Voice-over-WiFi (VoWiFi) in the Philippines?
I caught a syndicated New York Times article on Voice-over-IP (VoIP) on Wireless Fidelity (WiFi) networks. I went to the Philstar.com website but didn’t find a soft copy of it. However, it definitely is in the print version. Anyway, to get straight to the point, the article says that Voice-over-IP over WiFi (which I will from this moment on call VoWiFi) is definitely an interesting piece of new technology but will face fierce resistance from the incumbent mobile network operators. The scenario the MNOs probably fear is the one I presented in my previous blog on a purely IP-based Mobile Network Operator. Some provider will might take this opportunity to create a wireless voice overlay using all IP-based components.
The article also presents another interesting angle. It is that MNOs (like T-Mobile) can embrace VoWiFi as a landline replacement. This is an interesting angle as they can position this product as a low cost alternative to cellular phone calls within office premises (which is the domain of the fixed line). As WiFi networks continue to grow, this can also become an alternative to the cost conscious roaming business user.
In countries like the Philippines, the largest WiFi, Internet, cellular networks are controlled by the telecommunications providers. I don’t foresee an Earthlink, in the Philippines, moving in this direction. Therefore, all the ingredients for building VoWiFi are controlled by a single group. They are in the best position to use VoWiFi as a major differentiator and provide a trully convergent solution for customers. However, it is possible that one of the smaller players can disrupt the larger players by building a business model around VoWiFi. Who will it be?
