VoIP is an acronym for Voice over IP (Internet Protocol), or in more common terms, phone service over the Internet. Basically, it's a set of common Internet standards that allows a user's voice to be converted into small packs of digital data which can then be sent over computer networks. At the receiving end, VoIP computers reassemble the data packets back into a conventional audio signal that can be heard just as if on a regular telephone line. This is an online scheme that has been bubbling around the Internet community for the past few years. A major advantage of VoIP is that it avoids the tolls charged by ordinary telephone services.

There is VoIP billing software also that handles billing and other processes. This software can be used by all kinds of businesses. It helps in keeping track of customers, the bills to be sent to them and other such details through a protocol. This software has features like broadband phone, PC to phone, wholesale (termination), traffic exchange, international callback and prepaid calling cards that meet your VOIP business needs.

VoIP billing is tightly integrated with popular gateways, gatekeepers, proxies and soft switches from vendors like Quintum, Cisco, Sylantro, Veraz, Nextone, IPtel, Mera, and other compliant devices. Most telephony billing systems currently used today are based on non-IP standards, making them not equipped to handle or accurately bill for IP services; hence, VoIP billing rose to prominence. The reasons why most of the service providers and enterprises chose the VoIP billing software to expand their business is that it integrates the core functions like authentication, authorization, and accounting with vital functions that facilitate the effective management of all billing-related processes, like customers, services, finance, service distribution, reporting, traffic partners, and user rights.

VoIP billing software allows service providers and enterprises to expand their business by including cost-effective VoIP services in their offerings. It also enables the pre-paid or post-paid billing options for call usage and provides the ability to offer flexible call plans.