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Published byVeronica Barton Modified over 8 years ago
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Telecommunications Industry Barbara Yener Janet Jonson
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Telecommunications Latest Disruptive Technology Voice over Internet Protocol (VoIP) How it works: Converts analog voice signals to digital signal packets that are sent over the IP network using a series of software- and hardware- based codecs Converts analog voice signals to digital signal packets that are sent over the IP network using a series of software- and hardware- based codecs Codecs performs the translations from A to D and D to A as well as compresses the digital signal Codecs performs the translations from A to D and D to A as well as compresses the digital signal
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Advantages of VoIP Lower wiring and installation costs Additions, changes and moves of telephones are easier Less specialized staff No switches needed Scalability and flexibility Click-to-Talk option Cost savings on long distance and international calls Cost savings on long distance and international calls
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Cost Structures Traditional Providers Switching plants and line wire Switching plants and line wire Per minute fees Per minute fees VoIP Providers Internet transmissions Bypasses switching plants
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Business Models Traditional Providers Cost per minute Cost per minute Flat rates Flat rates Bundle packaged deals Bundle packaged deals VoIP Providers Ad Revenue Model Charge/Fee Model Hybrid Model
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Converging/Supplanted Business Models Large investments in fiber optics, plant and equipment Emergence of new types of providers Strategic alliances of companies within the chain Software application development
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Sustainability Technical problems Establish consumer base Define business model
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Broader Economy Changes Deregulation Faster, cheaper communications Consolidation of communications
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Accounting Implications Consolidated accounting systems Cost allocations Role reversal of costs and revenues
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Conclusions Is VoIP a disruptive technology? Is VoIP sustainable? Provider landscape Jury still out on VoIP
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