Reduce PSTN Termination Costs
Internet Telephony, or Voice-over-Internet Protocol (VoIP) is in the midst of a global wave of mass consumer adoption. With increased broadband availability via cable, fiber and wireless services, it is clear that the decade old promise of VoIP replacing the PSTN is finally underway. VoIP makes voice services and application running on the Internet or private IP networks, and radically reduces the cost of operating a voice network. Peering helps providers avoid the per-minute charges associated with traditional PSTN call routing, resulting in savings on off-net calling, as well as reducing capital expenditure and port charges on PSTN Gateways. As more and more types of operators offer VoIP, and more consumers have broadband connections, peering will become an essential network service that will reduce the cost of termination, and enable new alternative pricing models, including flat-rate and settlement free.

Provide Advanced VoIP features
IP Communications enables a wide range of enhanced services, including high fidelity calls , video conferencing, integrated presence, fixed/mobile convergence (FMC) , mobility and new multimedia features that are limited only by the imagination. However, these features are mostly only feasible today when the call starts and finished on a single network. This is because most VoIP networks today are essentially “Islands” and all calls that go “off-net” are sent to the PSTN or VoIP wholesalers for termination. Therefore, if the recipient of the call is on a different network from the person originating the call, then all the advanced features will be lost. Peering frees VoIP service providers from the constraints of using the PSTN as the lowest common denominator with respect to the features and value they can offer their customers.

Simplify Operations
While the VoIP Interconnection process itself represents a major improvement in efficiency compared with the traditional PSTN interconnection process, it still requires work around identifying potential interconnect partners, negotiating commercial terms and contracts, interconnection testing, ongoing engineering for changes in network architecture and of course recurring billing and settlement. XConnect provides a one connection link to over 400 VoIP Providers and creating an opportunity to improve operational efficiency. For those organizations seeking to create private peering federations, XConnect’s expertise in managing secure peering infrastructure can save considerable time and expense versus in-house bilateral efforts.