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Voice over IP (VoIP) Technology Explained. Page 2

In 2004, major development was made on the introduction of mass-market VoIP services over broadband internet access services, which allows subscriber to make and receive calls as they would over the PSTN. Inbound and outbound with Direct Inbound Dialing were provided by full phone service VoIP phone companies. For a flat monthly fee, companies can offer unlimited calling to the US, and Canada or selected countries to Asia or Europe. Examples of companies that are using VoIP services are call centers, distance trainings, etc.
The services may take a wide variety of form which is similar to traditional POTS (Plain Old Telephone Services). Broadband internet connection and the telephone jack can be connected to provide services indistinguishable from POTS to all the other jacks in the residence. Broadband internet providers such as telephone and cable companies offers fixed to one location as part of cheaper flat-rate traditional phone services. Most of the time, the phrase VOIP is not used in selling these services, the industry are aiming for typical phone users who are not tech-savvy, so they are using the phrase "Internet Phone" or "Digital Phone". The provider has the advantage of being able to keep one's existing phone number.

Most services rely on computer software client in order to place a call. The VOIP ID (Voice over Internet Protocol caller Identification) is a caller ID that works in much the same way as caller ID on a conventional telephone line but with enhanced features, flexibility, and can be used on many different computers. It simply means, if a subscriber with a home phone number in a U.S. area code tried to call someone in his home area code, it will be treated as a local call regardless of where that person is in the world. To minimize phone cost most users may try to use someone else's area code as their own.

Gizmo Project and Skype rely on software client on the computer in order to place a call over the network, its user ID can be used on different computers or in some locations on a laptop. One of the many advantages of these types of services is the ability accept and receive calls anywhere in the world, at no extra cost. It doesn’t require additional charges, as call diversion via PSTN would, and the other party does not need to pay for the call. It means when a subscriber from the US calls someone in his area code, it will be treated as a local call wherever that is at.

Most users used the broadband phone together with the PSTN line. Usually VoIP (Voice over IP) requires a broadband internet connection and a telephone adapter, if the latter is not available then a power adapter will have to replace it.

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