Premises to Keep: CPE as a Critical Success Factor for VoIP Service Providers

In the early stages of VoIP implementation, the central concern for service providers was ensuring that their IP-based networks could reliably deliver acceptable end-to-end call quality. This issue has largely been resolved. As a result, VoIP is now an attractive alternative to conventional analog voice and the PSTN.

As the VoIP market continues to evolve, however, service providers face a new set of challenges. It’s no longer enough to simply meet customers’ expectations regarding call quality. Service providers must also:

• drive down costs
• ensure the scalability necessary to support business growth
• fulfill customer expectations in terms of performance and functionality
• differentiate themselves from the competition

A service provider’s choice of Customer Premises Equipment (CPE) plays a critical role in addressing these multiple challenges. Differences in CPE features and functionality can have a major impact on a wide range of issues that are of significant concern to VoIP customers – including survivability, support for existing analog devices, and PSTN connectivity. CPE characteristics can also have a substantial impact on installation and support costs. The selection of the right CPE is thus a crucial success factor for VoIP service providers.

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