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VoIP Switch - New Zealand Companies Can Make the VoIP Switch

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New Zealand Companies Can Make the VoIP Switch

October 16, 2014

By Susan J. Campbell,
TMCnet Contributing Editor

Have you taken the leap? A number of companies throughout the world have opted to replace the legacy PBX (News - Alert) with a VoIP switch so as to enjoy streamlined communications at a fraction of the cost. This focused move to the cloud is a trending phenomenon that has taken hold in markets throughout the world, including New Zealand.

According to Frost & Sullivan (News - Alert) researcher Audrey William, the on-premise market still accounts for the majority of voice revenue. The noted shift, however, is toward hosted and cloud-based voice and unified communications (UC) solutions. William shared her insight in a TechDay post.

The last 12 months, says William, has shown year-on-year growth for traditional voice in New Zealand and Australia to be flat. The growth seen in hosted and cloud-based communications supports the findings published in an IDC (News - Alert) report where spending on telecommunications as a whole in New Zealand dropped.

The market there fell in terms of spending from 2.5 percent to $4.92 billion in the year ending December 31, 2013. The report also highlighted a shift to over-the-top applications, including WhatsApp and Skype (News - Alert). Given that voice and telephony business in the enterprise space is very mature, flat growth or even a decline is not unexpected, according to William. After all, it’s no longer just about voice as other applications are gaining in importance.

A shift in decision making is also influencing the push to the cloud. IT decision makers are thinking about shifting away from on-premise solutions to hosted offerings, which is extending the sales cycle. When looking at the cloud, these decision makers are also assessing how UC will operate well when accessed from multiple devices. This means the focus is not just on voice, but also on email, video, chat and more.

Multi-year contracts are also declining in popularity as companies no longer want to pay for high upfront investments and increasingly demand flexible deployment models. Economic conditions in recent years have also played a part as companies are protecting their spend and looking toward long-term value. The ability to scale solutions up or down has helped to drive attention to the VoIP switch, while streamlining voice and data remain important benefits.

“Besides the upfront costs of purchasing the necessary hardware and software licenses for an application, on-going maintenance and support is a significant part of the overall cost of ownership.

“In many cases the on-going cost of maintenance often exceeds the initial upfront cost of purchasing an application over a three to five year period. This is particularly evident in large and complex deployments,” William says in TechDay.

Complexities can be avoided, however, if you do your homework. Quality providers will focus on deployment, scalability, flexibility, streamlined costs and long-term value. If you’re ready to implement the VoIP switch, insist on a provider that meets your expectations in each of these key areas. 

Edited by Rory J. Thompson
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Intro to Basic System Features

Accounts Overview
An account is a logical entity usually representing some logical or physical end point in the VoIP network.

Customers are logical entities in the system for which invoices will be generated. They may be termination partners, resellers of a service, or a virtual .

Tariffs and Rates
Tariff is logical entity in the system, which represents rules for rating and billing calls made by Account or Customer to which this Tariff has been assigned.

Balance and Credit Limit
In addition to Tariff, each Customer or Account, except Root Customer, has those two basic rating/billing parameters associated with it � Balance and Credit Limit.

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Intro to Advanced System Features

On-Net Routing
On-Net Routing is the feature that allows placing calls from one account in the system to another account in the system.

Ability to Charging On-Net (Account-to-Account) Calls
In some cases it might be necessary to charge either caller or callee or both for the on-net call based on per-minute rate.

Automatic Database Backup
The Softswitch includes the system which allows performing automatic backup of the database periodically.

Ability to Get exchange rate using external script
Exchange rates can be set using external custom script.

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