Voice
over Internet Protocol (VoIP) is a fast growing industry that holds great
potential for revenue and growth. People love VoIP because it is flexible,
inexpensive, and convenient. It is a great way for businesses and enterprise
level organizations to make long distance calls and to utilize other important
phone services. Within a few decades it is predicted that VoIP will completely
take over traditional telephony methods. Those looking to start a VoIP business
may be tapping into a gold mine. Buying and reselling wholesale VoIP equipment
and services can be a highly lucrative practice.
What is wholesale VoIP
termination Business?
Wholesale VoIP providers receive traffic from one carrier and
transmit it to another one acting as a ‘man in the middle’ between them. VoIP
wholesale usually doesn’t require huge initial costs and might be highly
lucrative if done right.
Requirements for VoIP
termination business
To deploy wholesale VoIP termination services the following are
required:
- Hardware equipment
- Softswitch
- Trac suppliers
- Clients – trac consumers or other resellers
Equipment for VoIP
wholesale
Based on the traffic you are going to operate with, you should
choose the type and quantity of your equipment.
To begin your service, you can start with the following:
- Billing server for invoicing
and nancial data processing,
- The server that combines RTP for trac streaming and RADIUS intended
for centralized authentication, authorization, and accounting management for
clients to connect and use a network service.
With the increase in the traffic volume, you may separate your RTP
and RADIUS server.
Softswitch selection
It is necessary to choose the high performance and stable soft
switch solution as it is the central device of a VoIP network.
Billing is an important part of the network that collects
information about calls and other services. CDR (call detail record) reports
generated by billing are used for charging clients. If the softswitch doesn’t
have integrated billing, it is necessary to buy it as a separate solution.
You should also pay attention whether the softswitch supports
protocols and codecs you need. If they aren’t compatible with the softswitch,
the trac won’t be proceeded. Sometimes clients and suppliers use different
protocols and codecs. In such case it is necessary to convert them. So, the
best option is when your softswitch not only supports protocols and codecs, but
converts them.
Another important feature is LCR (least cost routing). Due to LCR
option the softswitch automatically selects the most cost effective path for
traffic.
Some softswitches can have additional functionality which helps in
operation and saves time (for example, reports generation, automatic invoice
generating and sending, trac analyzer, trac quality control system, etc.). The
following gure illustrates typical setup of a VoIP wholesale provider.
Suppliers and Clients
Suppliers and Clients are the main contractors in VoIP wholesale
business. The provider buys international VoIP traffic from their Suppliers and
sells it to Clients. One VoIP company can be both your Supplier and Client.
Traffic as a product
Generally, VoIP traffic is the flow of data through the Internet.
As any other commodity traffic possess specific quality characteristics which
determine its demand and price. Quality means that users receive an acceptable
level of voice quality without unwanted sounds.
There are specific parameters used for estimating traffic quality
in VoIP wholesale business. The main of them are ACD (average call duration)
and ASR (answer seizure ratio). The better the quality, the higher the demand
and, of course, the price.
Making money
As we have found out, the core of VoIP wholesale business is VoIP
trac transit from one carrier to another (from origination side to termination
side). You get prot from margin between buying and selling prices.
If you are interested in starting VoIP wholesale business, our
company, Denovo
Labs, is
ready to help you. We specializes in VoIP wholesale business and VoIP
softswitch solutions development, so feel free to contact us.
Contact us:
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