VoIP call termination refers to the capability to originate a phone call with Voice over IP and to interface to the public switched telephone network (PSTN) to deliver the call to a land line or mobile phone.
What is VoIP?
VoIP or Voice Over Internet Protocol is voice telephone service over the Internet.
The VoIP industry saw a 9% year over year growth from 2011 to 2012 amounting to roughly $63 billion in revenue growth. PBX sales stayed about the same while VoIP call termination saw the biggest growth within the SIP sector where sales increased by over 80%.
How does VoIP work?
In order to use VoIP call termination, you need to have a quality Internet connection. Analog phone signals are then turned into digital signals that can travel via the Internet. In return, your VoIP service will cost a lot less than traditional phone service. However, you may want to check whether your VoIP service provider offers 911 service, 411 service and phone directory listings, as these are not as common with VoIP call termination as they are with a traditional phone service. VoIP service will offer an array of other features such as call forwarding, call routing, call recording and IVR/auto attendant, among others.
Where is VoIP going?
With so much growth in VoIP call termination, the industry is changing quite a bit. PSTN (public switched telephone network) is shrinking, while, at least in the US, telecom networks are mostly dependent on VoIP already. VoIP call termination has proven a lot more cost effective than traditional telephone network systems.
There has been a lot of talk about VoIP regulation as the FCC is not sure whether to classify it as a telecom or an information service. Because VoIP call termination is so different from traditional telephony, it seems that VoIP needs its own category somewhere between telecom and information services. The FCC is mostly concerned with preventing large telecom companies from becoming monopolies and protecting the end users. The US is not the only country contemplating the classification of VoIP. Many nations see the benefits of VoIP and how it can contribute to mobilizing their economies, but ensuring supervision and regulation is top of mind.
With everything moving to mobile in the last few years, it’s inevitable that mobile VoIP will be on the rise as well. Many providers already offer VoIP application downloads which mean that consumers can use WiFi connections to call via VoIP instead of using their mobile provider’s data plans. With WiFi becoming more readily available in public places, mobile VoIP is sure to grow even further. In order to keep monetizing on voice services, VoIP providers are emphasizing their SIP service offerings. Gone are the days where consumers are afraid of switching to VoIP. VoIP call termination has simply become the standard.