NETWORK WORLD NEWSLETTER: STEVE TAYLOR AND LARRY HETTICK ON 
CONVERGENCE
11/17/04
Today's focus:  What's the impact of residential VoIP?

Dear [EMAIL PROTECTED],

In this issue:

* Assessing VoIP's importance in the greater scheme of things
* Links related to Convergence
* Featured reader resource
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Today's focus:  What's the impact of residential VoIP?

By Steve Taylor and Larry Hettick

In the last newsletter, we discussed the recent FCC ruling that 
essentially frees residential VoIP services from the morass of 
different state telecommunications regulations. Now that the 
direction is clear, it's time to start thinking about whether 
this matters.

Frankly, we're not convinced that residential VoIP services will 
be the biggest thing since sliced bread. On the surface, the 
concept is fantastic. And, admittedly, as "technology 
columnists," the implicit assumption is that all new technology 
is inherently good.

But residential VoIP has some hurdles to jump over, and state 
regulation is a relatively small part of the story. Some of 
these hurdles include:

E-911: The recent FCC ruling said that these services were not 
subject to the myriad state requirements. But this doesn't 
change the fact that fundamental problems with E-911 for mobile 
devices still exist. And when you're making that E-911 call, 
it's not a time that you're likely to think about which line to 
pick up. Caveat: E-911 capabilities vary significantly from 
provider to provider.

Pricing: Residential VoIP service is almost free. But so is 
traditional voice service. Ten years ago, we would go to great 
lengths for making long-distance calls at a very low price per 
minute. But calling cards, cell phones, and fixed-rate plans 
from traditional carriers are competing for those same dollars. 
We're not convinced that the majority of consumers are ready to 
sit at the computer - or at a phone attached to the cable router 
- simply to save a penny per minute or less. And these current 
service pricing advantages may be short-lived depending on the 
FCC's decisions on issues like universal service fees.

Ringer equivalence: Technology that's old but still applicable. 
A hidden fact that we found several years ago when testing ISDN 
terminal adapters was that most adapters would generate enough 
ringing current for two or three phones. Admittedly, most of us 
don't "need" more than two or three phones. But it's now 
expected that most people have a phone in the kitchen, the 
family room, every bedroom, and maybe the bathroom. So it's not 
a given that every adapter will provide the exact same technical 
characteristics as POTS.

Service reliability: As techies, we're very tempted to convert 
to these services as a primary service. But for now Steve still 
has both cable and DSL Internet access so he can switch from one 
to the other whenever there's a service failure. As a second 
line for outbound calls only, the service is probably 
sufficiently reliable. But as a single line for the household, 
we're not convinced it's ready for prime time.

So what do you think? Our assumption is that the readers of this 
newsletter, while oriented toward enterprise-class 
telecommunications, are among the most technically savvy users 
in the world. Are you using these services? Even more 
importantly, are you recommending them to your friends?

Lets us know, and we'll summarize the feedback we receive.

RELATED EDITORIAL LINKS

Ringer Equivalence
http://www.nwfusion.com/nlconvergence842

VoIP ruling a start, not an end
Network World, 11/15/04
http://www.nwfusion.com/news/2004/111504voip.html
_______________________________________________________________
To contact: Steve Taylor and Larry Hettick

Steve Taylor is President of Distributed Networking Associates 
and Publisher/Editor-in-Chief of Webtorials.Com. For more 
detailed information on most of the topics discussed in this 
newsletter, connect to Webtorials.Com 
<http://www.webtorials.com/>, the first Web site dedicated 
exclusively to market studies and technology tutorials in the 
Broadband Packet areas of Frame Relay, ATM, and IP.  He can be 
reached at <mailto:[EMAIL PROTECTED]> 

Larry Hettick an industry veteran with over 20 years of 
experience in voice and data.  He is currently Vice President 
for Wireline Solutions at Current Analysis, the leading 
competitive response solutions company. He can be reached at 
<mailto:[EMAIL PROTECTED]> 
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This newsletter is sponsored by Intel 
IT Productivity; Increasing ROI 

Learn how to effectively measure employee productivity, manage 
IT investments and reduce the Total Cost of Ownership in 
enterprise data management.  Visit Intel's IT Productivity 
center.  Click here to download white papers, books and IDC 
Research. 
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