"Voice over Internet is changing
the telecom landscape."
VoIP Mechanic has wanted to keep you informed with news that has had a direct affect on 'VoIP consumers and providers. We have highlighted events and news, placing emphasis on articles that have direct impact and relativity to the VoIP community. We believe this is preferable, rather than to just focus on the latest news event, which may not be as important. WE have kept our previous news articles for your browsing.
Previous News & Commentary
In a notice issued late Monday the FCC said that VoIP providers that have not fully achieved E911 compliance by Nov 28th will not be forced to disconnect services from any existing customers. more 11/08/200
It appears some VoIP providers see the recent FCC E911 ruling as being too short on time, having a November 28 deadline. Nuvio, a VoIP service provider, has stated if the FCC order goes into effect as planned it will have to start disconnecting it’s mostly small- to medium-sized business customers, so has decided to take the matter to court. In appealing to the FCC ruling, Nuvio has the U.S. Court of Appeals for the District of Columbia to deliver a decision by November 7, before the FCC order goes into effect.
It appears that the current numbers and latest predictions for VoIP users worldwide are even larger than previously reported. Retail VoIP customers worldwide have more than doubled in nine months. Cable companies are finding it easier than expected to convert subscribers from traditional telecoms, with Time Warner posting a whopping 69% growth in the first quarter. Japan is the largest market numerically, but their subscribers need to retain traditional lines due to emergency regulations. The VoIP lines in Japan come bundled with other services as a second line, which are then used for cheaper long distance calls. It seems VoIP is expanding everywhere, and as the push to gain new customers continues, customer recognition of VoIP will increase.
Level 3 and it's VoIP partners are positioning themselves to be in the forefront for meeting the compliance to the new FCC 911 mandate. In response to the FCC's 911 ruling Level 3 has announced that it is implementing a new emergency-calling network solution for "nomadic" VoIP users. These enhancements will most likely extend the leadership placements of Level 3's partners in the struggle to comply with the 911 mandate by the fall deadline. more 6/27/2005
The FCC has ruled that VoIP providers must offer their subscribers 911 services.
The ruling by the FCC will require all VoIP providers to offer 911 emergency services. They have a limited time, 120 days after the ruling is published, to comply or face penalties. As part of the ruling, the FCC will require traditional telephone carriers to open access to their 911 routing.
Awareness may be a good thing. Vonage has actually noticed a benefit by the rise in the consumer's marketing by some of the big cable companies.
Raising the awareness of VoIP can benefit the whole industry and some of the ISP's marketing is increasing the general understanding of VoIP. Vonage isn't seeing pressure from the competition, but rather benefits. Private investors are taking notice, they just added 200 million to their coffers, bringing the total venture capital raised by Vonage to $408 million.
Retail VoIP services revenues estimated to increase to $20.4 billion by 2009.
Is VoIP going mainstream? It very well could be, with the next two years bringing it into widespread use. Leading the charge is the continued expansion of broadband Internet access among US households. Over 30% of US households will be using broadband by the end of this year. more 5/9/2005
3 Million VoIP residential users in US by the end of 2005
It appears that VoIP may actually turn hotter, as more service providers jump into the market. The competition for VoIP subscribers may start to hinge on the services and applications offered, and how they may actually benefit the end user, not just cheap minutes. This falls right in line with our belief that the best choice for a VoIP provider is not the lowest cost, but the level of services and customer support.
The FCC has levied a fine on a North Carolina telecom firm
for intentionally blocking VoIP transmission over their network. In doing so, the FCC has made a clear statement that such acts that stifle competition will not be tolerated. This is big news for VoIP and the direction data over the Internet will take in the upcoming years. With this shot taken across the bow of a North Carolina Telecom, Madison River Communications, other companies considering similar tactics are likely to be dissuaded. The firm owns and operates four rural telephone companies in Georgia, Alabama, North Carolina and Illinois. It could lead to some yet undiscovered telecoms, who are practicing similar tactics, to reopen their network back to VoIP transmission. This great news for free and unhindered competition and the consumer.
We're not going to block outside VoIP providers.
Top executives of some cable companies who were gathered at the National Cable & Telecommunications Show expressed their stance on the blocking of outside VoIP providers, dismissing any idea that they would subscribe to such a tactic. Paul Allen, who controls Charter, and was the co-founder of Microsoft were at the conference.
Some ISP's have decided to cash in on the move to VoIP by offering preferred routing of VoIP protocols and voice packets over their network. An interesting idea, where the ISP's subscribers, for a fee, will be able to prioritize their VoIP traffic over other types of internet traffic. It will only be as good as the distance that the traffic remains on their network, and once it moves to another network will most likely be handled like all other traffic. But, it seems to show that ISP's realize that VoIP will be a major force, and they are looking for ways to maximize the potential market of their network. more 4/18/05
Level 3, a large telecommunications provider, has completed a survey that determined 71% of respondents would consider subscribing to VoIP services. Many still require more information before making the leap, but young adults, recent college graduates and Hispanics are the most receptive consumers for Internet telephone services.
An amazing one third of recent college graduates and young
people have a higher rate of interest in VoIP than the market average. The rate
is nearly 40% among Hispanics, one of the fastest growing consumer groups.
more
Linksys ships over 1 million voice ports in less than 6 months. It's no wonder that the Linksys ATA seems to be in high demand, not only do that make good equipment, but they provide a complete, easy-to-install solution for consumers. Linksys has announced it has shipped over one million Voice over IP (VoIP) ports in six months, making it the most successful product launch in Linksys' history. Linksys realizes that VoIP may just be the hottest market in years.