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| THE NEXT BIG THING Can you imagine making a phone call using your Internet link to anyone anywhere in the world for free or as low as 10/- a minute? Probably not, But the technology for doing this is already here. It is called VOIP (Voice over Internet Protocol) or Internet Telephony. VOIP works by (Digitizing) converting your voice in a telephone call into packets of data that can be transmitted over an Internet connection (Broad band). On the receiver end it reconverts the data back into voice. When it first appeared, the technology has been complex to use. But new software and gadgets have been designed to make it simple for anyone to use it. To use it all one needs is a high-speed Internet connection, a key pad dial phone and a device for digitizing the phone conversations. How come it is not common in Kenya? It is already here, however the only hurdle is that you need a high-speed Internet link (broadband) .High-speed links are still expensive in Kenya. Hence, are limited to Cyber caf�s and large corporations. Many cyber cafes are already using it to provide cheap international calls to their clients. In the USA where broadband connections are more common the number of users of this service is much larger. There are several companies providing Internet telephony services. For example, VONAGE and SKYPE , which provides free calls over the Internet but only from computer to computer. To call a conventional landline or cellular number you have to pay. The other thing about Internet telephony is that you do not need to be the Internet service provider (ISP) for a client in order to provide him with Internet telephony services. You only need to provide him with the Digitizing device from your company. The device will automatically route his calls to your servers. For example, ISP services could be provided by Nairobi net and Internet telephony services by Telkom Kenya or another foreign company. Until Kenyans get high-speed Internet links, Internet telephony will remain prevalent in Corporations and Cyber cafes. What about Telkom Kenya? The fact that people can make cheaper calls through the Internet at Cyber cafes has eroded Telkom's Kenya's international calls revenue. For example, an international call to a landline in the USA through Telkom Kenya costs US$0.90(ksh72.90) per minute (Peak time) before VAT. An Internet telephone provider would charge you Kshs.4/- That is why it has revised international calling rates downward twice in less than two years, to counter competition from internet telephone providers. Eventually, Telkom will be forced to launch a similar service to survive. In the USA and Britain the traditional fixed line telecommunication companies- AT&T and BT have launched similar services to counter SKYPE, VONAGE and other internet telephony providers. |
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| 5/11/2004 |