VoIP (voice over internet protocol) delivers voice communications and multimedia sessions over Internet Protocol (IP) networks, such as the Internet. This differs from old school PSTN (publicly switched telephone network) which is an circuit-switched telephone networks that are operated by national, regional, or local telephony operators to provide public communications. Why should you choose to replace your PSTN PBX (private branch exchange) with a hosted VoIP system? Well, here are six compelling reasons:

Lower Communication Fees and Costs

Businesses can save between 30 and 40 percent on their telephony bills through broadband connectivity versus a traditional PSTN service.

Simple, Easy Management, Administration and Deployment

Before the days of voice over IP, networks were comprised of multiple “proprietary boxes” for voice and data  that limited a business’ ability to integrate new applications. VoIP, on the other hand, is software, not hardware, based, making it easier to deploy and integrate new services.

Reduce Capital Infrastructure Investment Costs

Voice and data networks are converged onto a single IP network, thus significantly reducing infrastructure the costs that are associated with a traditional PBX-based network.

Access Anywhere

IP telephony enables remote employees to connect with the company’s phone system from anywhere, thus making them available to make and receive calls as if they are in the office.

Business Continuity / Disaster Recovery

Even in the event of a major hurricane, theft, fire or other disaster your phones will continue to work anywhere there is internet. With VoIP, the ability to recover and re-establish normal business communications post catastrophic disaster reduces lost revenues and upset clients. With hosted VoIP you can now have geographically redundant infrastructures without the huge cost. What this means is VoIP can be everywhere keeping your communications up and running!

Scalability

Adding more offices, remote employees, not sure of your future? With a traditional PBX the costs can keep climbing as your business keeps growing. With a hosted-PBX your business can grow from one person to several thousand and back again and the system and licensing stays the same. You can have one office or a chain spread out around the world your system is scalable! You don’t have worry about new capital expenditures, training downtime and expenses or equipment depreciation. The system changes with you, to meet your needs, whatever they may be.

Roughly 25 percent of all new IP PBX lines sold are part of a managed service or outsourced contract, making managed hosted PBX the largest segment of business VoIP services. There is a reason why the SMB market is moving toward this model.