The document outlines the evolution of Voice over IP (VoIP) from its inception in the late 1990s, highlighting key players, technologies, and market changes over the years. It discusses early innovations, the rise of consumer VoIP services like Vonage, and the impact of platforms like Skype on communication technologies. The narrative emphasizes the shift from traditional telephony to mobile and rich internet communications, along with the challenges and opportunities that arose during the evolution of VoIP.

1. Jonathan Christensen GM Audio Video A Brief History of VoIP

2. A long time ago…….. 1996-2001

3. The Pioneers Vocaltec’s Internet Phone Gateways: Clarent, NetSpeak, Nuera, Vocaltec, Sonus… Cisco The Carriers: DeltaThree, ITXC, Level3 New breed of internet Codecs - wideband The use cases gel: End users: PC-PC “Ham radio” scenarios Carriers: site to site “tandem” trunking Some “mainstream” apps emerge NetMeeting (last updated in 1999 and still in action) 2 Stage dialing: 1 800 CALL-ATT

4. Tandem Switch Tandem Switch TDM Class 5 Switch Class 5 Switch

5. VoIP Death of Distance Class 5 Switch TDM-IP Gateway Class 5 Switch TDM-IP Gateway

6. Tandem Trunking Bandwidth efficiency (more compression, statistical multiplexing) LEC - Avoid the expensive long haul lines Incumbent LD providers could avoid termination fees at the local off-ramp because the trunk is IP.. Its an unregulated “information service”.. Arbitrage, arbitrage, arbitrage Oh yeah.. And inferior service.. Sometimes offered under “alternative” brands..

7. Moving on.. 2001 Pulver, Vonage, and Consumer VoIP

8. Consumer VoIP Pulver’s early inspiration Min-X, the IP voice minute exchange Free World Dialup (one port gateway) Komodo and the first ATA Turns any perfectly good phone into an inferior IP handset Cisco acquires Komodo and validates the market Vonage is born… Voice over Broadband begins

9. VoBB Changes the Players / Power Structure…. Independent Vonage sets the pace early (with lots of cash) Long distance players enter local service markets… The MSOs respond -- with more Buzzwords and TLAs: “ Triple Play” “NGN” “IMS” and the dreaded “Quadruple Play”

10. What Do Consumers Get?

11. Great Savings? Really? And New Features?

12. Another Foot in the Grave… Beginning of the end? Incumbents match prices and features on TDM Land line telephony is cheap.. Still... Losing to mobile.. Commoditization is complete VoIP “export” networks are the biggest innovation Send your ATA to India.. Location independent (death of distance – again) Smashing the geocentric numbering plan Further deteriorating the old voice business

13. The Summer Revolution - 2003

14. IM (therefore IP) IM VoIP Video Visual Sharing Rich Communications

15. The Summer of Skype The stage was set.. The solution was 99% complete Robust IP audio stack Multimedia PCs Broadband penetration P2P file sharing networks running at internet scale NAT traversal techniques IM networks.. Skype simply closed the loop.. One application with the right formula Users loved it.. Industry was confounded.. By fall VoN there were 500K downloads

16. 276 Million Users Can’t Be Wrong Global appeal / reach Reliable PSTN interconnect Multitude of device options (PSP, N800, Cordless..) Profitable .. Enter the era of rich [PC based] Internet communications Multi-modal communications (original SIP vision) Real time video, Data, Presence, Text, Wideband Audio Smart endpoints, open platform… Application innovation..

17. What’s Next?

18. Sorting the Mobile Mess Mobility is the last anchor to the old way Fastest growth telecom service today Spectrum scarcity makes it a perfect walled garden The good old days again Closed networks.. Device lock-in.. Phone numbers with geographic bias.. Contracts.. YUCK !! Finally.. The Internet goes mobile First successful auction - 22 MHz of “700 band” spectrum “Open Platform” conditions apply A new game begins..

19. The next 10 years The Era of Rich Mobile Internet Communications Multi-modal communications (original SIP vision) Real time HD video, Data, Presence, Text, Wideband Audio Smart endpoints, open platform… Application innovation.. Fixed / Mobile Convergence – for real… Mash ups of web based communications Freedom with mobility… Natural segmentation of competencies Network infrastructure (pipes) Application innovation (developers)

20. Questions?