VoIP stands for "Voice over Internet Protocol", which is basically a fancy name for internet phone service. VoIP systems transmit voice traffic over internet protocol based networks. These networks were originally designed for data networking, but the success of data networking has led to the automatic extension of adapting these networks for voice applications.

VoIP systems are basically internet telephone systems; in fact, they are also referred to as internet telephony. These systems are really catching on because of their very fast processing capabilities, resilience and low cost – especially for long distance calls. Using the internet to process voice data was just a step away once data networking became popular on a large scale. As more and more people have access to computers and the internet, VoIP solutions for telephone usage will definitely start seeing some great inroads on the regular telephone systems – the transition has, in fact, already begun.

VoIP systems will be especially appealing to people who have to make a lot of long distance calls. Since long distance calling is not regulated or charged on the internet, it is possible to call China, India and even Australia for free! – Not something that we can ever dream about using a regular phone line. VoIP systems also eliminate one monthly payment from a person's monthly bills. Since people need only pay for the internet once to be able to use it for both data and voice processing, they can cancel their regular telephone service. Not only will they save on regular telephone service but they will save on long distance calling as they will be able to use their internet connection to make free long distance calls around the world.

Although VoIP is slowly catching on, it is still in its infancy. Most people have not yet heard of VoIP and if they have they are not quite sure what this system means in terms of cost savings, reliability and service. As word gets around you can be sure that these systems will see a surge in popularity and will give the regular phone companies a run for their money!

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