Cable / Telecom News

VOIP lead belongs to Skype


WATERLOO, Ont. – When it comes to voice over Internet protocol telephony, Skype is leading the pack in North America, says new research released today by intelligent broadband network equipment maker, Sandvine.

“2004 was termed the ‘year of VoIP rollouts’ and the first half of 2005 has seen explosive consumer adoption. Yankee group projects that by year-end 2008, VoIP will serve 17.5 million U.S. households,” says the Sandvine release.

With over 1,100 VoIP providers now identified, Skype has taken an “astounding 35.8% of all VoIP calls in the U.S.,” says the release.

Skype takes an even more commanding lead of 46.2% when it comes to share of minutes, suggesting that Skype users are also making longer calls. Other PC-based VoIP services like Microsoft, Yahoo and AOL chat are distant seconds, says Sandvine.

Third party paid VoIP providers represent 35.7% of all VoIP minutes. Broadband service providers hold the strongest position in this category since joining the race, and are quickly closing the gap with an 18.1% share of all VoIP minutes on their network. Vonage, Primus, and AT&T CallVantage capture the next three positions.

"VoIP consumes minimal bandwidth on a broadband service provider’s network. Understanding which subscribers are using VoIP, how much of it, and for how long gives service providers actionable data to prioritize VoIP traffic and ensure optimal quality of experience," said Tom Donnelly, Sandvine executive vice president, marketing and sales, in the release.

"VoIP represents a small percentage of bandwidth, but a very large revenue opportunity for broadband service providers," added Lindsay Schroth, senior analyst, Broadband Access Technologies, Yankee Group, in the same release. "Broadband providers can capitalize on this opportunity by protecting their subscribers’ VoIP service and delivering a consistent, reliable, and high-quality service."

Sandvine (founded by some of the past owners of Pixstream) technology monitor traffic across service provider networks representing over 40% of the U.S. broadband market, says the company.

www.sandvine.com