Feeds

Consumers want big telcos to supply VoIP services

Not so hot for start-ups

  • alert
  • submit to reddit

Business security measures using SSL

Three in ten homes in the US and the UK could hook up to Internet phone calls over the next three years, according to research published today.

Consumers look set to embrace Voice over Broadband (VoB) - but only as long as service quality is as good as traditional voice services, the New York Times reports.

Although many will be tempted by the offer of cheaper calls, punters will prefer to stick with existing telcos and cablecos for their Internet calls, researchers Mercer Management Consulting forecasts.

Punters have expressed their reluctance to side with those start-ups, such as Vonage and Skype, currently offering voice calls over the Internet.

Report author, Martin Kon told the newspaper: "It's an uphill battle for the upstarts with no customer base."

In March, the UK's dominant fixed line telco, BT, announced its own plans to enable punters to make phone or video calls over a broadband connection.

Last week BT confirmed its intention to migrate its national phone network to an Internet Protocol (IP) platform. The move will take five years to complete and should produce savings of £1bn a year for the UK's dominant fixed line telco.

The new multi-service IP-based network will carry both voice and data services and will replace the UK's public switched telephone network (PSTN). The mass migration of customers onto the new network is set to begin in 2006 with the majority shunted across by 2008.

BT Wholesale chief exec Paul Reynolds said the move to the IP network would provide the same quality of voice services as punters experience today.

"We want to be absolutely clear that using IP technology in our network for our premium quality services is a gulf apart from the new budget voice over the Internet services being launched almost daily by a wide range of providers." ®

Related stories

BT to save £1bn a year with IP network
Telcos forge convergence alliance
VoIP set to generate megabucks

Security and trust: The backbone of doing business over the internet

More from The Register

next story
Brit telcos warn Scots that voting Yes could lead to HEFTY bills
BT and Co: Independence vote likely to mean 'increased costs'
Phones 4u slips into administration after EE cuts ties with Brit mobe retailer
More than 5,500 jobs could be axed if rescue mission fails
ISPs' post-net-neutrality world is built on 'bribes' says Tim Berners-Lee
Father of the worldwide web is extremely peeved over pay-per-packet-type plans
New 'Cosmos' browser surfs the net by TXT alone
No data plan? No WiFi? No worries ... except sluggish download speed
Radio hams can encrypt, in emergencies, says Ofcom
Consultation promises new spectrum and hints at relaxed licence conditions
Turnbull: NBN won't turn your town into Silicon Valley
'People have been brainwashed to believe that their world will be changed forever if they get FTTP'
Google+ GOING, GOING ... ? Newbie Gmailers no longer forced into mandatory ID slurp
Mountain View distances itself from lame 'network thingy'
Blockbuster book lays out the first 20 years of the Smartphone Wars
Symbian's David Wood bares all. Not for the faint hearted
prev story

Whitepapers

Secure remote control for conventional and virtual desktops
Balancing user privacy and privileged access, in accordance with compliance frameworks and legislation. Evaluating any potential remote control choice.
WIN a very cool portable ZX Spectrum
Win a one-off portable Spectrum built by legendary hardware hacker Ben Heck
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
The next step in data security
With recent increased privacy concerns and computers becoming more powerful, the chance of hackers being able to crack smaller-sized RSA keys increases.