Most company phone systems used to rely on desk phones and landlines, but that is no longer the case. VoIP phone systems are quickly replacing traditional phone systems in the business world. This is particularly evident in the new office environment, as the workforce becomes increasingly spread and remote activities develop across businesses.

However, a closer examination of how the two approaches compare will help you choose which is ideal for your company.

What is VoIP?

Voice over Internet Protocol (VoIP) is a type of telecommunications that enables you to make phone calls over the internet instead of a typical analog landline that relies on wires or optical fibers.

How do VoIP phones work?

Business VoIP phones, unlike analog phones, convert audio into data packets. These packets are sent over the internet to a VoIP provider, who then routes and directs calls to the Public Switched Telephone Network (PSTN).

VoIP calls can be made using the following devices:

  • VoIP phones
  • Standard phones with VoIP adapters
  • Softphones
  • Smartphones

What is a Landline?

Analog Phone System is a more accurate term for a landline-based phone system.

Landline telephones work by delivering signals via copper wire from one phone to another through a network of physical switch boxes, making them dependable and speedy; however, the upkeep can be difficult and time-consuming.

When deciding between a landline and a VoIP phone system, you should think about a few factors.

Which is Cost-effective?

Setting up a landline for your company phone could be expensive. Admittedly, you'll need ports, switches, phone lines, routers, adapters, and a network of wires to connect to the PSTN, among other things. You'll also have to pay a phone service provider a monthly cost. The costs of running a small or medium-sized business can quickly build up and become daunting.

VoIP is a more adaptable and cost-effective alternative. Many VoIP providers allow enterprises to use their own devices because any Internet-enabled device, including smartphones, tablets, laptops, desktop computers, and even desk phones, may make cloud-based calls. All you will need is one of these gadgets and possibly a headphone.

You may get started with VoIP phone systems without any specific equipment or hardware costs. While most VoIP companies charge a monthly fee, various price options are available, depending on your demands, and long-distance calling is usually less expensive.

Which is Easier to Use?

Landlines require a significant amount of initial labor, equipment, and costs. Aside from the many pieces of equipment required, laying out a network of cables to link to the PSTN will take a long time.

You can have your business phones fully operational in minutes with a VoIP service. Once you've set up your account (and have internet access), you can log in to gain access to a single, centralized area where you can:

  • Add new users to your account.
  • Assign phone numbers to users.
  • Configure user permissions.
  • Link your contacts with Google Workspace, Microsoft 365 and other apps.

It's that simple. You may also shift between devices with ease, and your client information is synced instantly. In comparison to analog phone systems, VoIP phone systems are incredibly quick, allowing calls to be linked in milliseconds while ensuring high quality. Compare that to the time, effort, and money required to set up a landline system.

Which is Easier to Maintain?

Upgrades, scaling, and maintaining VoIP phone systems are quite simple. Landlines, like most analog systems, can be complex, time-consuming, and costly to update and expand, depending on when they were installed.

For small and medium companies, relying on VoIP makes a lot more sense. Fast-growing businesses don't have the time or resources to upgrade to a digital phone system. You can rapidly add new participants and get them up to speed with VoIP.

Which is More Reliable?

Traditional landline telephones are usually quite dependable and can continue to function in the event of a power outage. VoIP phone systems are also incredibly reliable, with the majority of companies touting a 99 percent uptime guarantee.

As it’s entirely reliant on the internet, if there’s a power failure and your internet shuts down, so too will your VoIP system. So, one of the most important things to consider when moving to a VoIP service provider is that you have a robust and dependable internet connection from a reputable internet service provider with an adequate bandwidth.

Which Provides Better Scalability?

Conventional landline telephone systems necessitate physical wiring. As a result, scaling your landline phone system can be challenging and costly. It's tricky for a system like this to extend and grow in tandem with your company. VoIP provides companies with unrivaled scalability, allowing them to focus on what matters most: developing their business.

When you use VoIP, you may quickly scale up or down your business phone system as necessary. Whether more individuals join your team or you want to grow your system to different locations, it's simple to add new phone numbers.

VoIP vs. landline: The Bottom Line

VoIP phone systems are low-cost, easy to use, and simple to set up, scale, manage, and update. Whether you're at work, at home, or on a trip, you may make and receive calls, send and receive messages, and use sophisticated services from any connected device. That's why they're rapidly transforming the business communications environment.

If you want to keep up with your increasingly dispersed employees and clients, you should consider switching to a VoIP service to power your conversations.

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