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12 min read

Understanding how Wholesale Voice Termination works

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In a competitive market, where a missed or misconnected call can result in the loss of a customer, efficient voice termination is crucial for companies that rely on telephony to communicate with their clients. This service ensures high-quality, cost-effective voice solutions for businesses across regions where conventional telephony is still widely used.

Telecom operators view wholesale voice termination not only as a stable revenue source but also as a strategic cornerstone of their operations. As technology advances, this market continues to evolve, optimizing costs, enhancing call quality, and helping companies stay competitive.

In this blog, we’ll explore the trends, benefits, and solutions that make wholesale voice termination an essential component of modern communication strategies.

 

 

1.Trends in Wholesale Voice Termination

Wholesale voice termination is an integral part of the telecommunications industry, enabling businesses to handle high volumes of voice traffic at reduced costs. The rise of VoIP (Voice over Internet Protocol) has reshaped how voice communication is managed, making it easier and more affordable to terminate calls globally.

One of the key trends shaping the industry is the shift towards cloud-based voice solutions. Cloud computing allows businesses to access scalable and flexible services tailored to their specific needs. Additionally, there’s an increasing emphasis on quality of service (QoS) and advanced routing techniques, ensuring that voice calls are not only cost-effective but also crystal-clear.

Market Insights: The global voice termination market is projected to reach $30 billion by 2026. (Global Market Insights)

Despite the growth of alternative communication technologies, the demand for high-quality voice communication persists, particularly in regions where internet infrastructure is limited or unreliable.

While VoIP and messaging apps are growing, the need for reliable, high-quality voice communication persists. Additionally, operators rely on voice termination to monetize their services and optimize network usage.

Market Insights: The Asia-Pacific region will present significant opportunities for market growth between 2024 and 2036 due to its population, which generates the most call traffic. (Research Nester)

2. What is Wholesale Voice Termination?

Wholesale voice termination refers to the process of routing voice calls from one carrier or provider to another until the call reaches its final destination. This service is essential for telecommunications companies, VoIP providers, and other businesses that handle large volumes of voice traffic across multiple networks and countries.

In essence, wholesale voice termination acts as a bridge between different networks. By partnering with various carriers worldwide, providers offer competitive rates and efficient call termination. 

3. What are the types of Voice Termination?

Understanding the various types of voice termination is crucial for businesses and carriers looking to optimize their communication strategies. Voice termination routes play a key role in ensuring that voice traffic, whether local or international, is delivered efficiently, securely, and with high-quality. 

From traditional methods like TDM to modern protocols such as SIP and GSM, each type serves a specific purpose depending on network infrastructure and business needs. In this section, we'll explore the primary types of voice termination and how they impact global communication.

1. Wholesale Voice Termination

Wholesale voice termination is the backbone of global telecommunications. It involves large-scale routing of voice calls between different carriers to ensure international connectivity. Key players in this space are telecom operators, VoIP providers, and carriers who buy termination services in bulk to deliver cost-effective international calling. Wholesale termination is critical for connecting calls between different countries and regions, making it a cornerstone for global communication.

Why it’s key: Cost efficiency through bulk purchasing, global coverage, and access to multiple carrier networks.
Example providers: Tier 1 and Tier 2 telecom carriers, including companies like Tata Communications, iBasis, and BICS.

2. VoIP Termination

With the shift to internet-based communication, VoIP termination has become essential. It routes calls over IP networks rather than traditional telephony infrastructure, allowing businesses and service providers to reduce costs and offer scalable solutions. SIP (Session Initiation Protocol) termination is a common form of VoIP termination, facilitating efficient call setup and management.

Why it’s key: Low cost, scalability, and integration with modern cloud communication platforms.
Example providers: VoIP-focused providers like Virtual-Call, Vonage, and Nextiva.

3. CLI (Caller Line Identification) Termination

CLI termination ensures that the caller’s number is displayed to the recipient, which is crucial for building trust and regulatory compliance in various markets. High-quality routes that guarantee CLI are essential for business-critical applications, such as customer service centers, financial institutions, and any environment where caller verification is important.

Why it’s key: Regulatory requirements, improved trust in communications, essential for business communications.

4. Non-CLI Termination

Non-CLI termination doesn’t display the caller’s number to the recipient, making it less reliable in terms of trust but much cheaper. This type of termination is widely used for bulk messaging, telemarketing, or low-cost call centers where caller identity is not essential.

Why it’s key: Low cost, useful for high-volume call campaigns or non-sensitive communication.
Example providers: Often offered by lower-tier VoIP or international carriers focusing on cost-efficient routes.

5. International Voice Termination

International termination connects voice traffic between countries. It requires extensive network interconnections, and its quality varies depending on the chosen routes. International termination tends to be pricier than domestic, given the complexity of cross-border agreements and routing.

Why it’s key: Crucial for global businesses and telecom operators needing reliable international connectivity.
Example providers: Global telecoms like Virtual-Call, or regional interconnect hubs like PCCW Global.

6. Domestic Voice Termination

Domestic termination is focused on routing calls within a specific country. Since the distances and the routing are simpler, domestic termination is generally cheaper and easier to manage. This type of termination is critical for telecom providers that offer local services and is essential for everyday business communications within national borders.

Why it’s key: Cost-effective for local networks, used for regional and national telecom services.

Visual breakdown of the wholesale voice termination process from call initiation to final destination

 

4. How does Wholesale Voice Termination work?

The process of wholesale voice termination involves several key steps. 

1. A call initiates from a user's device and is transmitted over the originating carrier's network. 

2. The originating carrier then routes the call to a wholesale voice termination provider. This provider, leveraging its extensive network of interconnections, determines the most efficient and cost-effective route to terminate the call.

3. Using sophisticated routing algorithms and real-time analytics, the provider ensures that the call is directed through the best possible path, considering factors such as cost, quality, and reliability. 

4. The call is then handed off to the terminating carrier, which completes the call to the final recipient. 

Throughout this process, the wholesale voice termination provider manages and monitors the call to maintain high-quality service and address any potential issues that may arise.

5. Exploring Wholesale SIP Termination Solutions

Session Initiation Protocol (SIP) is the go-to technology for establishing, maintaining, and terminating real-time communication sessions. Wholesale SIP termination leverages this protocol to route voice calls over IP networks. Businesses benefit from reduced infrastructure costs, streamlined communication, and improved call quality.

Wholesale SIP termination also allows for greater scalability. Whether you need to handle a sudden increase in call volume or expand to new markets, SIP termination offers the flexibility you require.

6. The benefits of Wholesale Voice Termination

Wholesale voice termination offers a range of benefits for both businesses and telecommunications providers:

1. Cost savings: Partnering with wholesale voice termination providers allows businesses to access competitive rates for international calls, reducing overall communication costs.

2. Improved call quality: Providers use advanced routing technologies to ensure clear and reliable voice connections, boosting customer satisfaction.

3. Scalability: Wholesale services offer flexibility, allowing businesses to scale their communication needs as they grow.

Infographic illustrating the key benefits of wholesale voice termination, including cost savings, call quality, scalability, and fraud protection.

 

7. Voice Termination solutions for Retail Operators, Companies, and Call Centers

Wholesale voice termination isn’t just for large telecom providers. It also benefits retail operators, companies, and call centers that rely on efficient, secure communication. Below, we explore the best options for different sectors:

1. Retail Operators (MNO, MVNO and PTT)

Mobile network operators (MNO), mobile virtual network operators (MVNO) and push-to-talk (PTT) operators face unique challenges when dealing with large-scale voice traffic. For these companies, it is essential to obtain coverage from A to Z, guaranteeing:

Competitive prices for voice traffic: This helps maintain operational efficiency and competitiveness in the market.

Protection against voice fraud: Fraud continues to be a major concern in the telecommunications sector. Effective solutions prevent financial losses.

Elimination of gray routes: Security and call quality are key to ensuring customer trust.

Revenue maximization: With a robust infrastructure, you can avoid losses and increase profitability.

2. Companies and Large Retailers

Improve communication with customers: Voice assistance simplifies support and creates a more fluid and agile customer experience.

Facilitate voice support: Simplifying the service process ensures that the support team can meet demands more quickly and efficiently.

Obtain additional numbering: This facilitates business growth and the organization of different areas, ensuring that communication flows in an orderly fashion.

Protecting the company against fraud: Call security is vital for protecting both company data and customers.

3. Call Centers and Customer Support 

Call centers play a critical role in customer relations, and choosing an effective voice solution can be the difference in the quality of service provided. For these centers, the main solutions include:

Comprehensive coverage: A solid voice network allows centers to serve customers in several regions, offering a more complete service.

Call routing: Automated call routing processes ensure that the customer always speaks to the correct sector or person, reducing waiting times and increasing satisfaction.

Voice solutions that encompass coverage, security, and efficiency are indispensable for retail operators, companies, and call centers that want to stand out in the market and offer excellent customer service.

Conclusion

Wholesale voice termination remains a vital component of the global telecommunications ecosystem. Despite advancements in technology, the demand for high-quality, cost-effective voice communication continues to grow, particularly in regions with limited internet infrastructure.

Whether you're a telecommunications provider, retail operator, or global business, understanding and utilizing wholesale voice termination can significantly improve your communication strategy. By leveraging scalable and flexible solutions, you can stay competitive, meet customer demands, and optimize operational efficiency.

Considering this expanding demand for reliable and inexpensive voice termination services for telephony, Virtual-Call is available as an international wholesale voice termination service provider.

 

Unlock reliable & cost-effective VoIP Termination with Virtual-Call

As a carrier or VoIP provider, you understand the importance of seamless, high-quality voice termination to keep your telecommunications business running smoothly. At Virtual-Call, we specialize in delivering affordable, top-tier wholesale VoIP termination services designed to meet the unique needs of your business.

Here’s what you can expect from our suite of services:

Premium Routes: A-Z Premium CLI Direct.
EEA Routes: Specialized European routes for retail (conversational) traffic.
Domestic CLI Routes: High-quality domestic routes with local ANI, ideal for authentic caller identification and reliable local call termination.

Featured Routes:
Switzerland Route: Local call termination with Swiss CLI.
India Route: Local call termination with Indian CLI.

Experience unmatched reliability and superior voice quality. Contact us today to explore how our solutions can optimize your VoIP operations and boost your business performance!

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