Voice Over IP: Multiple bridges over turbulent waters

Voice Over IP:Voice Over IP:Multiple bridges over turbulent watersMultiple bridges over turbulent waters

Tom Maier & Alan M. Brown

Georgia Board of Regents

[email protected], [email protected]

(404) 656-6174

Common SolutionsMay 14, 1999© 1999 Georgia Board of Regents

AgendaAgenda

VOIP - Hype and Reality VOIP Targets and Requirements Show Me the Money IP Telephony - Why? Telephony in Georgia Education PeachNet IP Telephony Trials Summary


VOIP - HypeVOIP - Hype

It’s about money, money and more money - $1,000,000,000,000!

Competition, marketing and market share

You too can use the noise in your data circuits for fun and profit.


VOIP - RealityVOIP - Reality

“real savings are probably 3-4 yr. out”, GartnerGroup, 3/99

transition costs are highinfrastructure not readydo we want to or can we become the

phone company?– All cost of voice will be due to overhead


USA SNAPSHOTS 5/13/99USA SNAPSHOTS 5/13/99

0

10

20

30

40

50

60

70

1st Qtr

Long DistanceCarriersCellular PhoneCompaniesISPs

Electric Utility

CATV

Preferences for alternatives for phone service


VOIP - TargetsVOIP - Targets

WAN is where biggest impact will be felt - look there first.

LAN and intrabuilding are not affected by voice

convergence does not mean one network

but local service is a big ticket item


VOIP RequirementsVOIP Requirements

Bandwidth low, management highQoS, diffserv, MPLS, IPv6 w/RSVP

Need for “voice-grade” soundreliability Issues– hardened network– not at five nines level

Bandwidth throwing not the solution


IP Telephony MarketIP Telephony Market

From GartnerGroup 1999/01/01– Although the Market for Internet-based

telephony should reach $3 billion by 2003, it will constitute just two tenths of 1 percent of the total network service market of $1.4 trillion.

– IP Telephony is in “Slow Growth” stage of technological maturity


Carriers Are Thinking about Carriers Are Thinking about VOIPVOIPAT&T Global Clearinghouse for

billing, call admin., etc.; also testingICG Netcon On-Line testing now at

5.9 ¢/min in 166 citiesQwest testing now at 7.5 ¢/min in 125

metropolitan service areasSprint testing now at 7.5 ¢/min


VOIP - Savings?VOIP - Savings?

voice/min. price drop– CCLs demise (from 2.7¢ to 0 ¢ by ‘01)– DWDM improving efficiencies

expected 3 to 5 cents/min. for LD


VOIP - FUD FactorVOIP - FUD Factor

The five letter force - C I S C ODriving the market development?Can Higher Education add to

momentum?


IP Telephony Opportunities?IP Telephony Opportunities?

Bypass long distanceReduce # of access linesCost savings, maybeConvergence of technologiesFocus on IP network, not multiple netsIntegration with videoIntegrated messaging


VOIP - Why Bother?VOIP - Why Bother?

Opportunities– take advantage of higher education’s

unique environments• educational intranets w/ end-to-end

possibilities

local - state - regional - national - globalCampuses-Regional/State-GigaPoPs-UCAID/Abilene-STARTAP


VOIP - Side EffectVOIP - Side Effect

Communications envelope approach (comprehensive infrastructure)

Socialize “zero sum savings”– communications costs should remain

constant or increase with demand. The decreasing unit costs for voice should be redirected to cover data.


VOIPVOIP

Scenario– best solution maybe to encourage someone

else do voice/IP at savings approaching what we can obtain and with redirection of savings inside a communications envelope to cover data.


VOIP - GaBOR’s EffortsVOIP - GaBOR’s Efforts

Telecommunications Costing Committee– composed of institutional CBOs and

CIOs– developing business models– prospective cost savings– redirection of savings


USG LD Costs TodayUSG LD Costs Today

Total LD ~ $6,000,000 annually–Within Georgia ~ 10 ¢ per minute– Outside Georgia ~ 14 ¢ per minute– Credit Card ~ 15 ¢ per minute– Intra 40%, Inter 55%, Credit 5%– 63 million call minutes

If we could save 1/2 of it somehow …$6M x 40% x 1/2 is $1.2M


USG Local Service Costs TodayUSG Local Service Costs Today

Total local - $26,000,000 annually~ 35,000 (?) lines, excluding

dormitories


Trial LD SolutionTrial LD Solution

Use existing telephones & PBXsUse standard interior phone linesKeep familiar dialing planRequires staged dial toneDial into Atlanta only; not symmetricLimited accountingAvoid becoming common carrier


Trial QuestionsTrial Questions

QualityCompatibility (with existing telco)Ease of useCosts projected for more sitesInteroperability (with other VOIP)Maximize throughput & minimize

latency, independent of traffic patterns


Voice over IP Voice over IP (Long Distance)(Long Distance)

PeachNet

PBX Phone PBXPeachNet

PeachNet

PBX

Augusta

Savannah

PBX Phone

PBX Phone

IP/PSTN Gateway

PBX IP/PSTN Gateway

IP/PSTN Gateway

Graphics from Selsius & Modified

Atlanta

C3640

C3620

C3620

(706) 721-xxxx

(912) 369-xxxx

(404) xxx-xxxx(770) xxx-xxxx(678) xxx-xxxx

PSTN

x3333

(404) 111-1111

x3000

x2222

x2000

(404) 111-1111


Use of VOIP for Home OfficeUse of VOIP for Home Office

PeachNet

Phone

IP/PSTN Gateway


C2610T1

“Office” port

Analog Voice Circuit

Ethernet

PSTN

“Station” port


Future Trial - Local ServiceFuture Trial - Local Service

Uses special phones– IP/Ethernet telephone– PC with H.323 soft phone

NT server with PBX functionalityIP/PSTN Gateway– PSTN trunk or standard voice line

Trials later this year with Selsius & Lucent


IP/PSTN GatewaysIP/PSTN Gateways• PSTN trunk interface• Analog fax/phone/modem

IP/PSTN Gateway

IP PhoneUser InstrumentUser Instrument• Ethernet IP telephone• PC with H.323 softphone• H.323 wireless handsets

Voice over IP (Local Service)Voice over IP (Local Service)

Call ProcessingCall Processing• NT server• PBX functionality

Call Manager


PeachNet

PSTN


Future Integration with VideoFuture Integration with Video

Audio bridge function via MCUH.323


Ultimate Future?Ultimate Future?

StreamingServer 1

Localgateway

PSTN

PBX Phone

Centralgateway

PBX

PSTN Phone

Centralgateway

PSTN

PSTN Localgateway

CPServer 3

AppServer 2

IP PhoneIP Phone

PC PhoneApplication

CPServer 1

AppServer 1

PC PhoneApplication

PC PhoneApplication

IP Phone

CampusNet

RemoteOffice

PeachNet


VOIP - ConclusionsVOIP - Conclusions

Packetized voice is happeningSavings possibleNew world order

The future is just one damned thing after another.

Voice Over IP: Multiple bridges over turbulent waters

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