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Differentiate from the competition - implement VoIPoDSL - Technology Information - Statistical Data Included

Communications News, June, 2001 by Rana Kanaan

VoIPoDSL bestows varied services upon customers.

With the digital subscriber line (DSL) market forecast to grow from two million installed lines at the end of 2000 to more than 16 million lines by 2005, service providers are looking for the next application that will revolutionize their communications businesses. Many of these providers have found that voice over Internet protocol (VoIP) over DSL (VoIPoDSL) offers the ability to provide both voice and data over a single copper loop, cost-effectively, and with flexibility and functionality.

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DSL enables high-speed access over traditional phone lines. Like cable, DSL is an always-on solution. Unlike cable, DSL's dedicated lines provide increased security and guaranteed bandwidth--bandwidth that is comparable to that offered by T-1 and frame relay circuits, but at a lower cost.

The DSL market has experienced tremendous growth, due in large part to the FCC's November 1999 ruling that opened up DSL access lines and enabled customers to use a single phone line for traditional voice service from an incumbent local exchange carrier (ILEC) and for DSL services from a competitive local exchange (CLEC) carrier. The demand for high-speed Internet access and the increased availability of digital subscriber access multiplexers (DSLAMS) also have contributed to the growth of DSL.

DSL is becoming available not only through ILECs, but also through CLECs, interexchange carriers (IXCs) and resellers. Having all of these players in the market increases both business awareness of DSL and the need for service differentiation.

A HIGH-SPEED OPTION

To date, DSL has been viewed as an attractive alternative to Internet access via modem and ISDN. Specifically, DSL is faster than modem access, and is less expensive and complicated than ISDN. Migration from T-1s to DSL also is anticipated. With the addition of voice capabilities to DSL, business focus is expected to shift from broadband alternatives and traditional telecommunication services to DSL.

Voice over DSL (VoDSL) is an overlay to the DSL access network that allows voice and data to be carried over a single loop of copper wire. The bandwidth of a VoDSL connection can range from 768 kbps to 1.5 Mbps, supporting between 12 and 16 voice telephone lines and a data connection on a single line.

Currently, the majority of VoDSL implementations are voice over asynchronous transfer mode (VoATM), which is often referred to generically as VoDSL. VoATM offers good quality of service but requires the use of a Class 5 switch--an expensive capital investment that limits the services, features, provisioning and management options available to service providers and, ultimately, to end-users.

Voice over Internet protocol is an end-to-end solution that allows service providers to bypass the PSTN altogether, avoiding the expense of a Class 5 switch. Like VoATM, VoIP offers good quality of service; however, VoIP provides a more flexible protocol than VoATM for the delivery of voice over DSL. VoIP also interfaces with a variety of networks and is based on a packet-centric network model, which allows bandwidth to be allocated dynamically. This results in more efficient operation and better value for service providers and end-users alike. VoIPoDSL, as an IP-based technology, allows for the delivery of virtually any IP-based service, from videoconferencing to virtual private network (VPN) access.

EASY IMPLEMENTATION

Virtually any provider that has direct or indirect access to DSL can add VoIPoDSL to its service offerings--for resale to other providers or directly to businesses and consumers. Major communications operators can offer VoIPoDSL on top of their own DSL services. Smaller providers can offer VoIPoDSL over lines leased from other providers. Because VoIPoDSL is largely a software solution, it is affordable and easy to implement.

One of the major benefits for next-generation service providers is the reduction in capital and operational expenses due to the elimination of the Class 5 switch. Because VoIPoDSL does not require a physical line installation (the service can be turned up remotely, via computer), additional cost savings can be carried down to the end-user.

VoIPoDSL also allows service providers to differentiate themselves from their competition by providing businesses and consumers with comprehensive communications and data services. Small businesses, in particular, are increasingly interested in purchasing their communications services from a one-stop-shop service provider that can offer unified product sets and billing; real-time, Web-based provisioning; the latest and greatest services; and guaranteed quality of service.

WEB PROVISIONING

Enterprise end-users can easily provision their own service through a Web interface--adding extra lines for new employees; adding services, such as videoconferencing for business meetings; and changing their mix of IP-based applications to support their current needs. No longer will customers need to call the service provider or commit to a service they are afraid they will not use regularly. Instead, users can have instant gratification and easy access to the myriad of services that their service provider offers. In addition, due to the IP-based nature of VoIPoDSL, there is no limit to the number of services that can be offered.

Technology Industry

Differentiate from the competition - implement VoIPoDSL - Technology Information - Statistical Data Included

Communications News, June, 2001 by Rana Kanaan

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