Definitions: VoIP

Definition

Voice over Internet protocol is the use of the Internet protocol (IP) to deliver voice services, often in combination with other applications. While VoIP is mostly associated with the Internet, it can be deployed on any network that uses IP as the basic transmission protocol. For example, a company can link multiple offices throughout the world over a VoIP network that doesn’t directly connect to the public Internet.

Business Applications

There are myriad ways in which a business can use VoIP to its advantage. These generally fall into two main group: VoIP is cheaper, and it is far more flexible than traditional circuit switched telephone services.

Since it uses the Internet, VoIP costs are far less than traditional phone services. This was a particularly big attraction for long distance services. Overall, however, the attractiveness of the low cost of VoIP has somewhat faded. This isn’t because it has gotten more expensive. It hasn’t. The reason is that traditional telephone services have cut prices in order to  compete. The other reason that cost is less of a prime driver simply is that  companies have realized that they must ensure that the services they get are the equal of circuit switched services. Simply, there is a general recognition that voice communications with customers, prospects, partners and co-workers is not the place to save a few bucks.

The good news for VoIP proponents is that the services they offer have gotten far better. Potential customers no longer must make a choice  between good services and cheap prices. They can have both, from either circuit switched or VoIP vendors. Indeed, the phone companies increasingly offer VoIP services of their own. This is a Pyrrhic victory for the pure play VoIP providers, since their faith in the technology has been vindicated – but the big cable and phone companies with money, skills and marketing acumen are taking over.

Deployment Concerns

There are a couple of concerns related to VoIP deployment. The fact that a voice call is timing-sensitive is a big challenge. Structural problems in a corporate network that would not impact email or other static classes of content can create big issues for voice calls. On the public Internet, these  problems can be even trickier, since they are outside the control of the IT  department.

Technical Details

The IP protocol essentially is a way of slicing data, putting each piece into envelops with destination information and sending them off. Indeed, the postal analogy is a good one: Imagine taking an old fashion tape, slicing it into millions of little pieces, putting each piece into an addressed envelop and mailing them. This essentially is how VoIP works. The challenge is that the Internet protocol is designed to send each envelope over the best route based on conditions at that particular point in time. So one packet (or, in the analogy, one letter) may go from New York to Los Angeles via Cleveland. Another may go via Minnesota and another via Las Vegas. Success is dependent on all the envelopes arriving and the pieces of the tape being successfully taped together in precise fashion. Problems occur when envelopes don’t arrive, arrive out of order or not in a uniform cadence. In the world of VoIP calls, the names of these problems are delay, jitter and latency.