What are the advantages and disadvantages between VoIP and TDMoIP?

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TDMoIP takes any type of traditional signaling, cuts it into pieces, slaps an IP header on it and forwards it out. It doesn't matter if the application is voice or data. VoIP on the other hand can be any number of different voice protocols that are used to setup and tear down VoIP calls. Most carriers that implement a XoIP protocol pick something under VoIP.

Most people are using VOIP to transport voice over an IP network but there is normally a capital cost (for equipment) to make this conversion. TDMoIP might be a little cheaper from an equipment viewpoint but I would only recommend using TDMoIP in cases where you have to transport services over legacy TDM equipment AND where the IP network will have superior performance.

Most people who are trying to transmit applications over an IP network will convert those services to IP first prior to transmission over the IP network. For example, rather than using TDMoIP to transport voice over an IP network, most people will either use VOIP or add an IP port to an existing PBX. If this is not possible (most likely because the cost for the VOIP or additional PBX equipment is too high) then you may want to consider TDMoIP. As indicated earlier, I would only recommend this where the IP network you are using has excellent performance - low jitter and zero packet loss.

Most of the major equipment vendors are focused on VOIP but RAD has done a lot of work in the area of TDMoIP. Here is one of their presentations: www.ietf.cnri.reston.va.us/proceedings/02jul/slides/pwe3-3/sld001.htm