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Latvia, RIGA
2015
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What will you learn?
3 | What is VoIP
T he telecommunications industry is the sample of the branches, that can bring a permanent
income. Telephony is a high-tech sector and its financial turnover continues to grow from
year to year. High-tech sectors have always been an oasis for entrepreneurs who prefer a
steady income. And GSM termination, as a part of it, became an excellent business
opportunity.
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371-67-333-777
What is GSM network?
F irst of all we need to find out what mobile communications, that we pay for, actually
are, and after that we will discuss GSM termination in details. Mobile operator
is a company that uses radio frequencies to provide telecommunication services.
Operators can create their own cellular network, develop conditions of their service,
and collect payments for their services.
GSM (abbreviation for the name of Groupe Spcial Mobile, later renamed as the Global System
for Mobile Communications) is the global standard for digital mobile communications, with
time division multiplexing (TDMA) and frequency (FDMA). It was developed by the European
Telecommunications Standards Institute (ETSI) in the late 1980s.
Lets look at the path of call from one mobile subscriber to another
Let's look at the scheme call one subscriber to another
OPERATOR B PBX
GSM ANTENNA
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371-67-333-777
What is VoIP
Internet (International network) is a network of new generation, which is specially
created to overcome the political restrictions. Its a free access to information,
independently of state borders. GSM network builds its own borders even inside
of one state. It constructs fences between its subscribers. How to break these
fences? You will find the answer below. When you are talking via Skype - it is
VoIP network: stable, easy and free.
V
oIP - (Eng. Voice over IP) voice over IP. IP-telephony means a set of communication protocols,
technologies and methods, providing traditional telephony dialing, redialing and bilateral
voice communication and video communication over the Internet or any other IP-based
networks. The signal is transmitted over a communication channel into digital form and is
usually converted before transmission (compressed) to remove the excess information and
reduce the load on the data network.
www.antrax.mobi
5 office@flamesgroup.com
371-67-333-777
How do mobile operators earn
money?
So what does your mobile operator sell? The service of access to its mobile
network (or GSM network). Why are you ready to pay for it? Because thats how
you will be able to establish connections at any time with your relatives, friends,
colleagues and business partners.
T ariff - a set of prices for the use of the various services of the mobile operator. Basically
there are two types of tariffs. The first one is a local tariff. It includes prices for mobile
communications within a certain area (for example, some province or state). The second type
is international. International tariff plan is also a set of prices for the use of mobile operator
(calls, SMS, internet access) but within different countries. It is generally higher than local tariffs.
By which means does a mobile operator collect payment from you? Usually you need to buy the
sim-card in the mobile communication shop and then from time to time to top up your balance.
The balance can be topped up in the terminals of automatic top up in cash or by bank card in
ATMs, through on-line services or by vouchers. A sum of money from your mobile account
will be charged off for different services of mobile operator, that you use according to your
tariff plan. A tariff plan determines the cost of the minute, SMS and some other services which
you are offered by your operator.
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6 office@flamesgroup.com
371-67-333-777
GSM operators also use VoIP for international calls. Lets take a look how does it work.
Vo Vo SUBSCR IB E R B
l IP ll IP R ec eives ca ll
al ca ca ca
Mc ll IP ll fr om U S A
GS Vo
SUBSCR IB E R A
C a lls fr om the G
SM
ca
ll
FINISH
U nited S ta tes by
mobile phone
to his fr iend in G H AN A mobile oper ator
G ha na . Ca rrier
After receiving VoIP traffic African large E nter ing fr om the sma ll tr a n s i t o p e r a t o r t o a
As it is displayed on the scheme, the mobile operators rely on intermediary carriers (also called
small transit operators). These small companies have neither their own subscribers,
nor expensive high quality technical base. They pass the international calls between each other
and finally send them to the mobile operator of reciving subscriber, basically doing all the work.
Each of them gets a very small portion of call cost, with bigger part of it paid to receiving
operator which transmits the international call inside its GSM network.
The super high price holds out due to the
Carrier a company that earns on
stereotype international call means expensive
providing mobile operators favorable
call. Why is it expensive? Because it is distant,
(cheaper) route for a call from one
and it is technically difficult.
country to another. It doesnt have its
own subscribers, towers and SIM cards.
Undoubtedly, in the times of the golden age
of the telegraph and at the dawn of interna-
The role of the carrier or transit operator
tional telephone communication,
in the telecommunications market is
intercontinental calls were rather expensive
comparable to the tour operator, where
and technically difficult indeed.
the role of tour operator performs a
transit operator, and a call is a client.
But now there is the Internet. And
mobile operators as we found out use GSM
As we know, the tour operator does not
signal only within the phone antenna - base
have its own hotels, airplanes and taxis.
station - mobile PBX. Then they carry GSM
Its task is to make secure and inexpensive
signal to VoIP and transmitt it via the Internet.
route for the customer travelling on
vacation.
www.antrax.mobi
7 office@flamesgroup.com
371-67-333-777
How can YOU make money in
telecommunications market?
How do the small operators execute the transit? With the help of the Internet network.
Large mobile operator gives him your call as digital data packages. Such a method of voice transfer
is called VoIP (Voice over IP) or Voice over Internet Protocol. Why it happens is pretty clear.
Internet connection is very cheap and reliable. Mobile operator buys Internet connection at cheap
rates, packs your call in data packages and throws them to a small transit operator - almost for
free. At the same time, remember how much you pay to mobile operator for an international call.
And in another country, another mobile operator receives your call, asking the small transit
operator a considerable price for permission to transfer your call to its GSM network. This is the
final destination of your call. Jargon variant of this process is landing, and in a professional
environment it is called termination (from the word terminate). Call termination is a
transfer of the call to the final point of the route - the subscriber. The call undergoes
a long way through several operators and it is terminated when reaches the callee subscriber.
Mobile operator asks a big amount of money for this service. He gets your call via Internet from
a small transit operator and transfers it to its GSM network at high prices.
The question is, if we can transfer a call from the Internet to the GSM network without the help
and margin of the mobile monopolist? There is an alternative technology of landing the call,
known as GSM termination. Basically, it is a transfer of the call from the Internet to the mobile
(GSM) network. It is done with GSM gateway device. GSM Gateway is a key that connects two
networks and transmits a signal from the Internet to the GSM network.
To be continued ...
www.antrax.mobi
8 office@flamesgroup.com
371-67-333-777
Glossary
Voice traffic - its phone calls, calls to certain destinations on the number of operators of
communication networks.
Mobile operator - the company that uses radio frequencies for the provision of telecommunication
services. Operators can create their own cellular network, develop their conditions of service, a
collect payments for their services.
Tariff - a set of prices to use the various services of the mobile operator. Basically there are two
types of tariffs. The first one is local tariffs. They include prices for mobile communications within
a single state. The second type is international. International tariff plan is also a set of prices for
the use of mobile operator (calls, SMS, internet access) but beyond a single state. It is generally
higher than local tariff.
Transit operator (carrier) - a company that earns on providing mobile operators favorable
(cheaper) route for a call from one country to another. It doesnt have its own subscribers, towers
and SIM cards. The role of the transit operator in the telecommunications market is comparable
to the tour operator, where the role of tour operator performs a transit operator, and a call is a
client. As we know, the tour operator does not have its own hotels, airplanes and taxis. Its task
is to make secure and inexpensive route for the customer traveling on vacation.
Termination of voice traffic - direct broadcasting of signal from the telephone IP-based
networks (Internet), cellular (GSM) to end users.
GSM - (from the name of the group Groupe Spcial Mobile, later renamed the Global System for
Mobile Communications) - the global standard for digital mobile communications, with time division
multiplexing (TDMA) and frequency (FDMA). Developed by the European Telecommunications
Standards Institute (ETSI) in the late 1980s.
IP - (IP, lit.. Internet Protocol) - routable network layer protocol stack TCP / IP. It became the
IP protocol that combined individual computer networks to the global Internet. Protocol is an
integral part of addressing the network. IP network segments are united into a single network,
ensuring the delivery of data packets between any nodes in the network through an arbitrary
number of intermediate nodes (routers).
VoIP - (Eng. Voice over IP) voice over IP. IP-telephony means a set of communication protocols,
technologies and methods, providing traditional telephony dialing, redial and bilateral voice
communication and video communication over the Internet or any other IP-based networks.
The signal is transmitted over a communication channel in digital form and are usually converted
before transmission (compressed) to remove the excess information and reduce the load on the
data network.
www.antrax.mobi
9 office@flamesgroup.com
371-67-333-777
WE HAVE PRODUCED A SERIES OF FREE EDUCATIONAL
MATERIALS TO INCREASE AWARNESS ABOUT COMMUNICATIONS
INDUSTRY, GLOBAL MONOPOLIES AND MODERN TECHNOLOGY.
Latvia, RIGA
2015