Do PC calls result in savings?
Until June this year, Indians spent 135 million minutes on internet telephony, according to data from the Internet Service Providers’ Association of India. Most view internet telephony as something that is not only cheap but also practical, like Afshan Ahmed, who manages the day-to-day operations of a Nashik-based NGO for street children.
“We have several NRI benefactors in the US, mainly in New Jersey and Chicago. Calling them on a monthly basis over a mobile phone would have eaten into our paltry funds,” she says. The NGO, on Ahmed’s insistence, moved to using Skype internet telephony. Today, a second-hand laptop, a broadband connection at a monthly rental of Rs 200 and a Skype service for Rs 500 per month allows the NGO to make cheap calls to its donors across the globe. Ahmed claims that this move has saved thousands of rupees for the NGO.
Companies like Geodesic have been quick to grab the opportunity. Kiran Kulkarni, co-founder and managing director of Geodesic, promotes internet telephony products that work without an internet connection.
“Geodesic’s Spokn does not require an internet connection. Users can make domestic and international calls over PC-to-PC, phone-to-phone and PC-to-phone,” he says. The company has also addressed the security protocol issue, which is the Indian government’s biggest concern when it comes to VoIP usage.
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USING VoIP SERVICES
How do you make calls using PC?
Voice over Internet Protocol, or VoIP, is the convention allowing transmission of voice through the internet
What do you get while calling from PC? For PC-to-phone VoIP services, users get features like free PC-to-PC calling, conference calls, voice mail, choice of online phone numbers, call forwarding and reduced long-distance rates, especially for international calls But, as with phone-to-phone VoIP services, call quality is not always perfect
What do you need for making these calls? An internet-connected PC, a pair of earphones/speakers with a microphone If you are making international calls to mobile or wired line phones from India, then most VoIP services require a minimum payment
Any other option ? If both caller and receiver have internet connections, they can use Google Talk, Yahoo, MSN, etc for free video or voice chats
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“We track the number from where the call is originating and the destination number. This data is freely shared with the regulatory authority,” assures Kulkarni. On this count, Skype, the popular internet telephony solution provider for PC-to-PC calls, has run into trouble as it refuses to share encryption codes with Indian security agencies.
Who stands to benefit?
The user can get optimum value for money with VoIP (check box). Calls made to international destinations typically cost between Re 1 and Rs 2 per minute. For instance, Geodesic’s Spokn allows calls to the UK and the US (mobile and landline) at 0.92 paisa per minute. Alok Shende, principal analyst and founder director, Ascentius, says: “International outbound VoIP services in India accounted for a Rs 85-crore revenue in 2008-09. These services comprise close to 15 per cent of the total international outbound voice minutes from India.”
He adds that consumers prefer PC-to-PC VoIP calls. However, internet telephony solutions are different due to their ability to call international phone numbers — wired phone lines or wireless mobile phones.
India’s 50 million odd internet users may not know every detail about the government’s stand on internet telephony services, but they are fast realising the advantage that VoIP services offer.
If I remember right you were not too bullish on VOIP & Spokn earlier. Thanks to your research you are very positive now.
You did say you used Skype often earlier. Have you registered for Spokn. Would love to hear your first hand comments after using Spokn regarding it`s advantages over Skype, apart from being cheaper.
I have never used Skype and have no one to call internationally, so no need for spokn either.
Rumple, I am still not very sure that Geod will make a lot of money from Spokn, due to a variety of reasons. Some of them are :
1) Geod has till now operated with high margins, from 35% to even 60 % of gross. For the first time, they are moving into an area which has margins less than 10% of gross billings. Culturally, the way to maximise profits from this kind of business is totally different. I don`t think they can make the transition so comfortably.
2) Being generally risk averse, historically, Geod has not made major investments into marketing in any of its product areas. A product like Spokn has to be launched against various established players and will need major promotional investment.
3) The ideal course of action would be for Geod to ally itself with a global biggie, taking a minor stake in a JV, make the global Co. launch the product with all fanfare and with the necessary firepower. However, this approach doesn`t seem to be contemplated.
I wonder what is the take of our boarder friend Madhur Kotharay on this subject.
| NIFTY 
