NTC declares VoIP as value added service

Discussion in 'DSL & Info Tech News' started by XMA388, Aug 24, 2005.

  1. NTC declares VoIP as value-added service

    THE NATIONAL Telecommunications Commission (NTC) has approved on Tuesday the final guidelines deregulating commercial voice over Internet Protocol (VoIP) services in the Philippines.

    "We already signed the memorandum circular this afternoon. So we now have the final guidelines ready. Basically, we just reiterated what we have said earlier that VoIP is a value-added service. But we've added some few points to support our position," NTC Deputy Commissioner Jorge Sarmiento told INQ7.net.

    This was after months of deliberation and heated public debates both at the NTC and the Philippine Congress.

    Sarmiento said the NTD guidelines will become effective 15 days after it is published in a generally-circulated newspaper.

    NTC's decision to deregulate commercial VoIP services in the country follows after mounting pressure from government, as well as the industry, in particular the Internet service providers.

    VoIP routes phone calls through the Internet instead of through traditional public switched telephone networks. Its lower cost has made it a popular alternative to traditional voice calls.

    The rules would now identify parties that are allowed to offer VoIP services, as well as standard agreements between telecommunications carriers and Internet service providers (ISPs) regarding service performance standards, interconnection charges, access costs, as well as consumer security and privacy.

    Sarmiento said that NTC has followed its earlier position that VoIP is a value-added service instead of a regular voice service, which under the law is covered by the Telecommunications Act.

    This was the primary contention that fueled the debates between the carriers and local ISPs.

    VoIP is turning out to be a cheaper communications alternative to the public, and it can provide additional communication services not commonly found in traditional voice services.

    The National Economic Development Authority has pushed for the deregulation of VoIP services in the country, saying that this would decrease government spending on telecommunications.

    First posted 11:24pm (Mla time) Aug 23, 2005
    By Erwin Lemuel Oliva

  2. Sorry, this is a double-entry.

    I apologize to 'Bro Neo.

    DSLMaster, kindly delete this post.

  3. aioshin

    aioshin Member

    wag nyo muna i-delete, just wanna ask some questions regarding the decalaration, does this mean that anyone can resell VoIP? for example, I have a DSL at my home, then I'd like to do business regarding VoIP, so I am now ( due to what NTC has declared) allowed to resell thus services provided by ... say Net2Phone, or other local VoIP provider? or do I need to have a partnership with a certain ISP or Local Telco? pwed ena akong mag tayo ng VoIP PCO without fear for a telco intervention?

  4. aioshin

    VoIP as a value-added service . . .(to your DSL service that you purchased from your ISP or telecom carrier).

    if you belong to any of these groups, then my understanding is that you are allowed to offer VoIP service. otherwise, i suppose you will be operating at your own risk. risk from what? i don't know the answer. so, let's just wait for the final guidelines to be published.

    please do not misunderstand - i am FOR the deregulation of commercial VoIP because this is good for the masa.
  5. Neo

    Neo Member

    i agree with you tol XMA388.. they will release proper guidelines with it and lets wait what it will said..

    And i guess, refer to aioshin querry, i think what they are referring is the call peering agreement that will happen to PSTN.. if your VOIP will have the ability to call landline locally (like:, SPA-3000 and Asterisk) i guess that what are they saying that you need to have a partnership with a certain Local Telco.. but if its SIP to SIP or any P2P protocol same as skype i think it will fall on the valued added services that they declared... just my guess...

    its me,

  6. se7en2wo

    se7en2wo Member

    Assuming im in manila and I want to call a manila number using voip. My call will pass thru US telcos and in turn will be contacting the manila number. This how this will work right?

    If I want to call other countries but not US, still my call will be routed thru a US telco.. right?
  7. se7en2wo

    se7en2wo Member

  8. aioshin

    aioshin Member

    AFAIK, they will not allow you to call Manila or PH number since if they will, the toll charges is like calling from US to PH .... you've to rather use a local telephone line.. But... as with NEO have said.something like it, if we will attempt a regional call via VoIP.. it will become a toll bypass, maybe this is the scenario that we need a local telco partnership, coz they (telco) usually dont like the Idea of bypassing local toll, since it will affect their NDD market.

    If you want to call other contries, it will depend on your VoIP provider, say, if you want to call Canada, then the provider has a gateway on US only, then the call will route from US to Canada, but if you call Dubai, then your provider has a gateway at US and UAE, then your call will be place on the best route, which is UAE since they have their presence there...
  9. Neo

    Neo Member

    As what i understand.. Voice delivered using the IP. It is a term used in IP TELEPHONY for a set of facilities for managing the delivery of voice information using the IP. In general, this means sending voice information in digital form in discrete packets rather than in the traditional circuit-committed protocols of the public switched telephone network (PSTN). A major advantage of VoIP and Internet telephony is that it avoids the tolls charged by ordinary telephone service.

    So it doesnt matter if your call originated from US or any place in the world.. as long as your call is SIP to SIP or P2P it doesnt go thru to any Telco's... unless you call from your network to PSTN of course it will thru to Telcos where you initiated the call..

    so it depends, if your voip network is based in US and would like to call landline Philippines the call will go thru to your network then routed to Telcos that your network has an agreement then to Philippines Telcos... but if SIP to SIP or P2P its direct.. network to netwrok or IP to IP there is no intervention of Telcos...

    its me,


  10. VoIP Should not an extra value added service

    This like you ride a Jeep nagbayad ka pamasahi and the driver ask more money kasi your seating & if don’t pay sasabit kana lang hehehe.

    We the Internet subscriber is paying for the service we should benefit
    all the services available. All Top country if you have
    Internet subscription you can do and use all facilities with out
    Paying extra money,

    It seems that Philippines is more strict than Saudi Arabia, Kong sa Saudi
    Arabia nga open ang VoIP, Sa Dubai they black it but they open it again
    After know the benefits on it. Most Pakistani and Indian they just
    Have Modem/Router and ATA device with out even computer then they
    Start calling your family back home for free. US and Canada, Hongkong & others they have Toll free access Number pa para re-route ang VoIP call mo anywhre even wala kang computer even nag papalimos makatawag by VoIP.

    Pano kasi sa pinas eh ang mga company gusto sila lang yayaman
    They reason they stop anything na makaka antala pag yaman nila.

  11. Deregulation of VOIP is slowly moving dito sa atin. But the strategy of the major players is just to join the bandwagon. Services in the US like vonage.com; broadvoice.com; lingo.com; etc will soon be available provided by, as usual, our phone carriers.

    Good for the public, but not if you want to setup your own. :(

  12. Let's take a look at two scenarios here:

    1. You have VoIP with a Manila number (assuming that this is possible). Your call to another Manila number will be routed to the local PSTN only.
    Your call will be considered a local call since you have a local VoIP number.

    But why should you opt for that? aioshin is right! just take advantage of the local telephone system.
    if you call Cebu, Davao, or any regional number, local NDD charges will apply - depending on the type of subscription that you have.

    2. You have a VoIP with a US number. If you call another US number, your call will pass thru the US telco PSTN.

    In this scenario, you take advantage of the VoIP system as it bypasses the Philippines telco PSTN that charges exhorbitant IDD call.
    But if you call Manila, or other caountries for that matter, you will be charged LESS than the usual IDD calls that originate from the US.
    For example, calling Singapore will only cost US$0.02 cents/minute (or Php 1.10/minute).

    The main idea here is: if your objective is to call as many as US number as you can, say for business purposes, then VoIP is for you.
    If you have a nurse-relative in CA, then get a CA VoIP number so that your relative can 'call you back' anytime at local toll only.
    If your relative is in the UK, then get a UK number.
    And so on . . .

    As Neo said, "if its SIP to SIP or any P2P protocol" then your ISP has no business charging you anything, even a single centavo.
    Wala ng pakialam ang telco and your ISP kung network to network.
  13. aioshin

    aioshin Member

    ok, if you really want to maximize the use of your internet connection and VoIP, in a case that you have a branches regional, say manila, cebu, and davao, and those branches have internet connection (assuming DSL), then if you can afford, try to buy a gateway that has an FXO port, connect them to internet and your branch local telco, configure them properly, assign prefixes, then your branches can now save NDD call cost. this is what they call TOLL bypass, and you have now your own VoIP network

  14. Yup, dyan galit ang mga telco.... :D

  15. yep! we use VoIP in our ofc and we call our provincial branches via local, w/o any cost in ndd.
  16. aioshin

    aioshin Member

    I think they wont get mad if used only for private, but if you resell it, then they will hunt you :(
  17. migs

    migs Member

    yeap, if used for private use, they could not care less, but when you start reselling the service as a cheap NDD alternative, they will not allow it, much like it is illegal "supposedly" to turn your normal landling phone into a pay phone.
  18. se7en2wo

    se7en2wo Member

    Check this out:


    Starting September 15, enjoy international rates for as low as 10 cents a minute using your PLDT landline phone! Register for IDDSL and 2 months of your monthly fee will be free! Hurry, register now! Promo runs until September 30, 2005.

  19. renesaure

    renesaure Member

    hi, i know the telcos wont mind even if you're bypassing their network as long as you're not reselling.
  20. renesaure

    renesaure Member

    hi, i know the telcos wont mind even if you're bypassing their network as long as you're not reselling.

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