Blog Summary:

This blog provides comprehensive details of the importance of the Class 4 softswitch in high-volume carrier and wholesale VoIP services. It also covers types, advantages, and future impact of Class 4 softswitch solutions on the wholesale VoIP business.

Are you struggling to manage multiple international calls per minute on a regular basis due to rapid growth in traffic? Even a small routing delay or system limitation can result in poor call quality, dropped calls, and lost revenue.

Handling such large call volumes efficiently is a significant challenge for VoIP service providers. The Class 4 Softswitch Solution helps you eliminate this. It’s well-suited for large-scale call routing and helps VoIP providers manage high traffic volumes, control costs, minimize latency, and deliver calls reliably across different carriers.

Due to these benefits, the demand for and market size of this solution surged. Cognitive Market Research predicts that the global softswitch market will grow at a CAGR of 9.5% from 2025 to 2033.

In this post, we will discuss more about the Class 4 softswitch to help you understand why it’s necessary for wholesale VoIP networks.

What is a Class 4 Softswitch?

A class 4 softswitch plays a crucial role in routing the vast amount of traffic between carriers in VoIP networks. It’s used to manage various functions, such as least-cost routing, call signaling, and interoperability among different telecom networks. It’s completely different from the PSTN transit switch, which relies on circuit-switched infrastructure.

Meanwhile, Class 4 softswitches primarily operate on IP-based, software-oriented infrastructure. As a result, it’s highly scalable and cost-efficient. It offers real-time control and seamless integration with advanced VoIP and IP ecosystems.

Importance of Class 4 Softswitching for Wholesale and Carrier VoIP Services

Class 4 softswitching is essential for wholesale and carrier VoIP services, supporting multiple interconnections and handling high call volumes. Let’s discuss its importance in more detail:

Enabling Large-scale Voice Traffic Management

Wholesale VoIP service providers often have to manage call minutes across different networks. A Class 4 softswitch helps them manage it more effectively by providing centralized control over call routing, traffic distribution, and signaling.

Whether it’s load balancing, dynamic routing, or real-time monitoring, these features are essential for managing peak traffic efficiently without service disruption.

Supporting Carrier-to-Carrier Voice Traffic

Smooth interoperability among different protocols, networks, and codecs is essential for carrier-to-carrier communication. The most significant advantage of the Class 4 softswitch is its support for industry standards such as H.323 and SIP. It ensures a smooth connection between international and domestic carriers while maintaining operational control and routing transparency.

Handling High-volume Call Routing and Termination

High call concurrency is a major challenge for wholesale VoIP. They can use Class 4 softswitch solutions for various purposes, such as quick call setup, reliable call termination, and intelligent least-cost routing across multiple vendors. It not only optimizes routing decisions but also ensures carriers boost margins and minimize operational costs.

Ensuring Call Quality Across Long-Distance and International Routes

To improve carrier credibility, it’s essential to maintain call quality over both international and long-distance routes. A Class 4 softswitch leverages QoS monitoring, route optimization, and failover mechanisms, among other features, to reduce packet loss, latency, and jitter. It provides consistent voice quality across global VoIP networks.

Major Types of Services Supported by a Class 4 Softswitch

A Class 4 softswitch supports a wide range of carrier-grade voice services, which are essential for wholesale VoIP providers. The following are some of the top services:

Wholesale Voice Termination

With a Class 4 softswitch, VoIP wholesalers can terminate large volumes of inbound and outbound calls across domestic and international networks. The softswitch selects termination partners based on several factors, such as quality, cost, and availability. It also ensures a highly efficient traffic delivery while offering service reliability and profitability.

SIP Trunking Services

Class 4 softswitch delivers SIP trunking services to carriers and enterprise VoIP service providers. It supports code negotiation and SIP signaling, enabling smooth voice connectivity between telecom networks and IP-PBX systems. This simplifies the connectivity  , reduces reliance on traditional PSTN lines, and allows providers to scale voice capacity as demand increases.

Least Cost Routing (LCR)

A class 4 softswitch determines a range of routing paths according to quality metrics, real-time pricing, and vendor performance. Least-cost routing helps VoIP service providers optimize margins without compromising reliability or call quality by automatically selecting the most cost-effective route for each call.

International and Long-distance Call Routing

Managing international and long-distance traffic requires navigating numerous regulatory requirements, carriers, and varying network conditions. Class 4 softswitches can handle this complication by implementing time-based rules, advanced routing policies, and failover mechanisms. It ensures any uninterrupted call delivery across global routes, even during carrier outages or network congestion.

Number Translation and Routing Management

Number translation and routing management enable carriers to normalize, modify, and redirect dialed numbers even before call termination. A Class 4 softswitch offers flexible number manipulation rules that ensure compatibility with carrier requirements and numbering formats. It boosts routing accuracy, minimizes call failures, and ensures a hassle-free interoperability across different VoIP networks.

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Key Advantages of Using a Class 4 Softswitch

A Class 4 softswitch offers numerous commercial and operational advantages for carriers and wholesale VoIP providers. Let’s find out some of the top advantages in-depth:

High-capacity Call Handling

As mentioned above, the softswitch solution can handle a high call volume with lower latency. It offers complete support for millions of minutes and concurrent calls regularly.

This solution offers session management, efficient call setup, and processing, ensuring highly stable performance even during peak hours. That’s why the Class 4 softswitch solution is perfect for transit networks and wholesale VoIP.

Advanced Routing, Rating, and Policy Control

Class 4 softswitches offer sophisticated routing intelligence that goes beyond basic call forwarding. It comes with features such as quality-based routing, least-cost routing, policy-driven call handling, time-of-day routing, and more.

These features enable carriers to control dynamically how traffic flows through their networks. An integrated rating engine enables real-time call pricing based on partner agreements, destination, usage policies, and more. These ensure accurate billing and also routing decisions.

Cost Optimization for Wholesale VoIP Providers

Wholesale VoIP providers use this softswitch solution to reduce operational expenses by automating routing, manual intervention, and decision-making, and by offering competitive termination rates.

It boasts a software-based architecture that minimizes its reliance on expensive hardware, reducing maintenance costs. It also helps providers scale capacity even without capital investments.

Carrier-grade Reliability and Redundancy

Reliability matters a lot, especially in carrier networks. A Class 4 softswitch contributes significantly to this by including features such as load balancing, redundancy, and automatic failover. It ensures that traffic is rerouted quickly in the event of hardware or network failure. The rerouted traffic ensures less downtime and consistency in service continuity for both customers and partners.

Seamless Integration With Billing, Mediation, and Monitoring Systems

Class 4 softswitch is easy to integrate with the existing BSS and OSS ecosystem. It works hassle-free with mediation systems, billing platforms, real-time monitoring solutions, fraud detection tools, and more.

This integration offers complete visibility into quality metrics, revenue, and call performance. This allows carriers to make the decision based on the data while maintaining operational control and transparency.

How Class 4 Softswitch Solutions are Shaping the Future of Wholesale VoIP Business?

The class 4 softswitch solution helps wholesale VoIP providers operate smoothly as voice traffic becomes data-driven and IP-centric. It helps service providers operate intelligently, agilely, and securely. Let’s understand more details about how this solution is shaping the future of the VoIP service provider:

Cloud-based and Distributed Class 4 Deployments

By using cloud-native Class 4 software, wholesale VoIP companies can scale their capabilities dynamically. They can also implement new routes quickly, thereby minimizing their overall infrastructure costs. Distributed deployments enhance resilience through processing traffic closer to endpoints, reduce latency, and enhance call quality across multiple regions.

AI-driven Traffic Optimization and Fraud Detection

AI-based routing engines have enormous potential to gather vendor performance data, traffic patterns, and quality metrics in real time to optimize call paths. On the other hand, machine learning models are beneficial for detecting abnormal call behavior, enabling rapid identification of fraud attempts, including spoofing or traffic pumping.

Real-time Analytics for Route Quality and Performance

A cutting-edge class 4 softswitch comes with a powerful analytics dashboard that provides real-time visibility into call success rates, route quality, and latency metrics. With a data-driven approach, wholesale VoIP providers can adjust their routing strategies, maintain consistent service levels, and replace underperforming vendors. All of these are possible even without any manual monitoring.

Enhanced Security Against Toll Fraud and Traffic Manipulation

From a security standpoint, it’s a top priority for wholesale VoIP networks. A Class 4 softswitch solution includes advanced security mechanisms such as anomaly detection, call rate limiting, and access control policies. These features are crucial for securing carriers against unauthorized traffic injection, toll fraud, revenue leakage, and more. It ensures the safety, profitability, and network integrity.

Readiness for 5G, VoLTE, and Next-gen Carrier Networks

It’s well known that telecom networks are rapidly moving toward emerging technologies such as VoLTE and 5 G. Class 4 softswitch supports this by offering seamless interoperability with advanced carrier technologies. Whether it’s high-definition voice, IP multimedia subsystem (IMS), or low-latency signaling, it supports everything to make wholesale VoIP providers future-ready.

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How Moon Technolabs Helps Build and Scale Class 4 Softswitch Solutions?

We assist VoIP wholesalers and telecom providers in creating, deploying, and scaling powerful Class 4 softswitch solutions. Our team creates solutions tailored to match the increasing number of voice traffic. With extensive expertise in building carrier-grade VoIP architectures, we provide secure, scalable, and high-performance softswitch platforms.

Our expertise includes billing integration and cloud-based deployments. We craft Class 4 softswitch solutions that focus on global interoperability, reliability, and future readiness to ensure smooth operation.

Conclusion

By now, it’s clear how important a Class 4 softswitch is for the entire VoIP network and what its most promising advantages are, right? It helps you stay competitive even in the fast-growing telecom landscape and operate your business without any hassle.

It’s the right time to create and implement an advanced softswitch for your business.  Meanwhile, it’s not possible without professional assistance. Partner with a VoIP software development company that has adequate experience in this niche to get the right solution for your business.

FAQs

01

What is the difference between a Class 4 and Class 5 softswitch?

Well, the major difference between a class 4 and a class 5 softswitch lies in their capabilities and intended use. A Class 4 softswitch can handle long-distance call routing across multiple networks. On the other hand, a class 5 softswitch can manage end-user services such as billing, call features, local call control, and more.

02

How many concurrent calls can a Class 4 softswitch handle?

A class 4 softswitch can handle 500 to 30,000 concurrent calls. It depends on factors like software architecture, hardware capacity, codec usage, carrier-grade systems, and network design.

03

What is the cost of implementing a Class 4 softswitch solution?

Well, the cost of implementing a Class 4 softswitch solution ranges from $30,000 to $150,000. It also depends on many factors such as call capacity, licensing, hardware setup, redundancy needs, customization, and more.

04

Is a Class 4 softswitch suitable for small and mid-size VoIP carriers?

Yes, a class 4 softswitch is appropriate for both small and mid-sized VoIP carriers as it offers call routing, cost-effective interoperability, scalable traffic handling, and more.

05

How does a class 4 softswitch ensure call quality on international routes?

A class 4 softswitch improves call quality on international routes through real-time latency monitoring, intelligent call routing, packet loss management, jitter control, and dynamic carrier selection, ensuring clear, stable voice transmission.
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About Author

Jayanti Katariya is the CEO of Moon Technolabs, a fast-growing IT solutions provider, with 18+ years of experience in the industry. Passionate about developing creative apps from a young age, he pursued an engineering degree to further this interest. Under his leadership, Moon Technolabs has helped numerous brands establish their online presence and he has also launched an invoicing software that assists businesses to streamline their financial operations.

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