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Sending mails was the only way to communicate information between individuals and institutions in the early nineteenth century. Because the emails sent were subject to transportation services, there was no way to get in touch with family, friends, or business partners right away. The introduction of the telephone to the world remains the most influential communication technology invention to this day. Since Sir Alexander Bell Graham made the first landline-to-landline call in 1876, establishing the landlines phones system of communication as the new superpower, it has undergone modifications to increase its capacity to meet the demands of the rapidly changing world of business and technology.

The Pathway to Virtual Phone System:

The evolution began with the reliable Landlines phone systems, which required underground cables to connect locations; each location had a centre where people had to wait in line to use the phone. Voicemail, call forwarding, and other new features were gradually brought to future versions of the telephones, as well as the deployment of the groundbreaking PBX switchboards.

To minimise overcrowding at call centres, phone companies began employing manual switchboards, commonly known as Phone Branch Exchanges (PBX).  For the call to connect, the switchboard operators would manually connect the plug of the targeted Telephone.

This led to the development of VoIP service in 1995. Virtual phone systems are frequently seen as a watershed moment in the history of  Virtual phone systems.

ARPANet’s Contribution to the First Voice Data Packet Transmission:

Their initial goal was to find a means to remotely access computers and improve communication between two or more systems.

In 1973, at MIT’s Lincoln Lab, Bob McAuley, Ed Hofstetter, and Charlie Radar constructed the first voice packet via ARPANET. The LPC (Linear Predictive Coding), a cornerstone for the VoIP service that was introduced in 1990, made this voice transmission possible.

The Birth of CompuServe Chat Service and The G.722 wideband Audio Codec:

This continued until 1975, when CompuServe, the first wide-ranging commercial internet service provider, launched as a subsidiary of Golden United Life Insurance, allowing interested businesses to pay for temporary access to their computer systems.

During business hours, the services were provided. CompuServe formed its own corporation in 1975, and in 1980, it launched the first chat service, which allowed users to send and receive messages. . ITU-T certified the G.722 wideband Audio Codec in late 1988, which provided astonishingly increased audio quality. The data rate can reach 64,000 bits per second, which is ideal for VoIP service delivery.

The VoIP Service became Public for The First Time:

RASCAL was the first system to use VoIP services to convey voice across Ethernet networks. In 1989, renowned developer Brian C. Wiles (who later invented Skype) created RASCAL. It allows players of video games to speak with one another. Wiles later devised a technique that cut the required bandwidth in half from the original 64,000 bits per second.  Engr. John Walker, the founder of Autodesk architecture, mostly used NetFone to connect with his employees and virtually attend meetings.

The Beginning of Video Telepresence (Teleport, Skype and Vonage):

Teleport was the first telepresence programme, created by David Allen and Herold Williams primarily for video conferencing.  It charges consumers to make PSTN calls, despite the fact that in-network conversations were previously free.

The DialUp Software:

The FWD provided subscribers with access to a network that allowed them to connect with one another via the PSTN. FWD was the first and only window to make and receive PSTN calls at the time. The service was free to use, but the concept led to a profit-driven strategy for VoIP service providing.

Development of Profit-oriented VoIP Software:

8MB of RAM, a 16-bit soundcard, an SLLP or PPP connection, and a 486 computer processor are the minimal requirements for running the software on a mobile device. . Subscribers were able to save money on long-distance calls. They were the first Virtual PBX system.

SIP and Hosted PBX (The develop phone systnt of the First IP-PBX):

Making phone calls through VoIP requires simply a SIP-compatible desk phone (wireless) or VoIP calling software on your chosen mobile device; the device must have an IP address in order to make calls straight from your network. SIP trunking is an option for both large and small businesses that are dealing with significant call volumes and already own Hosted private branch exchange (PBX) equipment. A Hosted PBX is a cloud-based, virtual phone system that provides consumers and businesses with safe, dependable VoIP service over the Internet. Mark Spencer founded the first Hosted PBX, The IP-PBX, in 1999 as a solution for his firm because he couldn’t afford a PBX. He then gave it the moniker Asterisk.

Asterisk’s extensive use is due to the fact that it is an open-source tool that many developers have enhanced to fit their needs.

Pathway to the Mobile VoIP Service and Automation of the VoIP service:

The release of C1250i (the first phone with infrared WiFi connectivity) in 2005, served as the inception for the idea of VoIP mobile applications for phones later in 2006. . Truphone also made calls using the internet connection, bypassing cellular networks with the use of SIP.

Six years later, VoIP services and SIP trunking became massively adopted globally. VoIP service providers started exploiting several features and subscription plans to promote mobile VoIP applications further.

The Future of VoIP:

“The adoption of VoIP was the only approach that would allow voice transmission at a very cheap cost,” Jeff Thompson describes the VoIP service’s core nature. The VoIP solution provides the company with dependable and cheap voice traffic for internal communication and to improve customer service. The Internet continues to evolve, and VoIP services provided via the Internet will follow suit.

When should a Business Institution Adopt Virtual Phone System?

When a company adopts a virtual phone system, it gains access to a wide range of aesthetic enhancements that boost productivity. The following are some examples of possible scenarios:

I The cost of communication is considerable; if a company’s communication expenditures are putting a strain on its income, the company must turn to VoIP services to avoid a financial crisis.

II For businesses that already have or are planning to build new branches and would like to centralise communication for better integration, a virtual phone system is the best solution.


Although there are rumours that VoIP service may be phased down, with the growing desire for independence, wireless technology cannot be ignored. For local and international calls, global organisations choose VoIP services, therefore virtual phone systems will never be forgotten in the future.

“VoIP has definitely transformed the way we do business,” says Sir Jeff Thompson. VoIP service has conveniently been created as a basis for the positive evolution of our organisations. As a result, every business should strive to implement the most cost-effective virtual phone system possible.

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