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What is SIP Trunking?
What is SIP?
Sessions Initiation Protocol
Signaling for multimedia sessions over the Internet
Setup
Modify
Tear down
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What is SIP Trunking?
SIP is an application-layer protocol
SIP trunks can be connected via any Layer 2 protocol
Signaling
Media
Utility
Media Coding
SDP
H.323
SIP
RTP
DNS
DHCP
Application Layer
Transport Layer
TCP
UDP
Internet Layer IP
AALx
PPP
Physical / Link Layer
ATM
V.90
Ethernet
MPLS
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From: Understanding the Sessions Initiation Protocol, Alan B. Johnson

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What is SIP Trunking?
Signaling
Media
Utility
Media Coding
SDP
H.323
SIP
RTP
DNS
DHCP
Application Layer
Transport Layer
TCP
UDP
Internet Layer IP
AALx
PPP
Physical / Link Layer
ATM
V.90
Ethernet
MPLS
SIP = Great Equalizer = Open market = Choice!
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What is SIP Trunking?
Brief History of American Layer 1/2 Communications
1880 – 1984: American Bell / AT&T
Essentially a monopoly
1948: Cable TV
1969: ARPANET
Precursor to the Internet – see Al Gore
1977: MCI allowed to compete (common carrier services)
1977: First cell phone test offering
1982 – 1984: Breakup of AT&T
7 Regional Operating Companies
Local service monopoly
1994: U.S. Government releases control of the Internet
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What is SIP Trunking?
VoIP trunks from service providers use SIP for call control and routing
Enables IP/SIP connection to carrier IP networks.
SIP sets up and tears down calls
call is routed via the carrier’s IP network
Calls are handed off to a PSTN gateway for the last mile if they are bound for E.164 numbers.
On-net calls remain native, “pure” IP
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7. Service Provider Broadband
What is SIP Trunking?
PSTN
TDM
SIP Trunk
Service Provider Broadband
IP network
Enterprise
SIP + ENUM
Other IP network
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About VoEX
Global Managed Service Provider
Pure VoIP peering Infrastructure
Carrier-grade Super Registry
ENUM and PSTN phone numbers
Connecting any-to-any
TDM, IP and Hybrid carriers.
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Blue Chip Customers
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Why SIP Trunking?
Save Money Today
Take Advantage of SIP-enabled Applications
Ready for Prime Time
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Why SIP Trunking?
Save Money Today
Lower toll charges
One-time charge for on-net termination
Calls routed to the closest gateway for PSTN termination – may only incur local termination rates
Highly competitive rates for off-net domestic and international PSTN termination
One unified network for voice and data circuits
Reduced trunking costs
Reduced hardware costs
Efficient personnel usage
Other Cost-reduction Methods
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Why SIP Trunking?
SIP-enabled Applications
Voice, Video, Multimedia
Desktop integration (Outlook)
Presence
Follow-me services
“Dial Out”
“Peered” across network
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About VoEX
Global Managed Service Provider
Pure VoIP peering Infrastructure
Carrier-grade Super Registry
ENUM and PSTN phone numbers
Connecting any-to-any
TDM, IP and Hybrid carriers.
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14. SIP Trunking ROI Analysis
Investment Requirements
IP PBX
SIP Firewall
SIP Gateway
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SIP ROI Analysis
IP PBX ROI
“Internal” ROI
Internal Wiring
Moves, Adds, Changes
Administration
Applications
“External” ROI
Trunking Costs
TDM: Trunk vs. Extensions
IP: Requisite bandwidth
Termination Costs
TDM: Local, long-haul contracts
IP: On-net transaction fee, On-net termination revenue, highly-competitive PSNT termination, often based on local termination rates
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Why SIP Trunking?
SIP Gateway (TDM Origination)
“External” ROI
Trunking Costs
TDM: Trunk vs. Extensions
IP: Requisite bandwidth
Termination Costs
TDM: Local, long-haul contracts
IP: On-net transaction fee, On-net termination revenue, highly-competitive PSNT termination, often based on local termination rates
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17. SIP Trunking ROI – Based on Real Customers
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SIP Trunking ROI
Actual customer savings:
15% - 50%
Breakeven: 0 – 90 days
ROI (cost-savings/cost)
Depends on timeframe selected for savings
12% - 53%, first year
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About VoEX
Global Managed Service Provider
Pure VoIP Peering Infrastructure
Carrier-grade Super Registry
ENUM and PSTN phone numbers
Connecting any-to-any
TDM, IP and Hybrid carriers.
Copyright © 2006 VoEX, Inc. All Rights Reserved

20. Director Business Development
About VoEX
Thank You
Bill Cartmill
Director Business Development
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