High and Low Cost of Internet Telephony

High and Low Cost of Internet Telephony

High and Low Cost of Internet Telephony

The success of your business depends on many diverse IP phone factors that are created and driven by your industry and the specific strategic decisions and tactics you leverage for continued growth. One constant in business success, in any industry, is IP phone communication. To build and grow a thriving business, you need to have strong IP phone communication skills at work on your team. You must also ensure that your IP phone communication systems themselves are reliable, effective, and well-suited to your company goals, budget, and important initiatives.

Your IP phone system is a vital component of effective business communications, and there are an array of options available to you no matter the size of your business. In the past twenty years, IP phone telecommunication systems have evolved beyond the analog, land-line-based systems and networks of the past. Today, it is possible to harness the power of the internet to stay connected and communicate with your teams, partners, customers, and clients through voice, media, and data on current IP phone systems.

Difference between VoIP and Internet Telephony

VoIP is a subset of Internet Telephony that caters to voice traffic only.  Voice over IP (VoIP) phone communication systems are versatile and can be easily customized to help enrich your interactions beyond simple voice communication.

  • How do VoIP phone services work?

Voice over IP phone works by converting & compressing the voice packets into a digital signal and transmitting it over the internet.

  • How IP phone services can save costs?

VoIP solutions can save you up to 70% of your monthly telephone costs. VoIP software eliminates the need of buying and maintaining telephonic hardware, and the in-house IT team's expense, cutting the costs of long-distance IP phone calls with unlimited US/Canada calling, and removing any installation costs. 

As you explore internet telephony options for your business, you’ll need to consider your IP phone communication needs, and current limitations, and also think through the pricing that will make the most sense for your company. There are IP phone options to meet your needs, whether you need a high-cost IP phone system for a large company or a low-cost internet phone solution for a small, but growing company.

VoIP Service requirements 

In cloud-based VoIP software, all you need is a reliable internet connection. VoIP vendors are not responsible for providing the internet connection, hence you should contact your ISP provider for an up-gradation of your internet connection to enjoy uninterrupted VoIP services. It is also recommended to use the ethernet connection rather than a Wifi network to use the VoIP software. 

High-Cost Internet Telephony

Implementing a standard telephone system can be quite costly due to the amount of hardware required to set up the network and the needed IT staff to manage and maintain it. While VoIP costs tend to be less than standard phone lines, there are high-cost IP phone options that are best suited to the IP phone communication needs of large companies. These options include on-premises, VoIP, Private Branch Exchange (PBX), and hosted IP phone systems.

On-Premises IP Phone System

The on-premises IP phone system is the internet equivalent to the standard phone line system that many businesses have relied upon in the past. With this internet phone solution, you will need to purchase all the needed hardware and also pay IT team members to maintain the equipment and keep your communications flowing smoothly.

While IP phones can be a costly investment, it can also help your company save money in the long term by eliminating monthly fees and other costs associated with VoIP phone systems that are less costly to implement. Additionally, on-premises IP phone systems increase the security of your valuable and sensitive information and data shared through the internet. If your company deals with large amounts of sensitive data, it is worth the added initial costs to set up an IP phone system that you can control and monitor to protect the integrity of your data and your company.

Hosted IP Phone System

A hosted IP phone system can easily cost more each month than other VoIP-PBX integration. However, when you use a hosted IP phone system, you do not have to buy, build, or maintain any hardware. You can utilize the phones at your office to initiate calls, conferencing, or data sharing. The third-party host then accepts and completes your requested function using their own PBX infrastructure.

Most hosted VoIP providers charge monthly fees based on usage, special services, and features that can be costly. When considering using a hosted IP phone solution, it is important to factor in your time and the cost savings of using the vendor’s hardware and service. Often, this solution ends up saving time and money for companies who do not have the hardware or IT salaries to manage their own VoIP system on site.

Low-Cost Internet Telephony

IP phone services make sense for businesses of every size, and there are reliable, portable options available at a very affordable cost.

  • Cloud-based or SaaS PBX

Cloud-based or SaaS PBX phone systems are more widely used by growing businesses than any other IP phone option, largely due to the simplicity and portability this IP phone system creates for business users. This IP phone system operates in a cloud environment, so there are no hefty upfront implementation costs for hardware, infrastructure, or other equipment. Additionally, cloud-based PBX systems function well on mobile devices such as laptops, smartphones, and tablets so people can stay connected to their IP phone system without being tethered to their office with a phone cord.

Your team members can make calls, share media and data, conduct online meetings, and much more through softphone applications that run seamlessly on their mobile technology. The cloud-based PBX phone system is ideal for keeping companies that have virtual employees or have key team members on the road connected and effective.

To learn more about the available high-cost and low-cost VoIP phone system options, features, and business considerations, download our free Business Phone System Buyer’s Guide or choose your best IP phone provider from our extensive phone system solutions listing.

If you are looking for the best VoIP provider for your business you can check the Wheelhouse’s voice over IP comparison to identify the best VoIP provider for your business needs. You can also check a comprehensive IP phone buyers guide to help decide between the top VoIP providers.

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