article

Ameritech To Terminate ITXC VoIP Calls

Posted: 12/1999

Business News

Ameritech To Terminate ITXC VoIP Calls
By Liz Montalbano

Princeton, N.J.-based ITXC Corp. is using Ameritech Corp.’s network to terminate
Internet telephony calls carried over ITXC.net, ITXC’s global Internet telephony network.
The Hoffman Estates, Ill.-based incumbent local exchange carrier (ILEC), which recently
was acquired by SBC Communications Inc., San Antonio, will provide U.S. termination for
ITXC voice over Internet protocol (VoIP) calls in its territory.

Callers served by ITXC customers–such as carriers, prepaid calling card companies,
callback companies and other resellers–will place their calls on traditional telephones.
Those calls then are routed to gateways that convert the calls from circuit-switched to IP
and hand off the calls to ITXC for delivery to their destination.

The ILEC will translate calls that enter its territory from packet-switched calls into
circuit-switched calls again. Ameritech then completes the calls over its network for the
same rates as it is paid to terminate long distance and international calls by traditional
carriers.

Atlanta-based telecom analyst Jeffrey Kagan says Ameritech and IXTC’s strategic
relationship is an important step in the convergence of packet-switched and
circuit-switched networks, and thinks the deal is a sound decision for both parties.

"It sounds to me like a good match," Kagan says. "ITXC operates the
largest global Internet telephony network, which gives Ameritech fast entry into this new
industry and, in turn, Ameritech will offer ITXC very high-quality termination."


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