There is no question that VoIP is the next great revolution in voice communications. After reviewing the advantages, its clear that the expense of switching to VoIP is low compared to the savings it can bring.

Getting started with VoIP is often simple. Yes, it can provide cheaper calling, but the real value of VoIP is that it opens up the ability to add new and useful applications to voice communications. The major advantage is the cheaper price.

VoIP (Voice over Internet Protocol) is simply the transmission of voice traffic over IP-based networks. VoIP has become popular largely because of the cost advantages to consumers over traditional telephone networks.

Telephone calls now can be placed either to other VoIP devices, or to normal telephones on the PSTN (Public Switched Telephone Network).

VoIP technology, by its very nature, is more flexible and extensible than traditional voice transmission technologies due to its distribution and architecture. VoIP may seem complicated at first glance, but the concept is simple: Any form of communication that travels through a conventional phone line—voice calls, faxes, voice messages and conference calls—can also travel in digital form through an IP (Internet Protocol) network. VoIP, on the other hand, transmits the voice as digital packets, just as e-mail and Web browsing is transmitted.

VoIP has many advantages, including: Lower cost. Providers offer more competitive pricing for a couple of reasons. VoIP is not regulated by the FCC and is not subject to the same taxes as standard phone companies. Providers offer software-based telephone features unimaginable on traditional wireline or even most wireless telephone networks. In addition, plans do not charge a per-minute fee for long distance. For International calling, the monetary savings to the consumer from switching to this technology can be enormous.

There are three methods of connecting to a VoIP network:

-Using a VoIP telephone

-Using a “normal” telephone with a VoIP adapter

-Using a computer with speakers and a microphone

Calls from a VoIP device to a PSTN device are commonly called “PC-to-Phone” calls, even though the VoIP device may not be a PC.

Calls from a VoIP device to another VoIP device are commonly called “PC-to-PC” calls, even though neither device may be a PC.

Like many new technologies, it has started its economic life by reproducing familiar services and features from the established products it is trying to replace; in this regard, VoIP providers promote PBXs, call routing, automated voice response, and other things businesses are used to looking for.

More and more businesses today receive their telephone service through the Internet instead of from the local telephone company lines. The primary reason for switching to VoIP is cost, as it equalizes the costs of long distance calls, local calls, and e-mails to fractions of a penny per use. But the real enterprise turn-on is how it empowers businesses to mold and customize telecom and datacom solutions using a single, cohesive networking platform.

VoIP’s potential cost savings are obvious when a business considers running all of its calls over the same IP network it set up internally for data, as well as over a phone line to its internet provider (which could be its phone company).

With today’s ever-growing awareness of the benefits of Voice over Internet Protocol (VoIP), more and more enterprises are implementing or converting to VoIP. While challenges still exist in the adoption of VoIP, the benefits of this technology over traditional voice networks are many from increased productivity and operational flexibility, to greater cost reductions and investment protection.