Simply Digital

Episode 7: VoIP

It seems like everyone is offering you alternatives for your plain old telephone system(POTS). From Vonage, to your broadband provider, they are all battling for your dial tone dollar and they are all using the same underlying technology — Voice Over Internet Protocol - VoIP

In episode 7, Michael Ashby and Analog Dave talk about what exactly VoIP is, how it works and why you might find it a good alternative to your regular phone line.

Show Notes

1. What Is VoIP?
   • VoIP stands for Voice Over Internet Protocol.
   • In the simplest definition, it means that you’re running voice conversations over a data network, such as the Internet.
   • When you use dial-up for Internet access, you are running your data over a voice network.
   • With a Broadband connection to the Internet, you’re using a high-speed data network.
2. Do I Have To Have A Broadband Connection To Use VoIP?
   • Yes. Technically you can run VoIP over a slower connection, but the call quality is very poor.
   • The good news is that broadband aka “high speed” Internet connections are becoming more and more prevalent.
   • Even mobile phone carriers are now offering high speed connections on your phone.
   • Analog Dave just recently moved to Cingular which markets a high speed data network called Edge. Dave couldn’t remember if his phone had Edge on it or not, because it wasn’t a priority for him. If it did, it was just Lagniappe.
3. A Little History
   • It used to be that voice networks were faster than data networks.
   • People are not very tolerant of problems with audio in a phone call. Delays, echos and things of that nature are quickly noticed by listeners.
   • Voice networks are great at point-to-point streaming. That’s what makes a call so reliable
   • Data networks are inherently different in that they transmit packets and those packets don’t have to be in sequential order.
   • With dial-up, you’re running data over a voice network because originally that was the fastest method for the average consumer.
   • Today, data networks have become so fast that we can now run voice information over a data network and still have a relatively high level of quality.
4. How Do You Use VoIP?
   • The most common method of using VoIP is to purchase a service such as Vonage, or Packet8
   • With these services, you purchase a “box” and connect it to your cable modem and then use a regular telephone to make calls via the Internet.
   • Michael’s mother recently switched to Vonage. She doesn’t have a standard landline phone. Instead, she uses her normal telephone and through Vonage can make calls to anywhere. She was also able to transfer her old telephone number to her Vonage account.
   • A breakdown of how it works can be found at this link, under “How Does Vonage Work?”
5. What Are The Advantages Of VoIP?
   • The number one reason is cost. VoIP tend to be less for long distance charges and for phone features
   • Features such as voice mail, callerID with Name and call waiting are included, so there are no extra charges for these services like there is for your traditional landline phone
   • Long distance charges are lower and in some cases included in your plan. This means that you can make unlimited long distance calls for a monthly fee.
   • Back in Analog Dave’s day, you had to call the operator to make a person-to-person call, but today things are much more fluid.
   • Many services also allow you to transfer your existing number. This means you don’t have to change your phone number if you move from a landline to a VoIP solution.
   • Since VoIP runs on a data network, it doesn’t matter what area code your phone number is. In other words, you can be physically in New York, but your phone number is an L.A. phone number.
   • You can also take your VoIP telephone adapter (”box”) with you when you travel so that your phone number travels with you.
   • If you travel a lot, you can look at getting a WiFi phone such as the WiFi UTStarcom F1000 for Vonage
6. Does All VoIP Solutions Cost Money?
   • No! You can use software on your computer to initiate a voice conversation
   • Instant Messengers are a great way to try out VoIP to see if it’s right for you
   • All you need is a microphone and headphones, or speakers on your computer.
   • We recommend something like the Logitech Stereo USB Headset 250 for better quality audio
   • Instant messengers with voice support include Google Talk, AIM, Yahoo! Messenger and MSN, but they are limited to voice calls to other IM users, not landline phone numbers. In other words, you can use Yahoo! Messenger to call other Yahoo! Messenger buddies, but not dial their home phone number.
   • Skype is another software product that has focused on VoIP and even supports calling a landline number and not just other IM users. You can even add a local telephone number in order to receive regular phone calls.
   • Simply Digital uses Skype for remote interviews and have been very pleased with the results.
   • Skype can do conference calls and is allowing free calls to US phone numbers
   • With Skypecasts, it will soon be possible to talk to up to 100 people at one time.
   • Skype, and other VoIP solutions often offer higher quality audio than a traditional phone call
7. Are There Downsides To VoIP
   • Reliability can be an issue. Depending on the service that you’ve chosen, you have to have power, an internet connection and in some cases a computer. Should any one of those pieces not work, you won’t be able to make a phone call.
   • Quality of service can also be an issue. Since you are relying on your Internet connection, should your broadband provider not provide you with a quality connection, you’ll run into problems. This can also be an issue if you’re a heavy data user.
   • Emergency services may, or may not work like a landline phone. It depends on your service. Skype for example DOES NOT SUPPORT emergency calls. Vonage and Packet8 do, but with some concessions. It’s best to look closely at your provider if this feature is important to you.
   • Integration with the global telephone number system isn’t there. A traditional landline phone meets a particular specification and VoIP does not meet that spec.
   • So if someone were to look you up in the phone book, or by dialing information they may not find your number.
8. Business Advantages To VoIP
   • The cost savings for large companies is much greater, due to long distance changes
   • Your corporate phone system can be completely integrated. Someone in New York and push an extension button and reach someone in Japan.
   • It’s complicated, but if have an IT department, then it’s what they do, so it’s not completely out of the question.
   • The beauty of a corporate VoIP solution is that you can extend your corporate phone system to where you need it to be.
9. For The Geeky Amongst Us
   • Check out the open source PBX solution Astrisk.
   • This is a do-it-yourself software solution that uses a PC to create a phone system.
   • Asterisk@Home (now called TrixBox) is a home version of Asterisk that is much easier to install and manage
   • Once you have an Asterisk phone system setup, then you can use a WiFi Phone, such as the Linksys WIP300, and extend your phone system to wherever you have WiFi.
   • If you’re a home user, you could take your home phone with you when you go on vacation
   • If you’re a corporate user, you could take your office phone home with you if you were working from home. This way, your secretary, or your boss could reach you the same as if you were sitting in your office.
   • There is still the limitation of having to have access to a data network in order to use it and a mobile phone may make more sense in the long run.
10. This Is Still An Evolving Technology
    • Things are changing almost weekly with VoIP
    • However, AT&T stopped marketing it consumer long distance awhile back and it not focused on it’s VoIP offering CallVantage. So clearly the large telephone companies see VoIP as the future.
    • The cable industry is big on VoIP and seeing big growth in bundling your telephone service with your cable TV and high-speed Internet services.
11. What Do The Simply Digital Guys Do?
    • Analog Dave is very non-bundled. He prefers the best product for each need. He still has a regular phone line with a traditional touch-tone phone.
    • As geeked-out as Michael is, he has the same thing. He uses Skype and is starting to play with Asterisk, but likes the sense of security knowing that should power go out, or a service fail, he could always pick up a phone and get a dial tone.
12. For More Information
    • VoIP eTailers: Voipsupply.com
    • Build your own VoIP solutions with Asterisk

A Final Note:
If you’re interesting in trying VoIP, then start with Skype to see if you like it. Skype has good quality audio and will let you get a feel for what it’s like without having to spend any money.

If you like it, but find having to use a computer, then try a service like Vonage, or Packet8. These services give you more of a traditional phone experience and offer a lot of features for less money.

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