The communications landscape is rife with competition, and so far, operators of over-the-top (OTT) VoIP services are up against a hefty battle. What makes it difficult for OTT VoIP is the proliferation of VoLTE; with OTT, VoLTE is that much more formidable.
An OTT application is an app or service that provides an integrated product over the Internet and bypasses traditional distribution. For smartphones, this means that voice services are transmitted “over the top” of the traditional service you already get with your mobile provider, and doesn’t require any business or technology affiliations with that network operator. Services that come over the top are, if not always, lower in cost than the traditional method of delivery.
The creation of OTT applications has led to a wide-ranging conflict between companies that offer similar or overlapping services. The focus, however, remains on LTE (News - Alert), as OTT providers will likely not be able to compete with enhanced VoLTE features, including HD voice and mobile video chat. LTE also allows operators to significantly reduce the cost of providing their services.
The demand for VoLTE is being pushed by carriers wanting to establish a native mobile VoIP solution on their devices, so that they’re armed against the threat posed by OTT VoIP providers like Skype (News - Alert) and FaceTime.
Of course, VoLTE’s long-term success will be determined by its ability to deliver carrier grade voice services across an all-IP network, and on the latest LTE devices. VoLTE utilizes a data connection through the LTE spectrum rather than wired networks. It is the long-term goal for voice communication in the U.S.
VoLTE offers significant advantages over the traditional voice infrastructure and OTT services. Being able to offer high-definition voice and seamless call handoff among various LTE networks is just a small start. VoLTE has the capacity to allow users to use many multiple media applications involving voice, video and data simultaneously on their smart devices. Operators win by offering higher value added applications, in turn increasing the average revenue per user and maintaining a common core, thus reducing capital expenditures.
Multi-media applications are also possible through VoLTE, giving OTT VoIP a grueling run for its money. Apps like instant messaging using file transfer, high quality media streaming and high quality voice can be used simultaneously, making VoLTE the ultimate contender in future voice revenue.
Edited by Blaise McNamee