IP telephony enters 21st Century: VocalData supplies company with IP system

Chicago-based 21st Century Telecom announced last week that it has begun field trials of VocalData's IP-based local exchange system. The company recently installed the system and select employees soon will test it for a few weeks, followed by a limited customer trial.

"A lot of people misunderstand the voice-over-IP approach and look at it only as a workaround for the local telephone provider," said Jim Dreher, vice president of 21st Century's EnterAct business group. "If a company has a connection from the data center to the customer, then a lot of IP traffic happens on the back end, which are not things a normal user will notice."

The company, which provides a bundled package of voice, cable and high-speed data, chose VocalData because it can provide a complete solution, including call agents, customer premises equipment and network hardware.

In addition, VocalData's products work with traditional voice platforms, which allow seamless migration to data-oriented network architectures while eliminating the need for traditional voice switches.

VocalData is in beta testing with three carriers and has one more lined up. Although the company's main customers are competitive local exchange carriers (CLECs), it plans to sell to incumbent LECS, too, said Bill Rich, president and CEO.

"Operators have reached the conclusion that it is not just [a matter of] curiosity, it can be an important part of their infrastructure," he said.

Forward-thinking companies will move toward IP in the first or second quarters of next year, Rich said. "In 2001, the market will blossom in a meaningful way."

In terms of challenges, Rich foresees an increase in people targeting this space, as competition for voice over IP surges. He also hopes his company can keep up with the rising demand in the marketplace. For this purpose, it has plans to announce another round of venture funding so that it can continue to move ahead at full speed.