What is VoIP?

July 4, 2008 by Gadget
Filed under Phones

VoIP for Beginners

So, What is VoIP? It’s a term you’ve no doubt heard in reference to both the workplace and home and is a technology that is rapidly progressing and growing in popularity. VoIP is an acronymn for Voice over Internet Protocol but is often referred to as IP telephony, internet phone and broadband phone.

It is actually a pretty straighforward concept of making phone calls over the internet. It is a way of bypassing the call charges imposed by traditional telephone service providers offering a genuine cost effective alternative. The basic technology is not new, being first used in the 1970’s by the US department of defence, but over the years has been tweaked and brought right up to date to deal with todays demanding market.

Here’s the Science Bit
To try and help you understand the workings of VoIP, here’s a little bit of an insight to the technicalities – Traditional phone networks use a technology called circuit switching and when a call is made, circuits are switched in the intervening exchange to create a connection between the caller and the person being called.

In contrast, VoIP uses packet switching – which is a technology that has typically been used by data networks connecting computers. Within this network, the data is chopped up and divided into small packets which are given unique identifying information and then transported across the network. At the end of the line, these tiny packages are reassembled to create a whole again and provide information to the receiver, think Mike TV in Charlie and the Chocolate Factory.

This clever process is now applied to voice calls through VoIP. In the past they rarely used packet switching for voice calls due to the reassembling process deteriorating the call quality, but with advancements in technology improving systems giving poriority to voice calls over data, the quality of VoIP is now pretty much on a parr with regular phone calls and is only set to going to get better.

Who Uses VoIP?
Since the late 1990’s there has been an incredible boom in the internet’s popularity and with the main advantage of VoIP being it’s money-saving capabilities, it’s little wonder that VoIP is hugely appealing to businesses with more and more exploring it as a alternative to traditional landline calls. Businesses can then have one supplier for both voice and data and streamline their working environment by linking their computer applications with other technologies. If a business operates over multiple sites, VoIP is financially beneficial as it avoids costly internal calls.

VoIP in the home is also fast becoming hugely popular with companies like Skype who offer low cost international calls to subscribers. Whilst there is still a monthly cost for their internet service, it makes no difference whether you are talking to someone in the UK or Australia, as the call is made through the data network the call costs are the same.

An army of companies have risen to offer VoIP services in the UK and take on a variety of forms:

PC to PC – This VoIP form usually takes place with a PC headset and is used on an instant messanged service like Skype.
PC to Phone Network – This is when only the caller uses a headset, a typical example is CallServe.
Phone Network to Phone Network – This is when the caller uses an adaptor on the phone. An example of this is BT Broadband Voice.
IP Phone to Phone Network – This form is often seen used in businesses. It is when the phone itself is IP enabled meaning there is no need for an adaptor.

There has been an influx of IP phones released onto the market recently. From DECT cordless phones that are popular with home users and businesses alike to more business orientated desk-top phones that offer everything a modern business needs and easily substituting current landline business phone.

All said, VoIP is still a relatively young and constantly progressing technology with many people still unfamiliar with it, but there’s no doubt that it’s a rising star and given time will be a household name.

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