VoIP Service Provider

Sunday, August 05, 2007

Use VoIP to make cheap Cebu calls

Cebu, which is the most important city of Philippines after Manila, took to VoIP quite early. The first Cebu VoIP service provider learned how to transmit voice data across the Internet around 2004. This was a major breakthrough for these companies because they found VoIP an economical way to communicate with Filipinos living outside Philippines.

They also found in VoIP a good alternative to long distance calling. Until then, the residents of Cebu were using prepaid cards and dial-around phone lines to communicate with their friends and relatives in the US. In VoIP they found a much more affordable system to communicate.

It was not long before Cebu moved to next generation VoIP. This involved transmitting voice data from PC to phone, from phone to PC and from phone to phone. Each step forward was a great joy for the residents of Cebu. They started subscribing to Cebu companies that were providing VoIP services. The Cebu companies spread out to extend the reach of VoIP to other provinces of Philippines.

The government also stepped in to understand the new technology as it was threatening the existing telecom players. The National Telecommunications Commission, which was set up to examine the subject, in its guidelines issued in September 2005 defined VoIP as "provision of voice communication using Internet Protocol technology instead of traditional circuit switched technology." It also held VoIP to be a value added service.

The Commission has also directed VoIP providers to work out interconnection charges with telecommunications carriers. This is going to bring in more transparency and compatibility between Cebu VoIP companies and telecom majors.

The guidelines are expected to have a major impact on the development of VoIP in Cebu. Already, the Internet caf?owners, who were hesitant to introduce VoIP, have announced their decision to go ahead with it. This will make VoIP based-phone services more accessible in Cebu, and will also drive down costs.

A major beneficiary of this development are the overseas Filipino workers, popularly know as OFW. They can now call their friends and families back home easily. Many Cebu residents also expect VoIP to drive the call centre business. They are hoping that they can move to VoIP technology and cut their communication costs. Currently, their voice traffic moves on conventional telecom lines which charge high rates for international calls.

All this has made the Cebu VoIP companies optimistic about an increase in business.