Read Which Technology Spawned The Business

Read Which Technology Spawned The Business

VoIP as a technology

At a simple level, the operation system of traditional telephony can be described by the following scheme: the caller – voice transmission systems – the subscriber.

The idea of IP-telephony is to replace the usual voice transmission system with a cheaper and more universal one –  transmission via the Internet. Moreover, the  simplified system of voice transmission is:

the caller an equipment sends an interconnection request via the IP protocol to the called party’s equipment.

There is a negotiation of a data transfer protocol and a codec that performs encoding and compression of voice data. The connection between subscribers is established. The voice is digitally encoded, compressed, divided into packets suitable for transmission over the IP protocol and transmitted from one subscriber to another, where the reverse operation is performed.

At the end of the conversation, the equipment of the subscriber who interrupts the connection is asked to break the connection.

The IP-telephony allowed to carry out communication in three variants: computer-computer, computer-telephone and telephone-telephone. And if in the first of the variants the use of IP-telephony does not go beyond the Internet, then in the others there is a contact within the traditional telephony.

In the 90s of the last century, the Internet has evolved to such an extent that the transfer of significant amounts of information between countries has become relatively cheap. This made it possible to use IP-telephony to transmit voice data for international telephone calls.

To understand the difference between traditional international telephony and telephony based on VoIP, we’ll consider the following simplified schemes of international telephony.

In the case of traditional telephony there is a large number of intermediaries (large telecommunications companies) between the subscribers. Where do they come from? Ideally, they are the subscriber of each of the telecommunication operators (fixed, mobile or satellite), they should be able to reach any subscriber in any country in the world. However, in practice, for this, “our” communications operator needs to conclude cooperation agreements with all telecom operators in the world, which is impossible. The operator refers to a “higher” organization, which may be a more developed operator in his country or a large transnational telecommunications company. The latter are often large telecom operators from developed countries, such as Deutsche Telecom (Germany), TelecomItalia (Italy), mobile operators with points of presence in a large number of countries – Orange, T-mobile, Vodafone, O2, Telenor, etc. As for connecting means the telephone cables (or satellite communications, transnational multicore cables, including underwater ones, etc.) in each country are used.

According to the scheme of voice transmission in IP-telephony, it may seem that there are practically no intermediaries between subscribers. But this is not so. The Internet does not provide for established contacts between all the participants of the telecommunications market, but it replaces expensive, diverse voice transmission systems into a single, universal and inexpensive one.


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