Voice Over Internet Protocol (VOIP)

VOIP is a group of technologies for the delivery of voice communications and multimedia sessions over the internet. First deployed in 1981 by Brian C Wiles to allow video game players to talk over ethernet connections through his RASCAL software, it has truly gained prominence during the Covid lockdowns of 2020 and 2021

During the lockdowns of 2020 and 2021, most office work was conducted from home and in this space landlines were not appropriate as they were not optimised for meetings where there were more than 2 attendees/locations. VOIP was the perfect solution as it allowed for multiple people to be connected to a call at the same time and for the call to be recorded for later use.

The popularity of VOIP during these lockdowns can be reflected in the share price of companies offering office VOIP systems most notably Zoom Video Communications Inc. (ZM) which saw its share price explode by 1,500% in 2020 (559.09USD compared to an IPO of 36USD per share)

In the aftermath of the pandemic, many companies have decided to continue with remote working and have therefore continued to use VOIP to conduct meetings and calls. This has led to a continued increase in the popularity of VOIP and has led to the creation of new companies offering VOIP services. A trend that is likely to continue as the world continues to adapt to the new normal.