Cell Phone Plans - When Minutes Count

By: Anas Khan

Whether a consumer is new to the world of cell phone plans or simply trying to select the best plan to control their costs, understanding the minutes
involved is key. Matching the number of "free minutes" in a cell phone plan to an individual's usage is the primary factor in avoiding extra fees and in
assuring that the monthly bill is not higher than necessary.

If there are too few minutes in a given cell phone plan, the user may routinely exceed the plan limit and pay a high per minute rate for the extra talk
time. If all of the available minutes are not used however, a plan with fewer minutes, and potentially a lower monthly charge, could save the user
significantly.

To be able to really understand cell phone plans and make comparisons, consumers need to understand the common terminology related to the all
important minutes described in the plan.

• Anytime Minutes: The anytime minutes in a cell phone plan cost nothing beyond the monthly fee. They include all calls received or placed Monday
through Friday during the day time; generally considered peak times. The hours included in this time frame can vary somewhat by plan so reading the
details of the plan can be important.

Any minutes used which exceed the allotment of anytime minutes are generally significantly more expensive. For instance, given an allotment of 500
anytime minutes the monthly fee might be $39.99 which averages out to just under 8 cents per minute. Minutes which exceed the plan however could
run as high as $0.35 or $0.40 per minute. In addition, some plans charge roaming and long distance fees on minutes which exceed the plan, which
may not be charged on anytime minutes within the same plan.

It is important to remember that the anytime minutes include minutes used to both place and receive calls in most cell phone plans in the US. There are
some exceptions with specific plans which offer "free incoming" and free calling among a core group of frequently called numbers.

• Night and Weekend Minutes: If a cell phone plan includes night and weekend minutes there is no additional cost for these minutes and they do not
consume the anytime minutes. In many cell phone plans, these night and weekend minutes are unlimited while others offer a set amount of time.
These minutes are used during off peak times; generally between 9 p.m. and 7 a.m. and all day Saturday and Sunday. Again, the specific hours
included as night and weekend minutes are defined in the plan. 

• Shared Minutes: Many families share a cell phone plan. Shared minutes allow them to use a common pool of anytime minutes. In many instances,
this is more economical and certainly more efficient than having and monitoring separate plans for each individual. Shared minutes are also used by
businesses which can use a single plan for multiple employees.

• Roll-Over Minutes: Cell phone use from month to month can vary somewhat of course. A cell phone plan that allows roll-over minutes offers the
advantage of rolling over anytime minutes that are not used throughout the month. There are still limits however, as to how long the rolled over minutes
will remain available so knowing the plan details is important to avoid losing unused minutes.

• Mobile-to-Mobile Minutes: Mobile to mobile minutes include calls within the same network; for instance, a call from a Sprint customer to another
Sprint customer. Although it is unlikely everyone a user calls will be within the same network, this can still be a significant cost savings when signing up
with a cellular provider that offers a large customer base or includes many of the people an individual calls frequently. 

One twist on the mobile-to-mobile concept offers free calling to a select group of numbers identified by the user. Some T-Mobile plans for instance
allow users to identify five frequently called numbers and provides free calling within that group. The five numbers can change monthly and can be
different for the various members of a family that share minutes within a cell phone plan.

Although there is quite a lot of detail related to minute charges within cell phone plans, knowing this information can do a lot to control the monthly cost
of such services when the rules of the specific policy are followed to get the most out of "free" calling.
GPS Cell Phone
By: Anas Khan (BET)

The Global Positioning System (GPS) was funded, developed and controlled by the US Department of Defense. Since the late seventies, GPS has
become an important aid to navigation around the world. Initially designed for the US military, GPS became publicly available years later and it is now
considered an important feature in lots of consumer products.

How does GPS work? Well, basically there are three elements that make everything work: satellites, earth monitoring stations and receivers (ex: cell
phone, telefone celular). GPS provides specially coded satellite signals that can be processed in a GPS receiver, enabling the receiver to compute
position, velocity and time.

Today, most cell phones (telefone celular) are not limited to carry on just a conversation. Features like mp3 player, digital camera and video camera
have all become standards in the latest cell phone models. It is expected that the GPS feature will soon be added to this list, and it will offer the
capability of tracking any cell phone user.

The capability of tracking a cell phone user becomes important in emergency situations, like a car accident, thru the use of 911 emergency phone call,
where every minute may be a matter of life or death. In situation like this, the GPS system may pinpoint the exact location of the road accident,
enabling emergency services to be quickly dispatched.

It is important to mention that so far most GPS system in cell phone (telefone celular) is restricted to tracking information only. However, one can have
navigational capability thru the use of full screen cell phone/PDA combos with map displays and other cellular phone accessories, and third party paid
services. If one does not want to sign up for a monthly paid subscription service, he can make use of one-time-paid-only software programs that will
enable some of the navigational capabilities.

Although there are many benefits in using GPS cell phones (telefone celular), there are some people who are concerned about the violation of personal
privacy. Since the US Congress has not authorized location tracking without actual evidence of wrongdoing, there have been court hearings which
have not approved the requests of government agencies in obtaining the cell phone GPS tracking information for suspects or ordinary citizens. 

This privacy matter has made some progress towards the cell phone user`s rights, since there are some laws that have been passed which guarantees
that GPS cell phone users will have some protection from the release of the tracking information, with the exception of 911 emergency cell phone calls
(telefone celular). It is expected that these laws will guarantee that the benefits of GPS in cell phones will be enjoyed by everyone without infringing
anybody`s privacy.

Sometimes when there is a technological innovation, there are also some concerns about privacy or some rights infringements. But no matter how
much of a concern this is, it seems that a compromise will always have to be reached, so that new technologies will take their places in everyone`s
lives. After all, we all live in a globalized consumer world. By the way, have you already got your GPS cell phone?
Prepaid Mobile Phones and Their Role in Next Generation Telecom

With more and more cell phone carriers developing security specifications to cement
their control over their customers, mobile industry insiders criticize these new measures
as steps in the wrong direction for the future of mobile communications. Such
technologies as SIMlock/Device Personalization are designed to prevent you from
switching mobile carriers or reselling your cell phone. Despite the purported benefits of
these new security features, they are not in the mobile phone customers' best interests.

Survey after survey finds that customers believe that their current text messaging plan
is too restrictive and a large percentage of them believes their messaging plans lead to
a higher cell phone bill. There are times when the telecom industry has to operate in
uncertain state-to-state regulatory environment. What we need now are major
initiatives by top carriers to move forward in building out infrastructure and offering
new data and multimedia services.

For most customers, cost containment in their cell phone use has become a top priority,
with major cell phone service providers forcing customers to restart their contracts just
to move to a new rate plan. The inability to switch plans to suit your needs within your
contract period has continued to drive thousands of customers away from monthly
service plans toward prepaid plans. There is only a small number of regional carriers,
especially in rural areas, that allow you to switch plans at any time without cost or
contract change.

Prepaid service plans enable cell phone users to be more in control given the
customer's budget or needs. Prepaid airtime recharge cards can be obtained by going
online, college bookstores or mass retailers. Some carriers, like Cingular Wireless and
Verizon Wireless, who have had long-running prepaid plans have recently repackaged
them under names such as Keep In Contact (or KIC) and FREEUP, respectively, to
appeal to the younger demographic. Young cell phone subscriber are now considered
lucrative and the group is expected to become one of the fastest-growing segments in
the industry.

Prepaid offers a number of key advantages over monthly service plans. First, prepaid
plans give customers more flexibility, whereby they can switch wireless service
providers anytime they choose. For most of the monthly service plan customers bound
by restrictive 2-year contracts, this is very difficult. Prepaid handsets have evolved with
a rich feature set that makes possible a range of data and multimedia services. As cell
phone subscribers migrate from contract-based to prepaid cell phone service, they will
naturally want to do the same with their prepaid handsets as they were used to with
locked carrier-specific devices.
History of the Telephone
Telephone is defined as: "An instrument that converts voice and other sound signals into a form that can be
transmitted to remote locations and that receives and reconverts waves into sound signals." The word telephone is
derived from the Greek language. The word tele, meaning afar, and phone, meaning voice.

Many inventors had brainstormed the idea of a telephone. In 1627 Francis Bacon actually described a working
telephone in his book New Utopia. However this idea was unfathomable at the time. Like Leonardo Da Vinci and
Jules Verne, Bacon was way ahead of his time for this invention. There was simply not enough knowledge about
transmitting electric currents, and no set infrastructure to make the telephone a reality.

Like many inventions, the telephone was invented over the course of several years. The three major players involved
in the development of the telephone are Alexander Gram Bell, Thomas Watson and Elisha Gray. However, only
Alexander Gram Bell is credited with the actual development of the phone.

Both Alexander Gram Bell, and Elisha Gray rushed their ideas to the patent office to try and beat the other. Literally
their applications showed up at the patent office within hours of each other. Bell was the first to reach the patent
office and as a result is credited with the development of the telephone. Endless law suits between Bell and Gray
continued over who was the rightful inventor of the telephone, and who owned and developed that technology.

History of the Telephone

The history of the telephone dates back to Bell’s research, which began around 1870. Initially he was working on
ways to improve the telegraph, which had been used for over 30 years. At the time the telegraph was the primary
form of long distance communication. It was the most reliable and accurate way to quickly transmit information. The
telegraph used the Morse code system, which consisted of a series of dots and dashes. Morse code was effective, but
limited conversations to one person sending or receiving at a time. Differing from the telephones we use today,
where both users can talk at the same time, or interrupt one another.

The Harmonic Telegraph

The idea of a multiple telegraph had been brainstormed, but not actually built. A multiple telegraph would enable
multiple messages to be sent through the same line, as long as the pitches of the signals were different. Bell had
brainstormed this idea and began working on it. He called his version of the multiple telegraph the harmonic
telegraph. For several years he continued to develop a functioning harmonic telegraph.

In 1874 Bell had begun to make significant improvements on his harmonic telegraph, however lacked the finical
backing to continue his research. He reached out to his, at the time, future father in law. Famous Boston attorney
Gardiner Greene Hubbard. Hubbard was a well-known and respected lawyer. He had great resentment for Western
Union Telegraph Company because of the monopoly it had over the telegraph industry. Bell knew that his technology
would rival Western Union Telegraph Company making Hubbard a sound investor. Teaming up with George Sanders,
a well-known and respected businessman from Salem, Sanders and Hubbard foresaw the potential profits and
success the harmonic telegraph could provide. Sanders researched patents and found out there was no patent on a
multiple telegraph or anything similar. Realizing the market potential, Sanders and Hubbard agreed to provide the
financial backing. Hubbard was personally involved with this project because he saw the invention of the harmonic
telegraph as way to compete and destroy the Western Union Telegraph Company.

In 1875 Bell hired Thomas Watson to assist him in his research. Watson was an experienced machinist and would
provide great insight and help towards the development of the harmonic telegraph. Bell and Hubbard continued to
work on the telegraph, but by this time, Bell’s investors Hubbard and Sanders had seen Bell’s insight towards the
telephone and were more interested in seeing the idea become a reality.

On March 1, 1875, Bell decided again he need to seek outside help for his invention. He traveled down to
Washington DC where he met with famous inventor and secretary of the Smithsonian Institution, Joseph Henry.
Henry was fascinated by Bell’s idea of the telephone and said, transferring speech electronically was the "germ of a
great invention." Bell agreed, and expressed his lack of electrical knowledge as a major milestone to the
development, Henry simply replied, "Get it!" Meaning don’t let your lack of electrical knowledge stop you from
inventing something great.

Upon returning to Boston Bell had been inspired by Henry and focused most of his energy on developing the
telephone; yet never let his idea of the harmonic telegraph die.

June 2, 1875, marked an important day for the development of the telephone. In efforts to test the harmonic
telegraph, Bell again found it was not working. Instead of hearing silence, Bell heard the sound of Watson plucking a
tuned spring. Confused and mesmerized by this recent discovery, Bell had accidentally created the first prototype
telephone. Usually on a telegraph machine the current is either turned on or off, sending either silence or a beep.
After studying their equipment Bell discovered that a contact screw was accidentally screwed too tight; causing the
current to run continuously.

Understanding their recent discoveries, Bell had Watson develop the first telephone, which was later named the
Gallows telephone. Named for its unique structure and use of a diaphragm rather then a spring. To their surprise the
Gallows phone did not work. There was distortion in the line, and sounds coming through, but not speech.

Development of the Phone

On February 14, 1876 Bell, had not yet developed a working telephone but felt he could describe how the phone
would work and applied for a patent. In 1870, the patent office had just ruled that inventors did not need to have a
working invention to get a patent. Explaining how it would work, was cause enough for a patent. Coincidentally Bell’s
request for a patent came only hours before Elisha Gray’s. Elisha Gray was another inventor who had been working
on the development of the telephone. No one really knows how or why both patents were filed on the same day, but
some think Bell was told of Gray’s invention, however this theory was never proven. Over 600 lawsuits followed
challenging the rightful owner of the patent on the telephone.

On March 10,1876 Bell had developed the telephone. He used a liquid transmitter, an idea that he had never
experimented before or placed in his patent. It was the idea that Gray had patented, and the cause of many lawsuits
about to come.

Technology for the telephone continued to develop, while simultaneously a new industry had spun off, the telecom
industry. Related technology was developed as a result of this invention, as well as an entire telephone system was
deployed throughout the world.

Telephones Today

Today our telecom infrastructure has far surpassed the dream of Alexander Gram Bell and Thomas Watson. Calling to
your neighbors, or the other side of the world is easy, affordable and possible from almost every house across
America. The telecom industry has exploded with all different types of products making calling easier and cheaper.
Today we have the telecom industry, which relies around Bell’s invention of the 1870’s. Common telecom products
include prepaid phone cards, broadband phone systems, cell phones and more.

Bell’s patent from the United States Patent Office, number 174,465 is often considered the most important patent
ever issued. It has enabled global communication and continued to help the process of globalization.
 Save Money, Use VoIP
Over the past several years Voice over Internet Protocol (VoIP) has become an accepted medium of
terminating telephone calls. Using your already existent high-speed broadband Internet connection, voice
packets are broken up into pieces and sent over the Internet; similar to an e-mail. At the end point, the
voice packets are reassembled and either sent to another VoIP phone, or translated into an analog signal.

VoIP phones provide high quality connections identical to an analog phone. Often times, depending on
your previous analog provider a VoIP phone may have a higher quality voice connection. In addition
almost all VoIP plans nowadays include free nationwide calling. Saving you money on domestic long
distance.

Over 50 million consumers have already made the switch, here’s why:

 Save money
 High quality connections
 Portability
 Great office solutions

Save Money

VoIP phones are significantly less expensive then traditional analog phone lines. Often plans start at just
9.95 a month and include free domestic long distance, including calling to Canada and Puerto Rico. Select
VoIP Phone carriers also provide free international calling to pre-specified countries. International rates in
general are significantly lower then any international dialing plan on an analog phone. This occurs
because VoIP phones are terminating calls through the internet, at a much cheaper cost.

Interestingly, many international long distance phone carriers actually terminate their calls over the
Internet as well. When you place a call from your analog phone the call is sent to your provider’s switch.
It is transformed into a digital signal and broken up into voice packets. The packets are sent over the
Internet on a data network to the local carrier in the country you are calling. Here the voice packets are
reassembled and sent to the destination you are calling. Whether you currently use a VoIP system or not,
your calls are still being routed over the Internet.

Why do long distance carriers use the Internet as a way of connecting your phone calls? Because it is
more cost affective. Long distance carriers save hundreds of thousands of dollars every year by doing
this. So if they see the cost saving advantage, so should you.

High Quality Connections

VoIP phones provide high quality connections. Unlike using a prepaid calling card, or a mobile phone, you
will always send and receive clear, static free phone calls. Connection rates for international calls are
extremely high and calls are rarely ever dropped or fail to connect.

Portability

Using a VoIP phone will allow you the mobility of a cell phone, worldwide. Travel, to Antarctica, Europe,
Asia, or anywhere else on the planet, plug your phone into an existing broadband Internet connection,
and be able to send and receive calls as if you were at home. Calls placed from international locations are
considered the same as placing a call from your home. So, if you travel, bring your phone with you, and
call your friends and family while away at no additional cost.
This feature is ideal for business use. Salesman and other frequently traveling positions can bring their
phones with them. Plug it in while you’re away and talk as if you were sitting in your office. Always be
able to get a hold of your employees and co-workers without the hassle of waiting for them to reply to
your e-mail.

Great Office Solutions

Using VoIP phones is an easy way to make your business phone system more efficient. Using a VoIP
phone PBX, you can purchase a designated amount of external lines to be shared amongst a group of
employees. Employees will have their own extensions and be able to access external lines on demand.

A VoIP plan will lower your long distance costs because domestic long distance is included in the plan
fee. Plus receive much lower rates then available with analog phones. Corporate VoIP phones offer great
versatility. Routing your phone calls over the Internet is an easy way to merge your communication
devices into one. Be able to check your voicemail over the phone, or through your e-mail. Many VoIP
providers are now offering online interfaces. Making features like find me, follow me, a call forwarding
device used to find you where ever you are, an easy way to ensure you receive your calls.

Using a VoIP phone system will make your business sound more professional. An automated messaging
service will allow callers to reach anyone in the system without requiring a live person to route the call.

Conclusion

VoIP phones are the wave of the future. As technology improves, VoIP phone systems will continue to
thrive as a more efficient, cost affective way to terminate phone calls. Already, more then 50 million
people and businesses have begun to subscribe to a VoIP phone provider. Stop paying high prices for
your telephone services, when a cheaper, more efficient alternative is already here.
The History of VoIP

Voice over Internet Protocol, VoIP or Broadband phone service as it is often referred to, is
changing the telephony world. Traditional phone lines are slowly being phased out as
businesses and households around the world embrace the benefits and features that VoIP
technology has to offer. As this evolution accelerates, it is worthwhile to stop and take a
look at the history of VoIP. You will find that as interesting as the history of VoIP may be,
the future of VoIP is even more intriguing and exciting.

The history of VoIP shows that this technology started as far back as 1995, when a small
company called Vocaltec released the first internet phone software. This software was
designed to run on a home PC and much like the PC phones used today, it utilized sound
cards, microphones and speakers. The software was called "Internet Phone" and used the
H.323 protocol instead of the SIP protocol that is more prevalent today. Vocaltec had initial
success with Internet Phone, and had a successful IPO in 1996. It was the Skype of the mid
90s. A major drawback in 1995 was the lack of broadband availability, and as such, this
software used modems which resulted in poor voice quality when compared to a normal
telephone call. However, this was still a major milestone as it represented the first ever IP
Phone. It is also worthwhile to mention that one of Vocaltec’s key employees is also a
founder of Whichvoip.com.

By 1998, VoIP traffic had grown to represent approximately 1% of all voice traffic in the
United States. Entrepreneurs were jumping on the bandwagon and were creating devices
which enabled PC-to-phone and phone-to-phone communication. Networking manufacturers
such as Cisco and Lucent introduced equipment that could route and switch the VoIP traffic
and as a result by the year 2000, VoIP traffic accounted for more than 3% of all voice
traffic.

Now, in 2005, major voice quality issues have long since been addressed and VoIP traffic
can be prioritized over data traffic to ensure reliable, clear sounding, unbroken telephone
calls. Revenue from VoIP equipment sales alone are projected to reach around $3 billion this
year and are being forecast to be over $8.5 billion by the end of 2008. This is primarily
being driven by low cost unlimited calling plans and the abundance of enhanced and useful
telephony features associated with VoIP technology.

This is a phenomenal growth rate and with the rapid introduction of Video over IP fueling
demand, the future of this technology is truly exciting and will enable us to enjoy products
that our grandparents and even parents never thought were possible. Video over IP follows
the same concept as VoIP but in this case enables the transmission of video signals. As
such, video phones are becoming more common than you would think, and many
companies are already offering attractive packages. One of our featured partners, Packet8
already has a video phone offering.

For further information and a detailed explanation on VoIP you can visit our VoIP Explained
page. Our VoIP review section and VoIP provider plan search engine will then aid you in
making your final purchase decision, to start using this revolutionary new technology in
your home.
What is VoIP Phone Service?

VoIP stands for "Voice Over Internet Protocol", which is a technology that allows you to
make phone calls using your broadband Internet connection instead of your regular phone
service. It is also referred to as Voice over IP, broadband phone and Internet phone service.

You still simply pick up your regular phone, dial a number and talk. VoIP is simple and is for
everyone. It doesn't matter if the person you are calling has VoIP or not, this is all taken
care of by your VoIP service provider.

The only requirement for this technology is a high speed Internet connection, such as DSL
or cable, as the service is based on broadband Internet communication. VoIP requires a
speed of up to 90Kbps depending on the voice compression algorithm chosen by the service
provider. This is a higher speed than dial-up Internet so a broadband connection is a basic
requirement.

What are the benefits of VoIP?

There are many benefits to having a VoIP solution, for example:

One low monthly fee covers all of your phone calls. This is where we can help you. Click on
our easy-to-use VoIP Service Provider Plan Search page to get started.

There are no unexplained taxes or regulatory fees. You know the ones on your current bill
that nobody understands and your local phone provider can't explain. No taxes are charged
for Internet based phone calls which is one reason why the service is so cheap.

Long distance and international calling are much cheaper. The Internet does not care
whether you're calling someone who lives a block away or your cousin in Australia. This is
why the VoIP service providers can give you such great rates for long distance and
international calls.

What features can VoIP give me?

The features available with a broadband phone service are incredible.

Your voice, which is an analog signal, is converted into small packets of digital data and
sent over your broadband connection to your VoIP service provider. This digital data is
perfect for the Internet and it means your service provider can do many things with it such
as:

Store incoming calls to voice mail if you do not want to be disturbed by the telephone.

Send a voice mail to you as an e-mail attachment so you can listen to it on any computer.

3-way calling. Many plans allow up to three people in one conference call, allowing you to
talk to your entire family at once.

Offer caller ID and call waiting. These features are often thrown in for free. You would
normally need to pay for the privilege with a local phone provider.

There are many other cool features that VoIP offers and it should be remembered that this
technology is growing fast so the possibilities are endless.
Check out our VoIP Service Provider Plan Search page to see the plan features of all the
different service providers on our website and get the information you need to choose a
VoIP solution today.

Also check out our guide to many of the VoIP Features available from the service providers
covered on our site.

Are there any disadvantages with a VoIP solution?

Although most VoIP service providers have Emergency 911 there are still a few that do not.
To be sure, check out our VoIP Service Provider Plan Search page to see which service
providers have this capability.

The biggest disadvantage that skeptics will throw at you is what happens when your power
goes out at home or you lose your broadband connection. You see VoIP relies on having a
broadband connection so if that goes down so does your Internet phone service. However,
in the days when most of us have a cell phone of some sort, even if it is just "pay as you
go", is this really a big issue?

Another option that many people go for is to have a cheap regular local phone service to
use just on those rare occasions when you lose your power or broadband connection.

What equipment do I need for VoIP service?

To make a VoIP call the only additional piece of equipment that a typical setup will need is
an Analog Telephone Adaptor (or ATA), which is usually supplied by the VoIP service
provider when you sign up for service.

This allows you to make phone calls as normal, using your own standard phone. The ATA
does the clever conversion of your analog voice to a digital signal that the Internet can
understand. It then sends that signal on to your broadband modem, which passes it over
the Internet.

A typical residential VoIP solution looks like this:

Why is the computer in the picture - you still want your high speed Internet. You can surf
the web while your daughter talks to her friends on the phone.

If you have more than one phone in your home the recommended connection is to use
cordless telephones. The base station of the cordless telephone plugs directly into the VoIP
ATA. The additional handsets can then be placed anywhere in your home, distributing the
VoIP phone service to your required locations. For other options check out "How do I add
multiple phones to my VoIP service?" in our FAQ.

For homes with more than one computer simply connect a router to the ATA instead of the
PC in the diagram above. Your computers then connect to the router. Note that many other
connectivity options exist for this type of setup.

How VoIP Works (Advanced Guide)

Traditional communication networks are entirely separate and serve a specific application,
with the Internet serving data communications and the traditional PSTN (Public Switched
Telephone Network) serving voice communications. Voice over Internet Protocol, or more
commonly known as VoIP combines both voice and data communications on a single
network. As such the Internet can be used as a means to deliver both forms of traffic. VoIP
enables network equipment to carry and send voice and fax traffic over an IP network. The
biggest advantage of this is that as you are no longer using the phone company's long
distance lines, and you will be able to have long distance conversations for an unlimited
length of time, with no additional charge.

What happens when you make a VoIP call?

When a VoIP call is made, your voice goes through the following process:

Your voice (analog) is sent from your regular telephone to a device called an Analog
Telephone Adapter (ATA). The ATA converts your analog voice into digital samples through
the use of an Analog-to-Digital Converter (ADC). The ATAs are usually provided by your
VoIP service provider when you sign up for service. 
Note: If you have one of the new digital IP telephones that are now available on the market,
there is no need for the ATA device since the ADC function is performed inside the IP
telephone.

The digital bits must now be compressed into a standard format which can be transmitted
faster and more efficiently. In VoIP, digital signal processors (DSPs) perform this
compression using codecs which segment the voice signal into frames and store them in
voice packets. Some compression standards and associated bandwidths are listed as
follows:

PCM, Pulse Code Modulation, Standard ITU-T G.711, 64Kbps

CS-ACELP, Standard ITU-T G.729 and G.729a, 8Kbps

ADPCM, Adaptive differential PCM, Standard ITU-T G.726, up to 40Kbps

LD-CELP, Standard ITU-T G.728, 16Kbps

MP-MLQ, Standard ITU-T G.723.1, 6.3Kbps, Truespeech

ACELP, Standard ITU-T G.723.1, 5.3Kbps, Truespeech

LPC-10, able to reach 2.5 Kbps

While standard phones utilize the G711 codec, the G723 codec is emerging as the popular
codec choice for IP Telephony applications. This codec is preferred due to its smaller size
and higher compression which allows for easier transport over the internet.

The compressed data must then be encapsulated within IP packets. VoIP is a Layer 3
network protocol that uses various Layer 2 point-to-point protocols such as PPP for its
transport. VoIP protocols typically use Real-time Transport Protocol (RTP) for the media
stream or speech path. RTP uses User Datagram Protocol (UDP) as its transport protocol.
For IP networks, the reliable service of TCP is not appropriate for real-time applications
because TCP uses retransmission to ensure reliability. The IP layer provides routing and
network-level addressing; the data-link layer protocols control and direct the transmission
of the information over the physical medium.

The packets are then transmitted across the internet in compliance with a voice
communications protocol or standard such as H.323, Media Gateway Control Protocol
(MGCP), or Session Initiation Protocol (SIP). H.323 is clearly emerging as the standard call
control protocol.

When your IP packet (which contains your speech) arrives at the destination (the telephone
that you called) it must go through a similar process mentioned in 1-4, but in reverse. As
such the IP packets are decapsulated or disassembled to retrieve the compressed voice
data, which can then be decompressed using the same codec that performed the
compression. After the decompression, the original digital data is left which can then go
through a digital to analog converter and be returned to its original analog voice format and
be clearly heard and understood by your called party.

This entire process is completed in real time such that telephone users do not detect a delay
in the speech. The diagram below shows a high level view of how a basic VoIP call is made
and the path that the packets travel to reach their destination.

The CO or Central Office connects the local loop from the demarcation point at the VoIP
subscriber's residence. The CO then makes the decision where to send the call. An
expanded view of the CO and the PSTN (of which the CO is a part of) is shown in the
diagram below. This diagram shows how a typical DSL line is integrated into the network.
The topology will be slightly different for other types of broadband connection but the
general path of the data packets will be the same when it reaches the CO.

This diagram has expanded the view of the CO and shown some potential destinations for
circuit switched voice that goes through the PSTN. This is obviously not where the VoIP
packets are destined and as such it is necessary to show an expanded view of the Internet
Service Provider (ISP) network since this is where the VoIP packets will be sent to. The
diagram below indicates the path of a typical call through the ISP chain.

Hopefully this guide has helped you gain an understanding of what VoIP actually is and how
a call is routed through to its destination. If you feel we are missing something please do
not hesitate to contact us through our Ask the Experts page.

Voice over IP for Beginners

For those who have never heard about the potential of VoIP, be prepared to radically
change the way you think about your current long-distance calling plan. VoIP (Voice over
Internet Protocol) is very simply, a method for taking ordinary analog audio signals and
turning them into digital signals that can be sent over the Internet.

So what? Well, for those of you who are already paying a monthly fee for an Internet
connection, this means that you can use that same connection to place free long distance
phone calls. This process works by using already available VoIP software to make phone
calls over the Internet, essentially circumventing phone companies and their service
charges.

Interestingly, VoIP is not an entirely new thing. In fact, a number of providing companies
have been around for some time. But it has only been with the more recent explosion of
high-speed internet access usage, that VoIP has gotten any attention. Now the major
telephone carriers are setting up their own VoIP calling plans throughout the US, another
testament to the potential of the technology.

How VoIP Is Used

While there are a number of ways that VoIP is currently being used, most individual callers
fall into one of three categories: ATA, IP Phones, and Computer-to-Computer.

ATA or Analog Telephone Adaptor, is the most common way of using VoIP. This adaptor
actually allows you to hook up the phone that is already in your house, to your computer,
and then your Internet connection. What the ATA does, is turn the analog signals your
phone sends out into digital signals that can be sent over the Internet. Setting up this
system is quite simple. It simply requires that you order an ATA (its an adaptor remember),
plug the cable from your phone which would normally go into the wall socket into the ATA,
and then the ATA gets plugged into your computer, which is connected to the internet.
Some ATAs include software that has to be installed on your computer before its ready, but
basically it's quite a simple process. Then you are ready to make some calls.

The next type of VoIP usage utilizes IP Phones instead of your home phone. The IP Phone
looks just like a normal phone, with all the same buttons and cradle, the only difference is
that instead of having a normal wall jack connector, it has an Ethernet connector. This
means, that instead of plugging in your IP phone to the wall jack like you would with a
regular analog phone, it gets plugged directly into your router. This option allows you to
circumvent your personal computer, and it also means that you will not have to install any
software, because its all built in to the handset. In addition, the fact that Wi-Fi IP phones
will soon be available, which will allow subscribing callers to make VoIP calls from any Wi-Fi
hot spot, make this option an exciting possibility.

The simplest and cheapest way to use VoIP is through computer-to-computer calls. These
calls are entirely free, meaning no calling plan whatsoever. The only thing you need, is the
software which can be found for free on the internet, a good internet connection, a
microphone, speakers, and a sound card. Except for your monthly internet service fee,
there is literally no cost for making these calls, no matter how many you make.

For large companies, VoIP also offers some very unique possibilities. Some larger
companies are already utilizing the technology by conducting all intra-office calls through a
VoIP network. Because the quality of sound is comparable to and in some cases surpasses
that of analog service, some international companies are using VoIP to route international
calls through the branch of their company nearest the call's destination and then completing
it on an analog system. This allows them to pay local rates internationally and still utilize
the same intra-office VoIP network that they would if they were calling someone in the next
cubicle over.

Other Advantages of VoIP

While your current long-distance plan covers you for only one location, say calls made from
your office, with VoIP, you can make a call anywhere that you can get a broadband
connection. That is because all three methods above, unlike analog calls, send the call
information via the Internet. This means you can make calls from home, on vacation, on
business trips, and almost anywhere else. Anywhere you go, with VoIP you can bring your
home phone along with you. In the same way, computer-to-computer connections mean
that as long as you have your laptop and a connection, you're ready to go.

There are also some nifty benefits to having your calls transmitted over the Internet. For
example, some VoIP service providers allow you to check your voicemail via your e-mail,
while others allow you to attach voice messages to your e-mails.

How VoIP Works

The current phone system relies on a reliable but largely inefficient method for connecting
calls known as circuit switching. This technique, which has been used for over 100 years,
means that when a call is made between two people a connection is maintained in both
directions between callers for the duration of the call. This dual directional characteristic
gives the system the name circuit.

If, for example, you made a 30-minute call the circuit would be continuously open, and thus
used, between the two phones. Up until about 1960, this meant that every call had to have
an actual dedicated wire connecting the two phones. Thus a long distance call cost so much,
because you were paying for pieces of copper wire to be connected all the way from your
phone to the destination phone, and for that connection to remain constant throughout the
call. Today, however, your analog call is converted after leaving your house to a digital
signal, where your call can be combined with many others on a single fiber optic cable.
While this system is certainly an improvement over the past copper wire system, it is still
quite inefficient. This inefficiency is due in part to the fact that the telephone line can't
distinguish between useful talking and unneeded silences. For example, in a typical
conversation while one person is talking the other person is listening. Thus the current
analog system uses roughly half its space sending useless messages like this silence. But
there is also more information, even down to pauses in speech, which under a more efficient
system can be effectively cut out rather than wasting the circuit space. This idea of only
transmitting the noisy bits of a telephone call and saving a great deal on circuit space, is the
basis of Packet-Switching, the alternative method to circuit switching that the VoIP phone
system uses.

Packet-Switching is the same method that you use when you view a website. For example,
as you read this website, your computer is not maintaining a constant connection to the
site, but rather making connections to send and receive information only on an as needed
basis (such as when you click on a link). Just as this system allows the transfer of
information over the Internet to work so quickly, so also does it work in the VoIP system.
While circuit switching maintains a constant and open connection, packet switching opens
connections just long enough to send bits of data called packets from one computer to
another. This allows the network to send your call (in packets) along the least congested
and cheapest lines available, while also keeping your computer or IP phone, free to send
and receive messages and calls with other computers. This way of sending information, not
to mention data compression, makes the amount of information which must be transmitted
for every call at least 3-4 times less for VoIP than the exact same call in a conventional
telephone system. For this reason, VoIP is so much cheaper than conventional calling plans.

The Future of VoIP

While most analysts believe it will be at least a decade before companies and telephone
providers make the full switch to VoIP, the potential for the technology's use today is
already quite astounding. A report by the Forrester Research Group predicts that by the end
of 2006, nearly 5 million U.S. households will be using VoIP phone service. With the savings
and flexibility that the technology already offers, and new advances just ahead on the
horizon, we can expect those numbers will only increase in the future.