The Right Time to Invest in VoIP

By: Kristen

Till a few years ago, VoIP was a name that brought forth many apprehensions in mind about its survival. However, VoIP has come back with a huge bang forcing the entire business industry to take it seriously. The technology itself is simple enough to understand. VoIP technology converts analogy signals which exist in the form of our voice into small digital IP packets, compress it and send it over the bandwidth through the Internet. It reaches the receiver in the form of analog signal which has been decompressed.

Business houses and residential homes both have started utilizing voice over IP technology for fulfilling their communication needs. This technology is extremely flexible, benefiting corporates and end users alike. Voice over Internet protocol is also available in the form of calling cards. Calling card companies have started relying in a big way on VoIP. This is because it offers cost effective communication, thereby raising their profit margin.

Other users of this technology could be wholesale carrier service providers, resellers, ISPs, ITSP's and residentials.

ISP and ITSP's already have an established network of broadband services which they offer to their clients. They can equip their services with VOIP and offer a complete telephony solution to their clients. This gives them an added advantage over their competitors and helps in building brand preference.

Wholesale carrier service providers are those providers who purchase VoIP connectivity or minutes in bulk from Tier 1 service providers. It is ideal for those who are willing to make a substantial investment in this business and also have technical knowledge about voice over IP service. They are those providers who eventually get the advantage of controlling the telecom industry by controlling the pricing.

A reseller on the other hand doesn't have to make a substantial investment in the telecom business since the infrastructure and technical equipments are provided by the wholesaler or service provider. A reseller is like a retailer, who acts as a middleman between wholesalers and end users.

Keeping in mind the popularity and the potential of this technology it would be beneficial for companies to invest in this business at this hour in order to make a killing and establish themselves as a brand in future.

VOIP
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