Voice over Internet Protocol (VoIP) is one of the fastest emerging telecommunications technologies in the world. With VoIP, users can send voice transmissions over the Internet at a fraction of the cost of standard telephone service, and gateway hardware all over the world makes it possible for VoIP users to connect with telephone lines on regular public service telephone networks (PSTN).
While it was once a technology limited to computer users, international VoIP carriers have pioneered hardware that makes VoIP accessible from any high-speed Internet connection. One of the advantages of VoIP is that it has a much higher bandwidth than PSTN telephone lines. This means that VoIP carriers have a tremendous amount of airtime that they can sell to other providers. One of the fastest growing uses of this airtime is calling card gateway VoIP service.
Like regular long distance companies, VoIP carriers can sell airtime on their networks. But unlike regular long distance companies, VoIP providers do not have to pay to lease airtime on PSTN long distance lines, meaning that VoIP carriers can charge much less for long distance in addition to being able to serve more customers with its higher bandwidth. In fact, many international long distance calls are now routed over VoIP networks, without the caller even knowing that the call has not gone through a regular phone line!
VoIP carriers also offer a portion of their bandwidth to companies that sell prepaid calling cards. Calling card gateway VoIP service is becoming big business, at least in part because VoIP carriers are able to offer their bandwidth at lower rates than standard telephone companies can. Calling card gateway VoIP service operates like any prepaid calling card service, except that with VoIP the secondary provider must have gateway VoIP software installed on a PC or server. Customers can use their prepaid calling card for gateway VoIP service from any telephone in the world.
The call is routed to the secondary provider's server or PC, and from there it is routed onto the primary carrier's VoIP network and, if necessary, back onto the PSTN to connect with the party being called. The process takes about the same amount of time as a regular prepaid calling card call, but VoIP calling cards are less expensive because the actual long distance is cheaper. In other words, the secondary provider can rack up higher profits for selling the same airtime as a regular prepaid long distance card.
Calling card gateway VoIP service is expanding rapidly and the reasons are clear. This VoIP service is cheaper for the secondary provider and helps the primary provider make the most use of both their bandwidth and the hardware and software infrastructure they have developed.