Packet switching is appealing for carrying real-time traffic because it can
benefit from (possibly variable bit rate) compression schemes and statisti
cal multiplexing to more efficiently exploit network resources. This work e
xplores the efficiency of IP telephony in terms of the volume of voice traf
fic carried with deterministically guaranteed quality related to the amount
of network resources used. An IP network carrying compressed voice is comp
ared to circuit switching carrying PCM (64 kb/s) encoded voice, and some de
sign choices affecting IP telephony efficiency are discussed.