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How Does IP Work?

How Does IP Work? June 8, 2004 David Young Internet & Technology Policy Development Types of VoIP Calls IP to IP Includes PC-to-PC and Device-to-Device IP Phone Broadband POTS PSTN POTS Internet PSTN Analog Phone Analog Phone VoIP Gateway VoIP Gateway POTS Broadband IP Phone

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How Does IP Work?

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  1. How Does IP Work? June 8, 2004David Young Internet & Technology Policy Development

  2. Types of VoIP Calls IPto IP Includes PC-to-PC and Device-to-Device IPPhone Broadband POTS PSTN POTS Internet PSTN AnalogPhone AnalogPhone VoIPGateway VoIPGateway POTS Broadband IPPhone AnalogPhone CPEGateway AnalogPhone Circuit Switched / TDM Packet Switched Data Circuit Switched / TDM

  3. Types of VoIP Calls Phone to IP & IP to Phone Includes PC-to-Phoneand Device-to-Phone IPPhone Broadband POTS PSTN POTS Internet PSTN AnalogPhone AnalogPhone VoIPGateway VoIPGateway POTS Broadband IPPhone AnalogPhone CPEGateway AnalogPhone Circuit Switched / TDM Packet Switched Data Circuit Switched / TDM

  4. Types of VoIP Calls Phoneto Phone IPPhone Broadband POTS PSTN POTS Internet PSTN AnalogPhone AnalogPhone VoIPGateway VoIPGateway POTS Broadband IPPhone AnalogPhone CPEGateway AnalogPhone Circuit Switched / TDM Packet Switched Data Circuit Switched / TDM

  5. Breakthrough! • (Higher fidelity voice, multimedia communications, 3G wireless integration, presence & availability, etc.) • Local Service Alternative • (Vonage, Packet8, CableTV, GoBeam) • Domestic Long Distance Bypass • (Dialpad, Net2Phone, MSN, AIM, Yahoo) International Bypass Hobbyist Toy 1995 1997 1999 2003 200x VoIP History (“The Innovator’s Dilemma”, Clayton Christensen 1997) Sustaining Technology Disruptive Technology

  6. Modes of Broadband Delivery DSL CableModem Fiber PowerLine “Land Line” FixedWireless Satellite 3GCellular WirelessLAN “Wireless”

  7. VoIP over Broadband • Scalable technology minimizes up front investment for new entrants • Invest in softswitch & OSS • Customer may pay for adapter • Option to outsourcemedia gateways Virtual Phone Company http://www.cisco.com/warp/public/cc/pd/as/180/186/prodlit/at186_ds.htm

  8. Many VoIP Providers Can Compete Over a Customer’s Broadband Connection Assign or port number Emulate dialtone Provide full feature set + Co-locate with CLEC partner for termination Plug into broadband router (e.g.) with inexpensive adapter Traverse customer’s broadband connection

  9. Where is Bob@AOL.com? 2 Call Bob@AOL.com 1 3 Bob@AOL.com is at 129.23.10.2 Bob@AOL.com Is at 129.23.10.2 4 5 VoIP is already delivering calls between PCs and IP Phones: IP Phone to PC Voice Call (IP to IP) SIP Proxy Server Directory Server IP Network Hello! Bob@AOL.com 129.23.10.2 Sally@Verizon.net 150.34.23.7

  10. Sally Calling Clare Where is Clare? Set up call to Clare From Media Gateway 4 2 5 7 6 3 Use Media Gateway to call Clare Contact MGC at 175.1.1.1 7 Sally Calling Clare 6 8 1 8 8 VoIP Callers can also interconnect with the PSTN: SIP Proxy Server Media Gateway Controller (175.1.1.1) Directory Server Signaling Gateway SS7 PSTN Media Gateway (175.1.3.5) EO Verizon.net IP Phone to PSTN Phone (IP to Phone) Hello! Sally 150.34.23.7 Clare

  11. LA NY 5th Flr 12th Flr VoIP gives control to the end user: Moves, Adds & Changes Call Manager Sally : 181.8.3.4 Call Manager Sally : 181.8.3.4 Sally : 150.34.23.7 Media Gateway Controller Application Server Signaling Gateway IP Network PSTN Sally logs into the Call Manager server which updates her profile with the new IP address Media Gateway 2 Sally changes office 1 181.8.3.4 Sally 181.8.3.4 Sally 150.34.23.7 150.34.23.7 User B

  12. Traditional Telephone Location Customers locations were known Service providers had physical presence in town/state/country Mobility Customer’s locations were fixed and did not change One Service Network operator provided voice service Voice was the primary service Voice calls could easily be identified, tracked, measured & monitored VoIP Location Service providers and end users can be located anywhere Service providers do not need to know where their customers are physically located Mobility Customers can use their service from any broadband connection anywhere – home, office, hotel, Starbucks, etc… Convergence Broadband provider may be unaware of voice service Voice is one of many services riding over the same broadband connection Voice packets are indistinguishable from the rest (web, email, instant messaging, etc.) Technology Differences Create Policy Problems

  13. Broadband Continues to Grow Rapidly Enabling Robust Application Growth Source: Smith Barney, “Cable MSOs Leaving A Lot of Food on the Table”, April 28, 2004

  14. VoIP Services Cable TV Networks Convergence has made old distinctions between services meaningless Music/MediaTV & Radio Content & Applications Wireless Voice /SMS Services Internet Service Wireline Voice Services Network Access& Connectivity Telco Local Loop Satellite End User Layer POTS Phone Television& Set Top Box Computers& OperatingSystems PDAs IP Phone Cell Phones

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