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tplink Posted:
Im trying to add
my HT802 vonage
adapter to my home
network. I
currently have
...

In The Forum:
Hard Wiring - Installation
Topic:
Vonage behind switch
On Dec 05, 2016 at 06:35:11

DWSupport Posted:
After recent
Vonage update that
took place on the
4th and 5th of
Nov. E-mails with
...

In The Forum:
Vonage
Topic:
Voicemail Not Forwarding to Outlook Accounts
On Nov 10, 2016 at 12:23:26

peterlee Posted:
Had a call from a
Hospital in Ajax,
Ontario to my home
in
Scarborough, Onta
rio
...

In The Forum:
Vonage Canada
Topic:
Hospital Incoming call unable to connect
On Nov 08, 2016 at 11:59:50

TELLDOUG Posted:
I am looking for a
product that will
make my phone ring
louder so I can
hear using
...

In The Forum:
Vonage
Topic:
Looking for a ringer ameliorate
On Oct 26, 2016 at 09:21:30

HildBeft Posted:
You can recollect
password by
connecting the
router to your pc
and open the
browser
...

In The Forum:
Hard Wiring - Installation
Topic:
How to arrive at wifi password?
On Oct 20, 2016 at 05:05:49

HildBeft Posted:
Great tips..
Thanks for sharing
...

In The Forum:
Hard Wiring - Installation
Topic:
How to have Vonage and another land line?
On Oct 20, 2016 at 04:55:03

massrman Posted:
The devices are
available at
different price
margins , please
share your
estimated
...

In The Forum:
Vonage
Topic:
IP PBX for small business
On Sep 30, 2016 at 00:48:03

massrman Posted:
Hi these are most
commonly used SIP
PBX interops and
their
configuration
guides,
...

In The Forum:
Vonage
Topic:
IP PBX for small business
On Sep 30, 2016 at 00:37:45

Sammy00 Posted:
Has anyone setup a
W52p phone for
vonage? I have
a W52p with two
wireless handsets,
...

In The Forum:
Hard Wiring - Installation
Topic:
W52p Setup
On Aug 30, 2016 at 10:38:01

James44 Posted:
Hi, I am
looking for a good
Sip Trunking
provider in
Canada. they
should offer
...

In The Forum:
Vonage
Topic:
A good sip trunking provider
On Jul 17, 2016 at 23:42:46


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Web Phones Connect On Buzz Circuit
Voip Technology Excites Many, Though There Is A Fear Of Dot-Comlike Hysteria


August 22, 2004

By Jon Van

Running a telecom equipment company seldom elicits much excitement from ordinary people.

But these days, when the conversation turns to the business of making phone calls over the Internet, a telecom executive can become the life of the party.

"When someone heard I was in telecom, they'd ask what they should buy to invest" in Internet phone calling, said Westell Technologies' Van Cullens of a recent trip back to his hometown in Georgia. "It's a hot topic."

It is more like a gold rush, and a lot of people are looking for nuggets.

Commonly known as VoIP, for voice over Internet protocol, the technology that routes phone calls over the Web has generated a powerful buzz. Phone giants like AT&T Corp. are building a new business around Internet telephony, start-ups are abundant and cable companies are beginning to launch phone services through high-speed Web connections.

Entrepreneurs and investors are drawn to Internet telephony because there's no clear industry leader and the technology is in its infancy, providing an attractive target for innovation--and investment.

Yet the sudden interest in Voip is reminiscent of the dot-com euphoria that led to an ever-escalating stock market in the late 1990s and into 2000. And that worries veteran telecom executives like Cullens, who fears the hyperbole percolating through the media and Wall Street is starting to put air into another bubble.

"Everybody's running around thinking there's going to be a quick buck here," he said. "But this isn't a revolution, it's an evolution. There are too many unresolved issues for this to happen quickly."

Still, Cullens believes Internet telephony is the industry's future.

His Aurora firm said two weeks ago it will partner with a pioneering Voip company to develop a suite of Internet telephony equipment for carriers like SBC Communications Inc. and Verizon Communications Inc.

The telecom industry, which is only now emerging from the deep slump following the bust of the dot-com bubble, both craves and fears VoIP.

Revenue a concern

Internet telephony moves voice over networks in data packets identical to how information moves for e-mail and Web pages. It offers lower costs and versatility that could inject telecom with new vitality.

But implementing Voip will cost billions, and it's unclear how carriers will generate new revenue. No one has devised a business plan outlining how carriers can make big money.

That deficiency, which was the hallmark of the dot-com boom, is making insiders nervous.

Big phone companies make three-fourths of their money with voice service, and those revenues are shrinking significantly. Long-distance companies, including giants like AT&T and MCI, are financially shaky because their calling revenues are rapidly declining. Local companies like SBC and Verizon, once accustomed to adding new phone lines, are now subtracting them.

If anything, Voip will accelerate these trends, said Rob Marano, director of global restructuring services for PricewaterhouseCoopers.

"So when vendors roll out VoIP, with prices going down, where is the revenue going to come from to pay for the new equipment? That's the big unknown."

While Voip has been around for several years, users comprise only a few percent of the tens of millions using traditional phone service. Even so, the new technology has generated a powerful buzz.

The buzz began last year with Vonage, an upstart offering inexpensive calling packages through an Internet voice service. Voip recently was embraced by AT&T, which is exiting its traditional consumer phone business, and now promotes Voip as an alternative.

How many will fail?

Most recognize there's no way that everyone jumping into VoIP--or even a majority--can succeed.

"It's a dangerous space," said David Helfrich, managing director of Garnett & Helfrich Capital, a Silicon Valley investment partnership. "VoIP is going to happen because it's great technology and clearly the future.

"But it's visible to everyone in the marketplace and there's a lot of competition. I prefer to find a niche with less competition and use that as a base and grow from there."

Because so many businesses and investors were burned by dot-com mania, entrepreneurs are seeking new strategies.

HyperEdge Corp., a small telecom company in Itasca, brought in a new president and vice president with experience in Silicon Valley-style start-ups. The company wants to develop Voip technology and sell it to the likes of SBC and Verizon.

The new executives went to HyperEdge as a vehicle to create Voip technology because it's been in business for more than a decade. The company has a history of selling dull but profitable equipment to telecom carriers.

"To innovate and produce new, disruptive technology, you have to be small and agile," said Marty Hahnfeld, HyperEdge's new president. "But doing this with a start-up company would be difficult because large carriers don't like doing business with start-ups.

"Too many carriers got burned recently when they bought technology from companies that went out of business. Also, by working through HyperEdge, we can develop technology more quickly and with less expense because we don't have to raise funding," he said.

"We call this an inverse start-up."

Hahnfeld's strategy makes sense, said venture investor Peter Fuss, former president of Tellabs International.

"We used to call it a restart," Fuss said. "It's a good strategy because customer relationships are very important."

Larry Strickling, a former SBC executive who also headed the telecom agency at the Federal Communications Commission, said "the problem for any start-up trying to work for a Bell company is the lack of a track record. The Bells don't want any undue risk and are always more comfortable working with a company they already know."

While established vendors like HyperEdge and Westell work to develop Voip technology, there's no shortage of entrepreneurs using the same start-up route so many traveled during the dot-com run-up.

"We're pursuing Voip ourselves," said Joseph D'Angelo, managing partner of Alvarez & Marsal, a New York-based restructuring firm. "There are lots of start-ups out there. Some have enough critical mass that I think they'll succeed.

"Some late entry start-ups may need to go to established companies to partner just because they're a little late to the race. No one has cornered the Voip market."

While carriers fret over revenue potential, consumers may be disappointed that Voip underdelivers on promises of cheaper calling rates.

That's because most calls made from a Voip service end up going to someone with traditional phone service, said Jim Andrew, vice president with Adventis, a telecom consultancy in Boston.

"The cost of carrying a Voip call isn't significantly lower than for a traditional call," Andrew said. "That's because 96 percent of Voip calls end up on a traditional phone line.

"The real benefits of Voip won't be felt until a majority of people use it. Whether that'll be 10 years from now or 30, I'm not sure. But it won't happen in two years.

"A lot of people are acting as if it will."

Telecom giants hook up with Voip

VoIP, or voice over Internet protocol, allows voice communications using the same technology to package and send data, such as e-mail, over networks. Nearly every company involved in telecom is adopting Internet telephony technology in some way. Here is a sampling:

AT&T Corp. is withdrawing from offering traditional long-distance and local phone service to consumers, but has moved aggressively into offering VoIP.

Cisco Systems Inc. is the leading supplier of Voip equipment to the enterprise market and seeks to supply carriers as well.

Comcast Corp., the country's largest cable TV operator, is testing Voip in several markets and plans to roll out service next year.

Covad Communications Group Inc., a competitive telecom carrier, recently launched a Voip product aimed at small to medium-size businesses.



 
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†AK and HI residents pay $29.95 shipping. ††Limited time offer. Valid for residents of the United States (&DC), 18 years or older, who open new accounts. Offer good while supplies last and only on new account activations. One kit per account/household. Offer cannot be combined with any other discounts, promotions or plans and is not applicable to past purchases. Good while supplies last. Allow up to 2 weeks for shipping. Other restrictions may apply.

1Unlimited calling and other services for all residential plans are based on normal residential, personal, non-commercial use. A combination of factors is used to determine abnormal use, including but not limited to: the number of unique numbers called, calls forwarded, minutes used and other factors. Subject to our Reasonable Use Policy and Terms of Service.

2Shipping and activation fees waived with 1-year agreement. An Early Termination Fee (with periodic pro-rated reductions) applies if service is terminated before the end of the first 12 months. Additional restrictions may apply. See Terms of Service for details.

HIGH SPEED INTERNET REQUIRED. †VALID FOR NEW LINES ONLY. RATES EXCLUDE INTERNET SERVICE, SURCHARGES, FEES AND TAXES. DEVICE MAY BE REFURBISHED. If you subscribe to plans with monthly minutes allotments, all call minutes placed from both from your home and registered ExtensionsTM phones will count toward your monthly minutes allotment. ExtensionsTM calls made from mobiles use airtime and may incur surcharges, depending on your mobile plan. Alarms, TTY and other systems may not be compatible. Vonage 911 service operates differently than traditional 911. See www.vonage.com/911 for details.

** Certain call types excluded.

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