Frost & Sullivan Whitepaper Sponsored by
Covad Communications
Introduction
Businesses are in a constant struggle to control overhead.Voice over IP (VoIP), along with
the IP telephony (IPT) capabilities it enables, is a technology that offers small- and
medium-sized (SMBs) businesses a choice of solutions that can lower telecommunications
costs and, in many cases, enhance productivity. Additionally, using VoIP will allow these
businesses to take advantage of future application development.
A straightforward way of controlling telecom costs is through network convergencehaving
a single point of connection for delivering services that customers need at a
particular location. This means, of course, that a customer's telephone service provider is
also the customer's provider of data services, such as Internet access, email, and Web
hosting. Service providers understand the importance of being a one-stop shop, which is
why they are expending large amounts of capital to build multi-service networks that
support data, voice, and video services. Initially developed for data communications, IP is
proving to be a highly flexible technology for multi-service delivery.
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