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Posted: Wed, May 23, 2007

Voice over IP: What, How and Why?

by Abigail O'Reilly

VoIP image"The single biggest problem in communication," remarked playwright George Bernard-Shaw, "is the illusion that it has already taken place," and so it has historically been regarded as a concept defined and evaluated by its changing mediums of operation.

There are currently a wealth of facilities available aiming to supposedly enhance our interaction with others, including email, instant messaging services, (such as those provided by MSN, Yahoo and iChat) and video-conferencing technology, making that traditional technique of cupping our hands and hollering to our neighbours from our doorsteps a virtually redundant method of asking to borrow an extra cup of sugar (and don't even mention carrier pigeons or tin-cans on strings; both a big no-no for anyone 'in the know').

The telecommunications industry is characterised by development and innovation, and is continuously adapting to meet the demand for increased speed and efficiency by businesses and individuals the world over.

For years BT subjected the British public to images of Bob Hoskins bumbling around the world, clammily grasping a telephone receiver whilst enthusiastically claiming "it's good to talk," and it would seem that although we agree with the need to increase the immediacy of communication, the PSTN (Public Switched Telephone Network) and traditional telephone services are no-longer considered to be sufficiently refined to cater for our modern-day needs.

So what is the solution? Hello, VoIP anyone?

VoIP (Voice over Internet Protocol) is a relative newcomer to the world of cyber communication, and according to a report by Ofcom, (the independent regulator and competition authority for the UK communications industries), by the end of this year there will be approximately three-million PC-to-PC VoIP users in addition to about one-million people using VoIP to call to and from traditional telephone receivers in the UK.

But what exactly is VoIP, and is there any special equipment required to implement it?

Firstly, unless you are some sort of techno-luddite, it's unlikely that the VoIP revolution will have passed you by entirely unnoticed, but for the uninformed it refers to the provision of voice calls and messaging services using the internet, instead of through the use of a fixed-line telephone connection.

Effectively this means that instead of running voice and data communication over two separate networks, you can consolidate the provision of both over a single IP network which, according to Michael Eaton, Director of e-Wales, Welsh Assembly Government, is "revolutionising the way people make phone calls." His optimistic report continues that VoIP works in a way comparable to an instant messaging service; when you make a call the recipient will receive a message informing them who they are being contacted by, and then asking them if they wish to speak with you.

Users have a unique identity, like a phone number or an email address, which is recognisable anywhere in the world, meaning that they can be located by VoIP software easily in the same way as a web browser can find a specific website using its URL. When a user is contacted, their PC or VoIP software notifies them - in a way comparable to a phone ringing - and if the person accepts the call, a connection is made between the two devices and a conversation can commence using a microphone either adjacent to, or part of, the users workstation. Sound waves are then converted into digital signals and transferred via the internet in real-time, meaning that you can be chatting about the weather in no time at all (if you're that way inclined, of course).

There is not one distinct way of adopting this method of communication, and VoIP can be initiated using a variety of methods, either by cultivating a connection between separate workstations, by using an ATA (Analogue Telephone Adaptor) alongside your computer, or through the use of IP phones.

Programmes such as MSN Messenger, Yahoo Messenger or Skype can be downloaded for free over the Internet, and will enable you to enjoy the benefits of VoIP technology using your workstation immediately.

VoIP imageA computer-to-computer connection is widely considered to be the easiest way, with the only components needed being the correct software, a microphone, speakers, a sound card and a broadband connection. There is not usually a charge for making computer-to-computer calls in addition to your monthly Internet Service Provider fee, irrespective of the geographical distance between workstations.

An ATA is an additional device which allows a conventional telephone handset to be attached either to a computer or to an internet connection. This is used alongside VoIP software, enabling the transference of voice messages into digital data which can then be transmitted through cyber space to your partner. IP phones, although comparable in appearance to conventional telephone handsets, have a specific function since they comprise of all the hardware and software necessary to initiate a VoIP call, and they are connected directly to your broadband router.

So, what are the advantages of using VoIP technology, and what are the implications for SMEs? According to Mick Hegarty of BT, "the benefits for smaller companies reach much further than reduced price or free calls."

VoIP services can dramatically reduce telephone expenditure by allowing a company to have multiple lines at no additional cost. Business efficiency can be maximised since not only would this boost employee productivity, but also help to simplify IT management processes since more recent services can integrate with other applications including email packages to create combined contact lists, meaning that information would not be lost but consolidated during the transition from traditional telephone services to VoIP.

Operating costs would be significantly reduced for a company since a VoIP exchange is dependent upon software rather than hardware, which means that not only is it relatively simple to implement, but it can be maintained with minimal effort.

"In addition," remarks Hegarty, "they allow users to make and receive calls wherever they have a broadband connection. This makes it easier to work from home, or remotely. We have a number of customers who travel and use their UK number to make and receive calls through BT Business Broadband Voice, even when they're abroad. All they have to do is plug their adapter into a broadband connection and they can get a British dial tone and call rates."

VoIP therefore offers a greater degree of mobility and flexibility, and although this technology is still in its infancy, as more and more companies incorporate this technology into their daily machinations it will become commonplace, reducing the cost of tangible premises as employees will have the means to keep in contact with the rest of the workforce whilst in the comfort of their own homes. This, predicts Hegarty, "will be the norm - particularly once the 21st Century Network is rolled out across the UK." The 21stCentury Network, or 21CN,is an initiative by BT aiming to implement an advanced technology network throughout the UK by introducing an end-to-end IP based network system, consolidating all telecommunication services. With Cardiff and the surrounding area the first location where this was initiated in November 2006, BT is awaiting feedback before progressing further, although what it does demonstrate is that word is spreading fast about the relative benefits of a VoIP communication system.

So far this sounds like an effective medium of communication, right? So what are the pitfalls? The use of VoIP is praised for providing calls free of charge, but Hegarty is sceptical about this facet of the technology: "Nothing in life comes for free, so businesses should be wary of anything that claims it is - there's a reason that it's free. There could be hidden charges, lengthy contracts or the services may not be designed for business use," which is something to consider, especially since the cost of introduction may be a significant drain on the financial resources of a small organisation.

Some companies adopt a 'Rip and Replace' approach, removing existing operating systems and introducing an entirely new converged network, although this requires investment of an overwhelming amount of capital, which cannot be rapidly compensated for by the savings made on phone calls. In an attempt to counter this, some businesses may consider upgrading their existing network systems to make them amenable to the use of VoIP software, but owing to the price of installing new line cards, the total cost is comparable to that incurred through the 'Rip and Replace' method, meaning expenditure is not reduced.

Implementation would, therefore, be a big risk for smaller organisations, especially since VoIP is still a fledgling form of communication. Many organisations may not use comparable technology, which is often a must for it to be used affectively or, in many instances, even at all. Realisation after implementation would not only be costly, but would greatly disrupt the functioning of the business since there would be an immediate loss of familiar phone functionality.

"Some VoIP services," remarks Hegarty, "require the caller and the receiver to be using the same software. Businesses often find it is better to get an unrestricted service that enables them to call anyone." It's likely that staff may require re-training to use the new network, and as it is a system dependent on wall power, if there is a power outage, employees will be unable to make any phonecalls, forcing the company to a virtual standstill.

VoIP imageAnother consideration is the security measures needed to ensure the healthy maintenance of the system. VoIP is vulnerable to Internet risks, including phishing, viruses, worms and hacking, since traditional security infrastructure (firewall and NAT devices) was not designed with this method of communication as a consideration, and so they are not compatible. Although a refined, phased migration process, deployed using technology with the correct capabilities, would reduce the possibility of the system being infiltrated, this requires the expertise of specialist staff, and even then it's not a watertight precaution. It's imperative that VoIP software should feature VoIP firewall functionality, with the ability to encrypt voice calls over a high-speed connection. Effective use would require diligence in the updating of virus protection software, which may not only be a further drain on resources, but also disruptive, even if for a short period of time.

As VoIP recognises users through IP-addressed phone numbers, it is not possible to determine physical location using these unique cyber identities. In the event of an emergency, then, 999 operators would be unable to determine where a person is located, (if the caller is unable to tell them verbally), meaning that there would be no way of knowing which call centre to route the call to.

The most significant criticism levied against VoIP, however, is that the voice quality is not yet comparable to that of conventional fixed-line telephone services. "This is particularly true," says Hegarty, "for free services, but paid for services from reputable suppliers are very much the same as fixed-line and often better than mobile."

But, for an organisation heavily dependent upon telephone calls each day, would the transition be advantageous in the long-term if voice quality still leaves a lot to be desired, even after costly installation processes? At the moment, it would be something requiring lengthy consideration, especially as it's a form of technology constantly subject to re-invention and development, meaning that upgrading on a frequent basis (at an additional cost) would be essential to ensure the healthy running of the system.

With the industry estimating that at present there are more than 500,000 active VoIP users in the UK, it is a service likely to experience a boom in sales over the coming years, and no-doubt VoIP will rapidly become integral to the functioning of any successful business. It's certainly an industry to watch.



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