally connected to the PSTN you pay only local call charges and use some of your bandwidth. Your partner pays you the agreed international rate and the difference is your margin. Once set up the box is making money without any need for marketing and support. This is why it was always the first step.

Long-term probably even more interesting service is origination, or sending international traffic from your country to anywhere in the world at prices much lower than ones charged by your local Telecoms. This could be an opportunity for your company to resell Vox Mundi services and provide these to your end customers. Here you need to differentiate the market: there is residential market where you can put devices with only one to four lines on the customer end, and enterprise market where you can expect that they want to keep their phone system and a migration strategy is needed, so that they do not see any change of their calling preferences. You are routing their calls to your IP network to reduce their cost and you are connecting their branch offices so that they belong to their internal phone system. This VPN service might be totally free of charge for end users. If you enter this market it will bring you new demands in matter of needed knowledge and, most important, you will need a solid billing system.