Phone service in China expands with Internet

Traditionally, countries who built out their infrastructure to accommodate phone service relied on switches housed in exchange buildings. Now, voice over Internet protocol, or VOIP, is the new technology of choice for long-distance phone calls in China.

VOIP is also cheaper than traditional telephone infrastructures, and it enables voice traffic and other data to travel on the same infrastructure. That's particularly good news for the nearly 300 million people with phone service in China, over half of whom acquired phone service in the past four years.

By comparison, hardly any calls in the U.S. ran over VOIP three years ago, however it's estimated that 10 - 12 percent do now.

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