What is Business VoIP Services?

Voice over Internet Protocol (VoIP) is the delivery of internet telephone voice communications over IP networks. Other frequently used terms synonymous with VoIP are IP telephony, Internet telephony, IP PBX, broadband telephony, and broadband business phone. VoIP business service is rapidly replacing traditional PBX based phone systems as the primary method to obtain business phone solutions such as business phone lines, business voice mail, and business faxing.

A key factor driving this growth is the availability of a wide array of business phone features offered by internet VoIP providers. Office VoIP features are packaged together and offered at a reduced cost by business VoIP providers. Businesses of all types, including corporations, small businesses, virtual offices, and industrial companies are embracing business VoIP as their telephone system solution.

A SIP (Session Initiation Protocol) connection is a service offered by many IP telephony service providers that connects a company's PBX to the existing telecom infrastructure (PSTN) via the Internet using the SIP VoIP standard. Unlike traditional telephony that uses cable wire connecting a service provider to a business, a SIP trunk allows a company to replace these traditional fixed lines with connectivity using the Internet and a SIP trunking service provider.

A VOIP Phone System or IP PBX system consists of SIP phones , an IP PBX server and sometimes a VOIP Gateway. The IP PBX server is similar to a proxy server which requires SIP clients, having either soft phones or hardware based phones that register with the IP PBX server. During the call process, they connect with the IP. The IP PBX has a directory of all phones/users and their corresponding SIP address and thus is able to connect an internal call or route an external call via either a VOIP gateway or a VOIP service provider

Why are Business VoIP Services Important?

Traditional telephone systems use analog telephone equipment, which is completely independent of the Internet. In fact, as business communication technology progresses to become more and more Internet based, telephone service is becoming increasingly separate from the hard-wired phone systems.

While there have been some drawbacks to business VOIP systems, such as less than perfect sound quality, these issues have been greatly reduced with recent technological advances. Most business VoIP users surveyed report being satisfied with their VoIP PBX or hosted VoIP telephony service. Within a few short years, most businesses will operate on VoIP systems that make it easy for them to connect with anyone, anywhere in the world for a fraction of the cost of traditional phone service.

How to Select a Vendor for Business VoIP Services

Each year, more and more business VoIP providers come online offering various VoIP "extras." Therefore, it can be difficult for businesses to decide which VoIP service is right for them. A large enterprise will require different VoIP solutions than a small office firm. Therefore, individual businesses need to take some time to think about which IP telephony features they truly need before deciding on the right VoIP vendor. Here are a few things that businesses should consider when comparing VoIP vendors:

Reliability: One of the drawbacks of the early VoIP systems is their reputation for having unreliable sound quality and connectivity. For example, some early VoIP systems had a reputation for dropping calls. Consequently, many businesses may want to test out a VoIP vendor before deciding if a particular business internet telephone provider is right for their needs.

Telephone System Features: VoIP vendors offer a wide variety of very appealing virtual PBX features plus voice mail, faxing, and toll free lines that are packaged as part of a monthly subscription. Many VoIP vendors provide a service that will convert voice mail messages to emails or text messages that the receiver can read. Some VoIP and PBX software programs also allow customers to create "ghost" phone numbers or multiple phone lines for one account. Businesses need to determine which features are right for them before selecting the VoIP vendor.

Phone Service Price: The price for a VoIP service varies a great deal depending on the number of phones a business uses, the features desired, and the vendor itself. Therefore, businesses should determine their cost preferences before staring the process of reviewing a telephone IP vendor. Equipment: The hardware required for VoIP services also varies based on the vendor. For example, some VoIP systems can be used directly through a computer. Other VoIP services are available through an IP phone.

Hosted or Premise: Picking a VoIP service for your business requires an important decision; should you go with a hosted VoIP service or purchase a premise-based system? A premise based system requires a PBX, in addition to the phone equipment such as routers that are common to either premise or hosted VoIP. Some companies prefer premise-based equipment because if offers greater control and possible long-term cost savings. A hosted PBX or virtual PBX VoIP system comes with all the features of a standard premise based phone system including voice mail, call attendant, call forwarding and faxing. Hosted IP PBX systems are idea for virtual offices that need an easy customizable virtual phone solution. VoIP hosting systems are not just for start ups or small businesses. Large corporations and commercial enterprises are also selecting hosted VoIP systems for their business phone needs.

Additional Resources:

• An example of a computer-centric VoIP vendor:

http://www.skype.com/

• The Wikipedia definition of VoIP:

http://en.wikipedia.org/wiki/VoIP /

• An example of a very popular VoIP service:

http://www.vonage.com/

• An overview of VoIP from the Federal Communications Commission:

http://www.fcc.gov/voip/