VoIP Now

Canadian CEO Seems Unhappy

BCE's CEO Michael Sabia came out swinging against Canadian regulators in regards to price limitations and VoIP.  He stated that large companies should not be forced to have government permission before setting prices for VoIP services.  Basing his argument that there was fair competition with Internet and wireless technologies, he feels that VoIP should be treated the same.  He went so far as to say that the ruling will in fact help the larger companies who "don't need the protection" and not the VoIP start-ups it was intended for.

Excuse me?

I think BCE's board of directors should rethink their choice.  A business man who is complaining that a government ruling is going to help them even though it was intended to stunt their growth in an up and coming technological market?  Hmm.  And I always thought that undercutting the competition was just a nice thing that companies did to help out the poor ole’ consumer.  According to Reuters.com:

[Michael Sabia] called the decision an "incoherent result" and said the regulator had studied the issue through a "badly, badly broken lens." BCE has already said it plans to appeal.

Read more at: BCE CEO slams Canadian regulator on VOIP decision

Vonage Spreads Into Leafy Territory

Vonage announced recently that they will be pressing into 50 new cities in Canada by the end of the summer months. The extension of their services will put VoIP at the finger tips of people outside of the major Canadian cities. According to Vonage the whole process is supposed to be completed in three different phases. With the VoIP market as it is, Vonage is pushing hard to extend their empire on all fronts. According to Digital Home Canada:

The first phase occurs in mid-June in the Greater Toronto Area and southwestern Ontario and includes phone exchanges in cities such as Mississauga, Brampton, Oshawa, Barrie, Oakville, Burlington and St. Catharines. The second phase will expand service with local numbers in Quebec City and Montreal region in early summer, and the third phase in Alberta and British Columbia in mid-summer, with more details on locations at that time.

Read more at: Vonage expanding VoIP Service to More Cities

Global Market On The Rise

As the marketability of VoIP continues to increase, it is to no suprise that the world is starting to catch on.  Something with the savings capabilities of VoIP, the growth is not expected to end anytime soon.  Especially with Vonage's launch of their UK services, I think that these numbers are going to continue to rise.  According to Information Week:

In "Service Provider Next Gen Voice Equipment," Infonetics notes that revenues from global sales of VoIP equipment totaled $493 million in the first quarter of this year, an increase of 40% over first-quarter levels in 2004. The growth trend will continue, and Infonetics predicts that revenues will reach $5.8 billion in 2008.

Read more at: Global Revenue Soar For VoIP Gear

VoIP Takes The Driver's Seat

Ladies and gentlemen start your broadband engines.  This coming Memorial Day, The Red Bull Cheever Racing team will be using wireless VoIP headsets in their pit as well as in their cars.  Along with this, they are relying directly on Cisco produced equipment to gather real time data on their cars.  The team chose to switch from their old radio transmitters to the higher speed WiFi due to the previous problems with telemetry.  I just hope that they've got something better than a WEP protection key to block connections.  If they don’t, I can’t wait to see the picture of another race team plugged into their network.  According to Information Week:

One hundred eighty channels of data will be transmitted from the sensory systems over a Wi-Fi network set up throughout the Indianapolis Motor Speedway. The race cars will feed big chunks of data back to the server, including engine health, vehicle dynamics, and aerodynamics.

Read more at: Cisco Brings Wireless And VoIP To Indy 500

Vonage Roams Abroad

Recently, Vonage has released two different packaged plans in the UK this week.  Vonage's main competitor in the VoIP market is BT, which could be forced to overlook their pay plans due to Vonage's entrance into the scene.  When tested, the overall quality of the Vonage product was good but suffered from latency and a slow internet connection.  Overall I believe that Vonage is very well capable of grabbing a large international market due to their marketing plans and price plans.  According to VNUNet:

"Customers can choose their own phone number and take that number with them, so effectively it's a number for life; and secondly, you can start to use virtual numbers. For instance, you could have a second number corresponding to a US number, which US users could call and it would be billed as a local call for them."

Read more at: VoIP service for smaller firms

Rally To The Gates

Microsoft recently showed interest in the potential of VoIP for corporate communications but shied away from telecoms.  Although VoIP holds a large promise for many corporations, Microsoft is showing that they are not entirely willing to jump head first into a relatively new technology just yet.  While Bill Gates definitely has his eyes on VoIP connectivity, he will probably wait till all of the kinks are worked out of the system.  More importantly, who is to say that the FCC is finished with the broadband phone companies?  According to Tom's Hardware:

"VoIP is the next generation messaging infrastructure", but still just another form of messaging that Microsoft is going to take advantage of. "Microsoft is all about market dominance. And they certainly will pursue dominance in this market, too."

Read more at: Microsoft may enter VoIP telecom market - analyst

VoIP Flaw Detected

A DNS flaw in some VoIP enabled routers manufactured by Cisco Systems, allowed users to be subject to DoS attacks.  While no known attacks have been carried out, there is a push for those who own the affected products to download and install the updated patch.  The patch removes the risk that users face from using the router.  Have faith in the quality of Cisco products because the patch came out on Wednesday and the flaw was discovered yesterday.  How’s that for customer service.  According to InternetNews:

Cisco said products that could be affected by the flaw are DNS clients, including its 7902/7905/7912 series of IP Phones, its Unity Express and ACNS devices.

Read more: Cisco Patches DNS, VoIP Flaws

More Bang For Your Buck

TV, VoIP, Broadband, and Wireless phones for 149 dollars a month.  Ladies and gentlemen, what more do I have to say.  A recent study just unveiled that 31 percent of people were willing to switch from their current providers to sign on for a "Quadruple play" system.  While this doesn't seem like a large percentage, that’s still an estimated 80 millions households.  This then totals to 11,920,000,000 roughly.  Market potential?  You tell me.  Unfortunately, trying to sell the thing may be more difficult than making money off of it.  According to Information Week:

"The challenge is when the sales reps try to explain to Joe Consumer that he needs high-speed Internet access to get 'digital phone'," Lynne Bartos, a senior vice president for the research firm, said in a statement.

Read more: Study: Users Want Wireless Bundled With Access, VoIP, TV

Skype Washes Hands Of E911

With the FCC's recent ruling on E911, European VoIP provider Skype claims that it should not be held as an emergency service to its customers.  Skype's spokeswoman, Kelly Larabee claims that Skype is not a replacement to an existing telephone line and should be regarded as an "enhancement".  Therefore, they should not be expected to provide E911 services in compliance to the FCC ruling.  In other words, they don't want to pay to have the system installed for their 4 millions American clients and focus more time on their other 36 million worldwide.  Let me illustrate this fact:

Larabee stated that, “there are ways Skype could enhance emergency services. For instance, text messages or e-mails could help persons in distress to communicate in some situations."  Right.  Like I'm just going to sit around and wait for a 911 technician to pick up their cell phone and read their TEXT MESSAGES.  Is this woman serious?  Do you know how long it would take to text, "People are coming to kill me!” under the circumstances?

American VoIP companies played the "enhancement" card, and they got regulated.  Either step up to the plate, or take your European software elsewhere. According to TechWeb:

Vonage, the largest U.S.-based VoIP firm, has forged agreements with landline telephony operators like Verizon Communications and SBC Communications to insure that 911 emergency service is provided.

Read more: Skype Positions Itself as 'Enhancement' VoIP, Not Responsible For 911 Service

FCC Rules On E911

The rumors were in fact true and the FCC has ruled that VoIP providers must connect their users to E911 networks by the end of this year.  Any company that does not comply with this order could be fined or ordered to cease operations.  However, internet based VoIP services built in to instant messengers are not required to meet the mandatory E911 ruling.  While some say that there may not be enough time allowed for the companies to comply with the FCC order, I think the short time allowance is not without cause.  If they had placed the deadline in a few years time, many companies would continue operations as usual, and not adapt to the new regulations.  Additionally, the FCC would be in big trouble if more people were denied access to emergency services while trying to use VoIP due to the extended time.  According to ComputerWorld:

Vonage praised the FCC order. "The sooner our customers get E911, the better," said Brooke Schulz, Vonage's senior vice president of communications. "We have been asking for this kind of ruling for quite some time now -- since last May, in fact.

Read more: FCC requires VoIP providers to offer E911

VoIP Found A New Friend

Corporate search giant Yahoo! just announced that it is going to be launching a beta version of their messenger shortly with added features.  They include the ability to synchronize address books, feed typed conversations directly onto webblogs, and will also have VoIP connectivity. It is their first try at the voice technology, and many believe that due to AOL's recent push into the market, Yahoo! was hard pressed to follow suit. According to CoolTechZone.com:

Yahoo’s executives claimed that the company is trying to remove roadblocks that may hinder communication in one way or another. As an example, Yahoo has introduced an address book, which will keep track of contact information amongst Yahoo users. The users will be able to synchronize their address books with others online.

Read more: Yahoo to add VoIP to Instant Messenger

E911 To Be Forced

Well ladies and gentlemen; "sources" from the inside say that E911 services will be forced on VoIP providers when the FCC convenes on the 19th of this month.  While it is being declared an early victory for the hard lined telephone companies, I think that the average consumer is being left out of the lime light.  The only reason that such an up and coming technology has been pressed to the forefront of the FCC is the tales of VoIP users being in danger and not being able access 911 services.  For instance, would you like to be robbed and shot only to find out that when you call 911  you receive an automated messaged saying the service is not connected?  No?  Well unfortunately that already happened to a family in Texas.  There comes a point where a company has a responsibility to insure customer safety.  According to Light Reading:

Sources who met with the FCC in recent weeks say the ruling will come at the FCC’s Open Meeting on May 19th, and will require VOIP players to implement 911 service on a nationwide basis within 120 days of the order’s publication. They add that publication of the order will come a few weeks after the meeting, which would put the compliance deadline at late October or early November.

"IF" the FCC is truly going to force the issue and the insiders are correct, there will definitely be VoIP corporate heads claiming that the little guy is losing in an unfair business environment.  Unfortunately, business and life are unfair. Even though the start-up cost for a VoIP provider will increase, the quality of service will improve due to increased customer confidence.  So ahead of time I'm saying this and quote me if you will:

Stop whining for being forced to do something that you already should have offered to customers if VoIP is in fact supposed to be a "replacement" technology for a land line telephone.

I want your input on this issue…

Read more: Sources: FCC Will Force VOIP E911

Pac-West Telecomm Added To 911 Roster

Well well well, apply some pressure and you get the results.  Earlier today Pac-West Telecomm announced that they would be offering their 911 network to VoIP enterprises.  This comes after Verizon and SBC's decision to do the same.  It may or may not have something to do with the proceeding legislation to regulate VoIP and make E911, as it has come to be known, mandatory.  Who holds the key to E911?  The telecommunication companies with the existing networks.  Who would probably hurt the most from government regulation?  That’s right, the same telecomm companies.  Just as you have seen in Canada, the government is extremely willing to set prices for companies that do not want to play nice.  It would be in the telecom’s best interest to negotiate with the VoIP providers so they can at least get something out of the deal.  According to PRNewswire:

"In anticipation of widespread industry demand for VoIP, as well as FCC regulations requiring E911 capabilities for VoIP providers, we have extended our traditional 911 capabilities to enable E911 for VoIP providers as part of our VoiceSource offering. We believe that Pac-West is the only provider in California that provides VoIP service providers with E911 capability in virtually 100% of the state, in addition to other markets in our Western U.S. footprint"  - Hank Carabelli, Pac-West's President and CEO

Read more: Pac-West Telecomm Provides E911 Capabilities to VoIP Providers

Canada To Shield VoIP Startups

In a surprising move, Canada's telecommunications commission has ruled that the countries ILECs must meet approved prices for their VoIP products, while newer startup companies are exempt.  The decision leaves many with mixed feelings however.  The ILECs which control nearly 97 percent of the countries telecommunications are extremely upset because they view VoIP startups as competitors.  With price restrictions, they can not under cut their competition with prices alone.  Surprisingly enough, they must win out on product quality by itself which costs a lot more money.  Even though it is a victory for the underdog, many VoIP enthusiasts are disappointed that regulation and VoIP are being used in the same sentence.  Their belief that VoIP should not and can not be regulated was damaged even though the decision was in their favor.  I say take what you can get because VoIP isn't a backyard toy any longer and the Bell Corporations aren't going to help anyone out if they don't have to.  According to Light Reading:

“The Commission considers that the use of IP does not define the fundamental purpose of the service,” the majority writes. "From a consumer's perspective, the key question is not what technology is used to provide a service, but rather what use the service is to the consumer."

Read more: Canad Regulates ILEC VOIP Pricing

Vonage Tests WiFi VoIP

Vonage is currently testing a new Linksys WiFi router that they could market along with their VoIP calling plans. The wireless capability of new handsets would allow Vonage users to freely roam about their offices or homes without being tethered to a modem or Internet connection through a computer. A wireless system could also potentially be accessed from wireless hotspots in cafes and airports. Technically, WiFi VoIP is already possible but the new Linksys router makes connection much easier for those who don't want to hassle with tricky configuration. According to CNET News.com:

Support for Wi-Fi continues to grow, a positive sign as Vonage and other VoIP operators prepare their own services. On Friday, cell phone operator Nextel Communications, which is in the midst of being purchased by rival Sprint, began offering a $40-a-month service providing unlimited access to 7,000 hot spots run by partners Boingo and Wayport.

Read more: VoIP firm Vonage tests routers for mobile service | CNET News.com.

Security A Big Threat

Security, security, security.  Those are three words that every VoIP user needs to understand and be aware of.  Unfortunately, many people and even service providers are unaware of the danger that they are putting themselves into when they use their VoIP connectivity.  These risks come in the form of Denial of Service attacks, hackers making free calls at your expense, and third party listeners on your conversations.  While I am not trying to scare people away from using VoIP, people have to understand that their connection is not an impenetrable wall.  According to IDM:

"Like any infrastructure which is accessible on a network, it can be attacked or used as a launching point for deeper, inter-network and inside the organisation attacks. VoIP opens voice communications to the same types of security threats that expose data communications to attacks."

Read more: Security Fears Raised Over VoIP

VoIP & Verizon Strike A Deal

Today is the day that Vonage and Verizon are really working together.  Although they have been having fun testing their 911 system in NYC, they are now moving forward with a "territory-wide" implementation of an emergency system geared for VoIP.  Why territory-wide you may ask?  Mainly because Verizon is only located in 28 states, they are limited to those areas and cannot extend without further assistance.  Although it might be a shortfall at the current time, when their methods are tried and tested, you can expect other phone companies to come forward and offer their assistance to VoIP providers.  Hopefully the system works well for the consumers’ sake, and for the corporate heads that have to square off with the American government.  According to TMCnet:

"Verizon is a responsible steward of the E9-1-1 public trust, through their foresight Vonage is able to implement an E9-1-1 solution that will serve all customers," said Jeffrey A. Citron, CEO of New Jersey-based Vonage.

Read more at: Verizon and Vonage Tackle VoIP E911 Dilemma

Consumers Like Bundles

A recent study conducted by Decima Research of Canada, found that 9 percent of the 2000 people polled said they were probably going to sign up for VoIP in the coming future.  When asked if they would get the service if it was bundled with cable and broadband internet, the percentage doubled.  It is believed that there could be a greater amount of cost efficiency having all of the services together.  Additionally, the notion of having everything going through one company is just as appealing as the cost factor.  Anyone who has dealt with customer service doesn't want to call their broadband company because they lost their internet, then be told to call their VoIP provider because it's their problem, and then them saying your TV is broken somehow.  Bundling from a company prospective is attractive because it is an effective marketing tool.  You can sell people broadband internet and VoIP services that were just in the market to get cable TV.  According to ZDNet:

From a pricing standpoint, these services are and will cost signficantly less when they are bundled as compared to their a la carte price points.

Read moer at: Study: consumers twice as likely to sign up for VoIP if part of a price-bundled service

AT&T Joins The Ranks

The corporate giant has disclosed that it will be rolling out a VoIP service to business customers in the coming months, but is expected to expand on the project later in the future.  With voice, conferencing, and messaging, they are offering similar services that any other VoIP provider out on the market today.  Dubbed the Voice Dynamic Network Applications, it is the company's first thrust into the VoIP sector.  Because it is AT&T, I doubt that they will have promotions or even advertising for this service.  I think that they will be able to rely simply by name in regards to quality assurance and affordability.  According to Information Week:

"AT&T Voice DNA is a VoIP solution for enterprise branch offices and remote locations, as well as for smaller businesses," AT&T said in an announcement. "This service offers enhanced telephony features and 'any distance' calling plans, and provides a full suite of management capabilities and end-user tools."

Read more at: AT&T Top Offer VoIP Service to Business Customers