There is a need to come up with a working definition, as well as look at voice over IP (VOIP) opportunities and challenges, as traditional business models are challenged by the rise of Internet Protocol networks.
This is according to Cecilia Mamelodi, Botswana Telecommunications Corporation`s head of regulatory affairs. She was speaking about VOIP challenges, opportunities and regulatory considerations at the African Telecommunications Summit in Sandton last week.
Mamelodi said from a regulatory perspective, the development of IP telephony is forcing a reassessment of existing telecommunications regulation, which may need to be reviewed in light of opportunities and the challenges posed by new developments in technology.
VOIP, she said, posed many challenges to the developing world, especially to traditional incumbent telecommunications operators.
She said these challenges are not limited to quality issues, but also to the optional need to operate within the existing packet-switched data networks (PSTN), and the need for users to have the perception of a single telecoms environment, regardless of service.
"VOIP and other alternative network services are placing enormous pressure on the high accounting rate system to move towards cost-oriented settlement rates. Developing countries are not immune to the pressure of VOIP as calls may break away from the Internet into the PSTN," she said.
According to Mamelodi, the cost-saving and easy implementation of innovate services are the most significant benefits of VOIP and the drivers of its evolution.
She added that the telecoms industry believes the unsatisfactory voice quality remains the most significant obstacle.
"It is hoped the voice quality will increase with special quality of service interventions and increased bandwidth."
Regulatory considerations
Mamelodi said global deregulation and technology are profoundly reshaping the telecoms landscape.
"Regulators across the globe normally aim for technology neutrality, neither imposing nor favouring particular implementations, allowing service providers to use technology at their disposal - subject to licensing requirements," she said.
"Most regulators avoid influencing the market, but interconnection rates influence the ability of the service providers to set the retail prices.
"As we ponder whether to embrace or repel VOIP, it may be important to note that technologies will continue to evolve, so it`s up to us as African policy-makers to become more innovative."
Related story:
VOIP to saturate in 2005

