VoIP Peering: A Market & Technology Update

VoIP Peering: A Market & Technology Update published by Heavy Reading in October, 2009. This report consists of 60 Pages and the price starts from US $ 3995.

Introduction

Abstract

Until recently, virtually all voice over IP (VoIP) networks, carrier or enterprise, interconnected via the circuit-based public switched telephone network (PSTN), with VoIP calls transcoded into time-division multiplexing (TDM) circuits. While this remains the dominant case, over the last few years many providers have begun to interconnect voice networks at the IP level using session border controllers (SBCs), although call routing has largely remained based on PSTN phone numbers. VoIP interconnection can be a much more efficient way to connect VoIP endpoints without using the PSTN. It saves on costs and makes transcoding between IP and TDM unnecessary, as long as traffic can be kept at the IP level end to end, improving voice quality and enabling advanced services such as video and presence, which cannot be used with transcoding.

VoIP interconnection is a much broader phenomenon than VoIP peering. To enable VoIP peering, interconnection must occur on the transport, signaling, and ENUM database levels, as well as on a commercial or business level, with appropriate security and quality parameters wrapped around each element. In VoIP peering, interconnection takes place directly between originating and terminating carriers. In addition to avoiding repetitive, costly, and potentially quality-damaging transcoding between technologies, this eliminates the diseconomies of wholesale "middlemen." Settlement-free peering - the "gold standard" of true peering - further economizes by making the costly and time-consuming processes of billing and settlement between providers unnecessary.

While the concept of VoIP peering is easy to understand, its implementation has been anything but simple. For starters, there are no standard, universally supported definitions to differentiate "peering" from "interconnection." Indeed, the terms are often used interchangeably. Many players will call any VoIP interconnection "peering"; we prefer to reserve that term for direct connections between originating and terminating service providers in support of end-to-end VoIP traffic. Some companies that offer "peering platforms," for example, support VoIP interconnection that may not be limited to, or even involve, the narrower definition of VoIP peering.

While there has not yet been a wide-scale shift away from longstanding wholesale models, Heavy Reading believes that over the longer term VoIP peering will reduce the need for many "middleman" functions performed by wholesalers. Similarly, though longstanding settlement models are not yet going away, variations of VoIP peering have the potential to drive the industry toward a settlement-free, "bill and keep" model, while providing the means to expand advanced IP services and features beyond individual service provider networks.

VoIP Peering: A Market & Technology Update analyzes the myriad effects of the industry shift toward VoIP peering (and interconnection). The report, which updates previous research conducted by Heavy Reading, examines several VoIP peering/interconnection platforms and compares the services and functions they provide, as well as the business models employed.

Table of Contents

LIST OF FIGURES

I. INTRODUCTION & KEY FINDINGS

• 1.1 Key Findings
• 1.2 Report Scope & Structure

II. NATURAL PEERING COMMUNITIES

• 2.1 VoIP & VoBB Providers
• 2.2 Cable Operators
• 2.3 IM Service Providers
• 2.4 Enterprises
• 2.5 Tier 1 Carriers (ILECs)
• 2.3 CLECs
• 2.7 Wireless Network Operators

III. VOIP INTERCONNECTION/PEERING PLATFORMS

• 3.1 IETF Draft Peering Architecture
• 3.2 Peering Platform Study Areas
• 3.3 Peering Platform Operator Matrix
• 3.4 Peering Pricing Models

IV. PEERING/INTERCONNECT PLATFORM PROVIDERS

• 4.1 Arbinet-thexchange Inc.
• 4.2 Country Code 1 ENUM LLC
• 4.3 Global Crossing Ltd
• 4.5 Interoute Communications Ltd.
• 4.6 IP eXchange (IPX)
• 4.7 NeuStar Inc.
• 4.8 Stealth Communications Inc.
• 4.9 Tata Communications Ltd.
• 4.10 Telcordia Technologies Inc.
• 4.11 Transaction Network Services Inc. (VeriSign Inc.)
• 4.12 XConnect Global Networks Ltd.

V. SERVICE PROVIDERS

• 5.1 Comcast Corp.
• 5.2 Cox Communications Inc.
• 5.3 iBasis Inc.
• 5.4 Level 3 Communications Inc.
• 5.5 Verizon Communications Inc.
• 5.6 XO Communications Inc.

VI. EQUIPMENT & SOLUTION PROVIERS

• 6.1 Acme Packet Inc.
• 6.2 Genband Inc.
• 6.3 NetNumber Inc.
• 6.4 Nominum Inc.
• 6.5 Radvision Ltd.
• 6.6 Sansay Inc.
• 6.7 Sonus Networks Inc.
• 6.8 Tekelec Inc.

APPENDIX A: ABOUT THE AUTHOR

APPENDIX B: LEGAL DISCLAIMER

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