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Jonathan Christensen GM Audio Video A Brief History of VoIP
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A long time ago…….. 1996-2001
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© 2007 by Skype. Commercially confidential. The Pioneers Vocaltec’s Internet Phone Gateways: Clarent, NetSpeak, Nuera, Vocaltec, Sonus… Cisco The Carriers: DeltaThree, ITXC, Level3 New breed of internet Codecs - wideband The use cases gel: End users: PC-PC “Ham radio” scenarios Carriers: site to site “tandem” trunking Some “mainstream” apps emerge NetMeeting (last updated in 1999 and still in action) 2 Stage dialing: 1 800 CALL-ATT
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© 2007 by Skype. Commercially confidential. Class 5 Switch Tandem Switch Class 5 Switch Tandem Switch TDM
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© 2007 by Skype. Commercially confidential. Class 5 Switch TDM-IP Gateway TDM-IP Gateway Class 5 Switch TDM-IP Gateway TDM-IP Gateway VoIP Death of Distance
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© 2007 by Skype. Commercially confidential. Tandem Trunking Bandwidth efficiency (more compression, statistical multiplexing) LEC - Avoid the expensive long haul lines Incumbent LD providers could avoid termination fees at the local off- ramp because the trunk is IP.. Its an unregulated “information service”.. Arbitrage, arbitrage, arbitrage Oh yeah.. And inferior service.. Sometimes offered under “alternative” brands..
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Moving on.. 2001 Pulver, Vonage, and Consumer VoIP
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© 2007 by Skype. Commercially confidential. Consumer VoIP Pulver’s early inspiration Min-X, the IP voice minute exchange Free World Dialup (one port gateway) Komodo and the first ATA Turns any perfectly good phone into an inferior IP handset Cisco acquires Komodo and validates the market Vonage is born… Voice over Broadband begins
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© 2007 by Skype. Commercially confidential. VoBB Changes the Players / Power Structure…. Independent Vonage sets the pace early (with lots of cash) Long distance players enter local service markets… The MSOs respond -- with more Buzzwords and TLAs: “Triple Play” “NGN” “IMS” and the dreaded “Quadruple Play”
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© 2007 by Skype. Commercially confidential. What Do Consumers Get?
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© 2007 by Skype. Commercially confidential. Great Savings? Really? And New Features?
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© 2007 by Skype. Commercially confidential. Another Foot in the Grave… Beginning of the end? Incumbents match prices and features on TDM Land line telephony is cheap.. Still... Losing to mobile.. Commoditization is complete VoIP “export” networks are the biggest innovation Send your ATA to India.. Location independent (death of distance – again) Smashing the geocentric numbering plan Further deteriorating the old voice business
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The Summer Revolution - 2003
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© 2007 by Skype. Commercially confidential. IM (therefore IP) IM VoIP Video Visual Sharing Rich Communications
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© 2007 by Skype. Commercially confidential. The Summer of Skype The stage was set.. The solution was 99% complete Robust IP audio stack Multimedia PCs Broadband penetration P2P file sharing networks running at internet scale NAT traversal techniques IM networks.. Skype simply closed the loop.. One application with the right formula Users loved it.. Industry was confounded.. By fall VoN there were 500K downloads
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© 2007 by Skype. Commercially confidential. 276 Million Users Can’t Be Wrong Global appeal / reach Reliable PSTN interconnect Multitude of device options (PSP, N800, Cordless..) Profitable.. Enter the era of rich [PC based] Internet communications Multi-modal communications (original SIP vision) Real time video, Data, Presence, Text, Wideband Audio Smart endpoints, open platform… Application innovation..
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What’s Next?
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© 2007 by Skype. Commercially confidential. Sorting the Mobile Mess Mobility is the last anchor to the old way Fastest growth telecom service today Spectrum scarcity makes it a perfect walled garden The good old days again Closed networks.. Device lock-in.. Phone numbers with geographic bias.. Contracts.. YUCK !! Finally.. The Internet goes mobile First successful auction - 22 MHz of “700 band” spectrum “Open Platform” conditions apply A new game begins..
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© 2007 by Skype. Commercially confidential. The next 10 years The Era of Rich Mobile Internet Communications Multi-modal communications (original SIP vision) Real time HD video, Data, Presence, Text, Wideband Audio Smart endpoints, open platform… Application innovation.. Fixed / Mobile Convergence – for real… Mash ups of web based communications Freedom with mobility… Natural segmentation of competencies 1.Network infrastructure (pipes) 2.Application innovation (developers)
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Questions?
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An eComm 2008 presentation – http://eCommMedia.com for more
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