Posts categorized "Telecom Industry"

Jajah to provide PSTN connectivity for Yahoo!Voice!

jajahlogo.jpg Yahoo! announced today that they are outsourcing all PSTN connectivity services for Yahoo!Messenger over to the startup Jajah. This is a huge win for Jajah who also announced today that it has hit over 10 million users in two years. Congrats to the Jajah team for the win!

Two parts of the release explain a bit about what is going on:

The "Phone In" and "Phone Out" service will enable consumers to make high-quality, low-cost PC-to-phone and phone-to-PC voice calls over the JAJAH network to more than 200 countries using Yahoo! Messenger, the leading instant messenger application in the United States with nearly 97 million users worldwide (comScore, February 2008).

and:

Since 2006, Yahoo! Messenger users have been able to use "Phone In" and "Phone Out" to make and receive voice calls on their PC to and from landline and mobile phones. With low rates and premium voice quality, users can talk for hours and save on their phone bill. This deal means JAJAH will take over the provision of the telephony infrastructure, payment processing, and customer care for Yahoo!'s premium voice users who make and receive voice calls through Yahoo! Messenger.

yahoovoice.jpgSo essentially Yahoo is centralizing all the PSTN interconnection for Yahoo!Voice with Jajah. I don't know what their infrastructure was previously. If I had to guess I would say it was probably a series of SIP gateways connected out to various SIP service providers who provided the PSTN connectivity. In today's environment that would seem to be the logical way to set it up. Now, though, Yahoo appears to be simply outsourcing the entire PSTN-interconnect side of operations over to Jajah.

What will be interesting to see is how this might work for existing Jajah customers. Will Yahoo!Voice customers be able to call Jajah customers at no (or low) charge? And vice versa? Will Jajah's various web integrations such as "click-to-call" now be able to work with Yahoo!Voice customers? There are some interesting integration ideas that could happen here. We'll see what emerges.

Given that Jajah just announced today it's managed service offering, having a brand like Yahoo as their first customer is a huge win! On today's Squawk Box podcast (recorded at 11am Eastern US time), we're going to talk to Jajah co-founder Roman Scharf about what this all means. In advance of the call, Alec Saunders has posted these charts from Jajah that show their platform:
jajahplatform.jpg

and their VoiP backend:
jajahvoipnetwork.jpg

Between that and the information in their news release, it sounds like quite an interesting set of services.

The reality is that as much as many of us want to completely bypass the PSTN and have an all-IP network, we're going to have this beast known as the PSTN around for quite a long time and companies will be needed who can provide the best possible interconnection between the two and manage the integration as the evolution toward IP continues. Jajah clearly aims to be a player in bridging those worlds.

If you'd like to discuss this more - or simply listen in to the discussion - please do join us on today's Squawk Box. It's a live call-in conference call recorded at 11am Eastern US time. It's controlled through Iotum's "FREE Conference Calls" Facebook application which the link to the show provides information about how to install. It should be a fun discussion!

[Full disclosure: My employer, Voxeo, does provide hosting (including PSTN connectivity) for voice applications which may or may not compete with pieces of Jajah's vision (I don't know yet).]

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Skype further commoditizes voice with their "unlimited" subscription plans...

skype-unlimitedplans-20080421.jpgToday's buzz in the VoIP space is certainly Skype's announcement of new "unlimited" subscription plans. No contracts. No connection fees. No per-minute fees. Just a single flat, monthly fee.

The Global Difference

Now on the one hand, this isn't really new to those of us here in North America. We had an "unlimited" plan for all of NA that was good up until several months back when Skype dropped the plan and required everyone to move onto "Skype Pro". However, the big difference this time around is simple:

The unlimited plan is global!

Well, at least "global" in the sense that the 34 countries to which the plan pertains are indeed spread out all around the globe:
skype-worldcalling-20080421.jpg

Regardless, it's an impressive list and, as Skype's news release reminds us, means you have "unlimited" calling to about a third of the world's population. (This statistic is, of course, hugely helped by the fact that the plan includes China!) So now with your PC, or 3 Skypephone over in Europe, you can now make an "unlimited" number of calls to regular old PSTN phone numbers in those countries.

Goodbye international calling plans!

Given that here in the USA, we've seen most all of the major mobile carriers move to "unlimited" calling plans that allow you to call anywhere in the US, this is definitely in keeping with those pricing plans. Except, of course, it's global.

Other Goodies

Beyond just the unlimited calling, Skype is also offering other "goodies" in the plan. As with most things related to Skype, the Skype Journal team has the best coverage of the announcements and lists these benefits:

  • Users can upgrade temporarily -- for instance, a Canadian or American traveling for two weeks to Europe can have an Unlimited World plan for the one month during which the travel occurs.
  • All plans include free call transfer (SkypeIn or Skype to SkypeOut) to numbers within the destination countries included in the user's plan.
  • All plans include a 50% discount for a SkypeIn number. (or multiple SkypeIn numbers on some plans)
  • All plans include voice mail
  • All plans include Skype To Go

Jim Courtney's article goes into further detail on all of this and is definitely worth a read.

Redefining "Unlimited"

Of course, I had to laugh at Skype joining into the game played by all the major carriers here in NA known as "redefining the word 'unlimited'". Several of the carriers here in the USA and also in Canada have at various times trumpeted their "unlimited" data plans... which of course were "unlimited" only according to the carrier's definition of unlimited... really something more like:

"Unlimited" = "unlimited calling up to a certain point that our finance folks have determined you start to impact our profit"

The linguistic pedant in me cringes every time I see a "unlimited" plan and I had the same knee-jerk reaction when seeing Skype's announcement. You can see it clearly on their Fair Usage page or in this image with the asterisks net to "unlimited calls":
skype-unlimitedredefined.jpg

Now, in fairness to Skype, 10,000 minutes per month is a whopping long time! Basically that nets out to 5 to 5.5 hours on the phone every single day of the month. If you are spending that much time on the phone EVERY day (outside of your work), well... I'd just be amazed. (I suppose there might be long-distance relationships that might come close, but still!) I would expect Skype's major reason for doing this would be to strain out business users that might seek to use Skype for large blocks of calling. I'm sure Skype also does have very real costs that they incur for PSTN termination (although I'm sure they get good rates).

Other Views

Over on VoIP Watch, Andy Abramson notes that an advantage for Skype is that this moves their revenue stream to a more predictable monthly basis (rather than having the cash-flow variability of annual renewals) and also that it allows more flexibility for users to add and delete services.

Mark Evans also had an interesting take today in "The Sexier Story is Growth" noting that the far more interesting point about Skype is their growth:

Consider Skype’s first-quarter results: another 33 million users came on board, boosting the number of registered users to 309 million. Meanwhile, year-over-year revenue climbed 61% to $126-million and Skype-to-Skype minutes rose 30% to 14.2 billion. So, what you’ve got is a high-growth business that will likely have sales of $500-million in 2008.

Indeed that definitely is something to consider. (Jim Courtney also covered the topic here and here.)

Conclusion

In the end, rolling out these new plans is undoubtedly a great move for Skype. With all their Oprah momentum here in the USA and the 3 Skypephone in Europe, they've certainly made some gains. Now they continue disrupting the telecom industry by removing distance from the equation (for the most part). It will be interesting to see over time what this does or does not do to the ranks of subscribers. Regardless, it should be fun to watch as Skype continues to spread.

As for me, the reality is that as more and more friends have moved on to Skype, I honestly have fewer and fewer people outside of family to call on the PSTN. Given that most all the people I call internationally are already on Skype, I may wind up buying the Unlimited US & Canada plan just to be able to call some of those folks out on the PSTN. I mean, at $36/year... or apparently $24/year if you buy before June 1... it's hard to argue against that for "unlimited" calls within the US and Canada. :-)

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Squawk Box: Is the Mobile Web Dead?

squawkbox.jpgYesterday we had a fascinating conversation on Alec Saunders' Squawk Box podcast/conf call about "Is the Mobile Web Dead?" This all came about because of Russell Beattie's piece (and the resulting conversation) about shutting down Mowser and declaring that "the mobile web" is dead in light of new phones like the iPhone that allow users to see the web through a "regular" browser. Mowser was a company that existed to help companies make their websites work better on mobile devices/phones and he ultimately found that the market never really appeared.

The discussion was a good one although I think the truth is that we are all violently in agreement that at the end of the day there is just "the Web" these days and there is no need for a separate "mobile" web as the devices we use continue to evolve. We also spent a chunk of time talking about the iPhone SDK, fring and the long-term prospects for apps that use the Jailbreak installer.

All in all I think you'll find it an enjoyable conversation - give it a listen! And note that you are always welcome to join into the calls that happen most weekday mornings at 11am Eastern US time. Watch Alec's blog for more info. P.S. By the way, Russell is looking for work.

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If you missed eComm 2008, the presentations are now online...

42F19C6B-67C5-433E-91B4-641B9323CD48.jpgIf, like me, you missed out on eComm 2008 last month you can at least now view (or download) almost all of the eComm 2008 presentations via SlideShare. You can view all the different presentations and download them as well.

eComm organizer Lee Dryburgh also said that he's working on getting the audio recordings of the presentations up online as podcasts which will be great to have, too. (As I wrote about on a Voxeo blog, you really need audio to understand many of the slide decks (which I actually view as a good thing!).)

Kudos to Lee for getting all the presentations up there - there's 58 right now and it's good to see the range of presentations given. As a longtime fan of SlideShare, it's also nice to see it being used for a conference like this.

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The EComm 2008 Interview with Skype's Jonathan Christensen should be required reading...

42F19C6B-67C5-433E-91B4-641B9323CD48.jpgAs we enter into the final month before eComm 2008, I would suggest that the interview with Jonathan Christensen, Skype's general manager of audio and video, should be required reading for anyone seriously interested in this space. Why? Well, in part because Jonathan Christensen does provide some good information about what Skype has done and is doing but also because it provides some good insight into what one of the people driving Skype's agenda is thinking about this space. Take one of the final paragraphs where he answered Lee Dryburgh's question about what he saw as the the future of communications (bold emphasis added by me):
Well, a big question I guess and, having worked on the space for quite a while, I think that it's only going to get more interesting over the coming years since, well, like this open spectrum for example. You know, I just have to reiterate, I think that anybody who has not figured out that the Internet is the platform and that there isn't any such thing as walled gardens that will survive, or sub-networks [such as AOL tried] that are going to survive, those people are doomed. The intersection of these worlds is going to be chaotic. It's going to be violent. It's going to be messy for a while but it is going to happen, and the Internet will survive as the one open platform. You are going to see a trend towards extreme innovation at the edges - on the devices, in the PC platform, in software, all around the edge of the Internet.

I think that you are only going to see further disruption of the telecom industry and the emergence of totally new businesses that we can't imagine today. I think that [the] net result, that drives me every day, is that we're going to have this very rich, open, cheap and accessible communications. This is going to be not just a game changer for the telecom industry, but will be a change agent for all of humanity. So, a platform that allows us all to see each other and hear each other more clearly maybe makes us a little bit less crazy, less polarized and more open as a world society.

Good stuff... and the whole interview is worth a read. Given my recent criticism of Skype, I'm particularly pleased to read the comments I emphasized in bold. Jonathan Christensen will be giving one of the keynotes at eComm 2008, March 12-14 in Silicon Valley and if you haven't considered going, I would encourage you to do so. It should be a great event!

P.S. I also wrote about this interview in relation to SIP over on Voxeo's "Speaking of Standards" blog.

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Mobile World - Alec Saunders previews the new Nokia handsets

mobileworldcongress.jpgOver on his Saunderslog site, Alec Saunders previews the new phones announced by Nokia today over at the Mobile World Congress (formerly "3GSM") in Barcelona:
When you think of companies who really understand mobility and mobility use cases, there's only one contender, and it's Nokia. Even Apple's iPhone, as pretty as it is, is a sophisticated expression of ideas that others pioneered first. If you want to know where mobile is going, the company to watch is Nokia.

So it was with a great deal of anticipation that I accepted the invitation to sit down with a few of Nokia's product managers to preview their announcements for today - the Nokia 6210 Navigator, 6220 Classic, and the newest members of their multimedia computer line, the N78 and N96. These products are at the confluence of the two major mobile trends today - social networking and multimedia. They represent, in my opinion, both the future of mobility and the next logical expression of many trends that have been emerging for the last several years.

Alec goes on at some length explaining the new features of the various handsets and the new applications that are coming out along with the handsets.

Alec also discussed the new phones in his daily "Squawk Box" podcast that should be up on his website soon (and I'll provide a link here when it does). It all sounds quite interesting and I'd suggest giving Alec's post a read.

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Skype says "No" to VoIP interoperability - *because customers aren't asking for it!* - Well, I am!

skype_logo.pngSo Skype says that they have no plans for interoperability with other VoIP systems because their customers aren't asking for it??

By way of Dameon Welch-Abernathy today I learned of Phil Wolff's post back in December about ZDNet's interview (Got all that? ;-) with Skype's VP of telecoms, Stefan Oberg. The article was primarily about Skype's London phone number debacle, but this was the part that most irritated me:

Another issue which may concern business users of VoIP is the Enum registry, which aims to unite not only the various VoIP providers — referred to by some as "islands" due to their lack of interconnection with each other — but the entire VoIP and traditional telephony worlds.

Asked whether Skype had considered opening up its famously closed communications protocols, Oberg claimed that there had been no customer demand for interconnection. "[Customers] are not saying they would love to call a VoIP provider on a different network," he said. "Customers are asking for better video and better conference calling. If it is something that customers really ask for, we would consider it, but it is very easy for anyone to get on the island."

Well, Mr. Oberg, here is one paying customer of Skype who can state unequivocally:

"I would love to call a VoIP provider on a different network!"

Here's the thing, Mr. Oberg. There are a whole lot of us out there who are looking to build the next voice communication network. We're looking forward to the day when today's PSTN is just some story that greybeards get together and reminisce about. ("Remember when we used to have to dial numbers? And wait for the connections? And remember how much we had to pay our phone companies for the privilege? And remember those 'busy signals'?") We're looking to make it simpler and easier and so that ultimately voice just smoothly fits in to our communication as one of the several different ways we communicate. (others being text/IM, video, etc.)

The funny thing is that many, if not most, of us experimenting with what will be next are Skype users. Probably in many cases paying Skype users since we have Skype Credit and SkypeIn numbers. Because, like you said, Skype makes it "very easy for anyone to get on the island." You do a lot of things right. You've got a very simple and easy-to-use client. Your directory is good. Your use of wideband audio usually gives outstanding audio quality. Your ability to work from very different network environments and through firewalls is great. Some of us love that everything you do is encrypted. You work across the major computing platforms. You make a great product and because you have hit a critical mass with so many of us there, we like to use your product.

But... with statements like this you're living in the same delusion that Facebook has been in until recently. You see, there's this wee tiny little problem:

You are NOT the only island!

Sure, you're probably the largest island with the most parties and easiest docks to land at. But there are a lot of other islands out there. Some of them are other services with whom you admittedly compete. Some are startups. Some of them are the traditional carriers now offering VoIP services to consumers and businesses. A lot of other islands are the companies and organizations now wiring themselves up with IP-PBXs or using back office software from Microsoft or IBM to "voice-enable" their infrastructure. Ditto for some cities and towns that are doing the same thing. In some cases, those islands are wiring voice so far into their business processes and systems that it's truly amazing.

Now some of us, seeing all these islands out there, say... "Hmmm... why don't we just connect the dots?" Let's build some bridges or high-speed ferries between those islands. Let's get them talking together. Let's interconnect the islands and build the new infrastructure. Let's bypass the old PSTN and build the new voice network entirely across the Internet. Let's forget all about those geographic boundaries... let's let voice flow to wherever wherever someone can get an IP address. Anywhere. Anytime. Let's interconnect business systems with other voice systems.

And you know what? We're doing it. Slowly. Very slowly at times. But we're doing it. We're using protocols like SIP and RTP and all the many others coming out of the IETF. We're creating "mashups" and using XML flavors like VoiceXML and CCXML to weave voice into the web. We're starting the interconnection. We're enabling businesses to connect to each other and dial each other directly. We're using SIP trunking to let local systems make and receive phone calls from other parts of the world. We're giving people their choice of endpoint... they can use a range of "hard" phones (traditional pieces of hardware) or "soft" phones (like you are). People can ring my deskphone simply by calling "[email protected]" using their SIP phone... goodbye hard-to-remember telephone numbers... hello user names.

Oh, sure, we've got lots of problems still to work out. Security is a huge one. You are extending your trust boundary out to include other networks. How do you know they won't send you tons of voice spam? Or abuse your network? Or run up bills on your dime? Privacy is another one. How do you show others only the information you want to? Sooner or later the various governments and tax authorities are going to wake up and realize how badly they are going to be screwed out of revenue by all we are doing - and we're going to have to deal with that. We've still got to agree on how to do certain features between systems. We've got a lot of work to do.

But we're doing it. We're rewiring the phone system. We're creating a new one, not shackled by its history.

The question for you all at Skype seems to be whether or not you want to help build that larger interconnected world. Or whether you want to just hang out on your island and hope that if you throw big enough parties and advertise "Free Beer" enough that everyone will forget about their own islands and just come over and join yours.

You know what? You'll get a lot of people to come on over. Today. And probably for some time. You've got a fun island to hang out on.

Meanwhile, the rest of us will keep on with our rewiring and remixing. We're building the fabric of what comes next. We're coding the DNA for the future of voice. We'd love it if you joined us. I'd love it. It would be great if I could call my colleagues on SIP extensions from directly within Skype. Not through some Skype-to-PBX gateway that really winds up running multiple instances of Skype... but through an actual SIP gateway. I'd love it if I could give them a SIP address like "[email protected]" that they could use to call me on my Skype client wherever I was. You know, I'd probably wind up using my Skype client more if I had that capability! You have a great UI. Why shouldn't I add my SIP contacts there, too?

What SIP contacts you say? Yes, clearly I'm an "early adopter"... one of those geeks who goes around chasing bright shiny objects. Guilty as charged. But each day what I do is becoming easier and easier for others to do. And you know what? If you supported SIP contacts, those of us who talk and write about topics like this would probably do a lot to evangelize you. We'd actually help you with your marketing.

Now you do make this excellent point:

"In order to provide richness, we have to create our own protocols," Oberg added. "SIP and the standard [VoIP] protocols simply can't do it."

You're right. Almost all the traditional vendors in the VoIP space do use their own proprietary protocols to give the rich communication experience people want. Cisco. Nortel. Avaya. Alcatel. Mitel. Others. But you know what? Their hold on the market is being disrupted. Lots of new players coming in. Big ones like Microsoft and IBM - who are interestingly supporting the open standards we're using. So the traditional vendors are evolving, too. They're supporting SIP for interconnection. Sure, they still have their parties on their islands and show people how great it is there, but they do allow bridges to be built. They understand the need to interconnect.

You're right, too, in that SIP only supports basic calls. We know that. We're working on it. So come join us. Join the IETF mailing lists. Send someone to IETF 71 in Philadelphia in March. Advocate for how we should interconnect to you. Building the Interconnect is long, often glacially-slow work, full of many people with different agendas, many of whom will all disagree. Join with us. You'll lose some battles and win others. But together we might just have a chance at making it all happen.

Or... just keep hanging out on your island throwing parties and trying to attract new people. Maybe it will work.

In the meantime, please don't say that customers aren't asking for interoperability. Count me as one who is:

"I would love to call a VoIP provider on a different network!"

I bet if I ask around, a few of the people I know would like that, too.

If you read this far, thank you for listening. You can now return to your island. Meanwhile, we've got some rewiring to do...

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Another print pub bites the dust... say goodbye to "Business Communications Review" / BCR

200801021114In learning about the new "NoJitter.com" blog recently, I also learned from Eric Krapf that Business Communications Review, commonly known simply as "BCR", was joining the ongoing exodus from the print publication business. Effective January 1, it will no longer be published in print form and, in fact, the name will retired for publishing purposes. They will continue to use the name for their training business, which is apparently going very well. The publishing focus for the BCR team will apparently be this new NoJitter blog, which I mentioned in my last post.

Personally, I'm sorry to see them go. I definitely do understand that the economics of print publishing today are quite difficult, but I did value the work that BCR did, particularly in their comparisons of products and services. It will be interesting to see, too, how well their current readership makes the switch with them. I know personally that once InfoWorld folded its print edition, I know longer paid as much attention to their writing as I once did... except when it randomly came up in searches. I'm not currently a BCR subscriber, so if anything this move may mean that I see more of their writing.

In any event, I wish them all the best with moving to the online world with NoJitter.com and look forward to seeing how that site evolves.

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So the real question is - who is NOT suing Vonage? (Nortel sues Vonage)

Over at ZDNet, Russell Shaw reports that Nortel is suing Vonage over patent infringement. The real question these days seems to be - who is not suing Vonage? Seems like there is blood in the water and the patent lawyers are circling...

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Verizon Business to roll out hosted VoIP ("Managed IP PBX") based on Nortel gear

When I think of "disruptive" actions in our industry, I personally don't ever tend to think of Verizon (well, I do think of them in terms of disrupting GSM service in Vermont, but that's a different post I need to write). But yesterday, Verizon issued a news release that I think bears reading: "Verizon Business Adds New Option to Simplify Move to IP". Essentially it amounts to the fact that Verizon will be offering "large-business" and government customers the option of having their IP-PBX hosted in Verizon's cloud. From a technical point of view, it's basically a hosted offering of Nortel's recent products:
The Nortel-based offerings, leveraging the Nortel Communication Server 1000 IP-PBX, Business Communications Manager and CallPilot platforms, enable advanced voice applications such as "find me, follow me," and integrated communications that allow for multimedia collaboration. They also help companies move to a unified communications platform to simplify and integrate a variety of business communications functions such as voice mail, e-mail and instant messaging. For example, end-users can see who is online, or they can prompt the system to prioritize incoming messages and send alerts to end-user devices. Verizon Business' support for the offering includes full implementation, as well as management of fault, configuration, accounting, performance and security functions.
The release also indicates that Verizon Business has set up close to 5,000 Nortel IP telephony platforms, which is certainly not a number to sneeze at. Now on one level, this isn't a terribly big deal. Verizon already provides all sorts of hosted/managed services to those large and government businesses, but this does mark Verizon's endorsement of hosted VoIP and their expansion into the support of the technology. Interesting move... and a nice win for Nortel as well.

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