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Transform then Transcend! From SIP Trunks to Everything-as-a-Service

Wednesday, August 16, 2017

by Ashish Jain, Director of Solutions Marketing, Ribbon

The cost and performance advantages of SIP Trunking, which moves conventional PRI voice circuits to SIP Trunks, are well known and broadly documented. And now there is a new component to these many benefits – SIP Trunking-as-a-Service. This new components adds enhanced enterprise SIP Trunk security, PBX federation and advanced session management capabilities with mobility, Unified Communications (UC) and WebRTC overlay functionality.

While we are excited to bring these innovative SIP Trunking “as a service” offerings to our customers, the end game is not just to simplify deployments of the SIP Trunks per se (lowering costs) but also to bring advanced real-time communications services that are easy for our customers to sell to their customers, with their own branding, and with little to no upfront capital expense.


The SIP Trunk market has been growing steadily over the last few years and GENBAND has been a market leader since the category’s inception. Today, the market is poised for continued, even explosive growth. In fact, one leading analyst firm has predicted the worldwide SIP Trunking market will grow to US $8.5B in 2019, up from US $5.1B in 2015.

Hot on the heels of SIP Trunks replacing the traditional IP connectivity and business voice services revenues are web-based cloud communications services that will completely transform desktop phone “systems” as millennials and others in the workforce increasingly turn to mobile and contextual communications capabilities.

So how have Telcos done in this emerging market?

Fairly decent up until now I must say. Will they be able to sustain it is a big question though?

The market is at different stages of growth in different parts of the world. In mature markets such as North America, the value of traditional the SIP Trunk is getting commoditized and the ARPU is declining every year. Communications Service Providers (CSPs) have had a hard time differentiating SIP Trunks, given vendor incompatibilities, deployment complexities, and lack of service agility, which has led to delays, frustration, disappointing and deferred revenues, and hidden operational expenditures.

On the other hand, the competitors have become smarter. And by competitors I don’t mean other telcos. CSPs new competition is PBX-vendors who have created their own cloud offerings as well as new Over the Top (OTT) market entrants who are attracting next-generation enterprises with their differentiated SIP Trunks services over public internet, simple self-service SIP Trunk provisioning portals, pay as you go business models, global SIP Trunks, and cloud-enabled innovation. 

The CSPs know this, and those who want to effectivity compete, with as little upfront expense and risk as possible, are tapping into cloud-based alternatives, such as Kandy, to accelerate their time-to-market and service innovation. Kandy, a leading Communications Platform as a Service (CPaaS) solution, recently launched its Global SIP Trunk-as-a-Service and the response has been nothing short of remarkable.

It’s Time to Think Outside the “Dial Tone” Box

Enterprises are getting smarter everyday about how they can operate with more agility using better, software-based communications tools. Having already migrated most of their computing to the cloud, IT teams are now poised and ready to move their communications to the cloud as well. Having said that, more than 80 percent of businesses still own and operate on-premise telecom infrastructure and that is not going away anytime soon. CSPs have to find new ways to add value by providing hybrid cloud solutions that extends the life of their customer’s local infrastructure.

Over-the-Top SIP Trunks and overlay services enables CSPs to do just that.

Our highly secure, scalable, and resilient SIP Trunk infrastructure – hosted and managed in the cloud – makes it easy for CSPs to:

  1. Significantly reduce operational challenges in rolling out SIP PBX Trunk services
  2. Expand global reachability with faster time-to-market
  3. On-board customers faster with instant provisioning via simple self-service portals
  4. Grow revenues and margins with new hosted PBX overlay services
  5. Differentiate with innovative APIs and Wrappers, pre-developed, ready-to-deploy reference applications, to embed SIP Trunks in business applications

It is also a conduit for CSPs’ global PSTN networks, providing federation with multiple global carriers to offer fully regulated SIP Trunking services including DIDs, local and long distance, toll-free, emergency services, lawful intercept, and directory services to international branch offices of global enterprises.

The good news for CSPs is that they can avoid generating future “technical debt” by simply licensing SIP Trunking “as-a-service” – branding it as their own, and taking it to market with full go-to-market support from GENBAND. Once those SIP Trunks are in, sales teams can sell white label Unified Communications (UC), visual voice mail, collaboration services, mobile RTC, WebRTC applications, and much more with a complete range of Kandy-based, “carrier-grade,” scalable offerings.



Everything-as-a-Service – Ready Now!

Over-the-Top SIP Trunking is a great way for carriers to embed their value and upsell other cloud applications. The opportunities are endless to bundle SD-WAN-as-a-Service, WebRTC applications as-a-Service, Mobility-as-a-Service, UC-as-a-Service, Managed SBC-as-a-Service, Contact Center-as-a-Service, or just about anything and everything that pertains to enterprise communications.

The mantra for Everything-as-a-Service (EaaS) is: SIPify, Webify, and Cloudify – and CSPs are seeing the amazing potential and jumping in to transform their customers’ networking capabilities while laying the groundwork for the digital transformation enhanced by RTC innovations – like Kandy.

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