Are inbound and outbound fax supported on cisco unity 7.0 without Right FAX server?
Absoutely, You can do use the Cisco VG for T.37 store and forward fax and Unity has IP Fax configuration capabilities
Is the same true with UNITY Connection ? If there is a need for other then T.37 fax how to achieve it given you have one dedicated ISR and what's the scalability factor? Not sure if the requirement is to have end to end encryption of the fax, is it possible to implement?
Unfortunately No, you have to go with the Cisco Fax server
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