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-------------------------------------------------------------- This story was printed from ZDNet Australia. --------------------------------------------------------------
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When phone meets Internet By Ben Charny, CNET News.com August 15, 2005 URL: http://www.zdnet.com.au/insight/communications/soa/When-phone-meets-Internet/0,139023754,139206959,00.htm
As VoIP use rises, so does the number of questions about it. Here are some of the essentials. Since about 1995, when it was first offered to consumers, VoIP has become one of the world's most widely used telephony products. Current estimates put the number of VoIP users at about 5 million, although industry observers say that number will increase fivefold in the next two years. VoIP -- which enables phone calls to be carried over the Internet -- also is one of the most economical phone technologies available. Many VoIP services are available for as little as US$20 a month, though with some important constraints. The key to making the most of VoIP is understanding its basic forms and what you might expect to pay for them. Here are the essentials.
What is VoIP?
VoIP tends to be relatively inexpensive. Why?
Why do some VoIP services cost money, and why are some free?
What do you need to use VoIP? You'll also need VoIP software. Consumers can choose a version that loads onto a desktop or laptop computer, which allows the computer to make calls through its modem connection to the Internet. The customer uses the computer's built-in microphone and speakers, so there is no actual phone or extra adapter needed for this version of VoIP service. But in cases where customers want to convert their home phone to a VoIP dialer, an adapter is necessary. In this scenario, the VoIP software is available preinstalled in a separate piece of hardware known as an analog telephone adapter, which is installed between your home phone and the broadband modem. The cost of these adapters is dropping rapidly. Most are priced well below US$100, and in many cases they are simply given to customers who buy VoIP service.
Who sells VoIP? There also are companies, such as Vonage, that don't own their own networks. Calls placed through these providers are sent out on the general network serving the Internet, which means the calls are out of the providers' control and can be negatively affected by network congestion networks and security problems. These services require you to supply your own broadband service. There's also a growing class of companies that give away VoIP software and then sell premium services, such as those that allow users to dial traditional phones using their PC-based VoIP. The most famous of these companies is Skype, a Luxembourg company that has millions of devotees. On most days, there are about 3 million people making calls over the Skype service. What does it cost to call traditional phones from my PC?Typically, it's less than 2 US cents a minute. For instance, Skype just lowered its fees to about 1.7 US cents a minute, on average, for VoIP calls made to traditional phones.
What happens when the power goes out?
What if I call an emergency service like 000? Will my call get through to an emergency dispatcher?
What does VoIP cost?
Given growing concern about VoIP customer service, are VoIP users given the same legal guarantees of service as traditional phone customers? The overall quality of Internet phone service still lags behind that of traditional landlines. But there is recourse for those who feel they are being mistreated by their VoIP operators: In the US, both the Federal Trade Commission and regional branches of the Better Business Bureau handle consumer complaints. How secure are my calls?There are few clearer signs that an information technology has hit the mainstream than when it becomes the focus of security attacks. Only two consumer-focused operators -- Skype and VoicePulse -- encrypt their calls, a method of keeping the digital packets that constitute VoIP signals from being decoded by hackers. Almost all of the VoIP systems installed in businesses, meanwhile, use current encryption techniques.
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