In a nutshell – to Save Money on long distance phone calls!
For many years, making long distance phone calls over POTS (plain old telephone service), also known as PSTN (private switched telephone network), has been very expensive – especially if you make a lot of them. There wasn’t a lot of competition in the market place. Thus, prices remained high.
Then, along came the Internet.
Just as email makes sending text messages virtually free, so too can VoIP be free over the Internet.
With the right software (or soft-phone), you can talk PC-to-PC, or VoIP box to VoIP box call to anywhere in the world that has highspeed Internet.
The reason we need a VoIP Service Provider (VSP), is because they assist us with connecting (or bridging) our Internet calls to the PSTN telephone network, and vise-versa. And they enable us to tie a real telephone number (also known as a DID, or Virtual Number) to our VoIP line. Now the differentiation between PSTN and Internet calls is almost seamless.
Using VoIP can be more complicated and complex than using POTS. But, if you have a sense of adventure, like technology, and are willing to deal with some potential technical hickups, then VoIP, in the end can save you substantial money on all your telephone calling needs.
Really, saving money is the only real reason to use VoIP.