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Voip grows quickly in China because tariffs are high

If you want to call to and from a specific telephone number in China try Jaxtr. Then send your Jaxtr information to your friend in China. Calls will be free.

With high tariffs on traditional telephone traffic VoIP is a real cost saver. There are many carriers in China, while contrary to popular belief VoIP is not banned and censors are not blocking the product at this time.

High tariffs, especially for international calls, have significantly suppressed traffic volume and created public outrage relative to the traditional phone system. Private entrepreneurs, as well as powerful state-owned enterprises (SOEs), were aggressively looking for ways to squeeze into this lucrative market, but were always thwarted by China Telecom.

VoIP started with only the top three state-owned operators (China Telecom, China Unicom and Jitong). Such a decision was welcomed by consumers and telecom competitors, while China Telecom tried to limit the growth of VoIP by publishing ads questioning the quality of the service. In addition, China Telecom gave the job of providing VoIP service to its traditional long-distance departments. As a result, its service became the most hard-to-get and worst among the three rivals.

While no efforts exist at this time to block traditional ports used by VoIP, such as port 5060, there will be no corresponding reason why Chinese cannot acquire a New York or Washington telephone number in the United States, or a London number in the United Kingdom. One is not required, in most cases, to live in the area where they acquire a VoIP telephone number, but there are exceptions.

The explosive growth of VoIP provides a golden opportunity for the evolution of China’s public network. Although the price of the VoIP long-distance service is less than one-third of its traditional counterparts, because of the monopoly-created tariff imbalance, this service is still extremely profitable. Furthermore, China already has over 180 million fixed and mobile telephones, compared with roughly 10 million Internet users. For a detailed look at this subject we recommend this article