DALLAS--Independent telcos getting into the voice-over-IP environment need to fundamentally change their thought process away, according to John Lazar, CEO of MetaSwitch.

Speaking at the opening of the VoIPossibilities show here this morning, Lazar said carriers serving the largely rural markets in the U.S. can't escape the march of VoIP and must begin to address the market with a new way of viewing their business.

"If you just look at residential subscribers, we're projected to have 25 million using voice over IP in the next five years," he said.

Among the most important transitions is getting incumbent carriers to think like competitors and view their subscriber base not as group of access lines but as users of services.

"The concept of a line is something which is reasonably static," he said. "It's historical looking and very much service-provider oriented. If you start to thinking about services you're focusing on the people you need to focus on. Your customers can get a line from anywhere. As an incumbent, you've got to think about competing for your subscribers.

What we've all got to do as an industry is focus on a compelling service."

At the same time, carriers need to look at their territory in a much broader way, Lazar said. Encouraging carriers to move outside of their incumbent turf, he added that one of the more compelling services he's seen is incumbent carriers providing VoIP to small business users in geographically different markets.

"One of the greatest promises is hosted voice service for small business," he said.

"Out of region, you're also free to cherry pick the best and most profitable customers."