Upgrade 3CX to v18 and get it hosted free!

How Does the VoIP Phone System Work?

Author image

How Does the VoIP Phone System Work?How does VoIP work? That’s a question most providers get a lot. As more companies are taking a leap away from the traditional PSTN telephony, many are looking for suitable alternatives to effectively manage their business communications.

While VoIP has already recommended itself as a go-to option over the last 30 years, many still remain uncertain about its definition and how it actually works. Here, we have a chance to get into the nitty-gritty of IP telephony and have your questions answered with this guide.

What Is VoIP?

VoIP (Voice over Internet Protocol) is a technology that’s used to deliver audio, video and other media files over the internet. IP telephony made its first appearance back in 1995 as an alternative to costly long distance and international calls.

Unlike traditional calls that take place over the public switched telephone network (PSTN), VoIP does it all over the internet and without any specialized hardware. It shook the existing telco monopoly by making this alternative communication solution an option for both individual households and large corporations.

How Does A VoIP Phone Work?

IP phones follow a simple step-by-step pattern to enable smooth operation:

  • Step 1: Your voice is converted into digital data packets.
  • Step 2: The data packets are then sent to your router via the fastest path.
  • Step 3: The receiving phone arranges the packets using their addresses.
  • Step 4: Data packets are decoded back into voice signals for the listener.

All of this is made possible thanks to codecs that are responsible for encoding and decoding audio data. This is crucial as VoIP utilizes digital signals between the callers.

In case one party is still using analogue transmission with a traditional PSTN conversation, then a hybrid transmission is established. This means that part of the conversation will travel over the circuit-switched network, while the rest can travel over the internet.

3 Benefits of Moving to a VoIP Phone System

Here are some of the pros of switching to this setup:

1. Mobility

Hosted setups are available from anywhere with an internet connection, meaning VoIP is not fixed to any particular location or setting. Employees can easily access the communications system from work or home and never miss even the most spontaneous ad-hoc meetings.

2. Range of Features

Auto attendants, voicemail-to-text transcriptions, anonymous call rejection, and call grouping are just a few of the many features you can get with a VoIP service. All these are aimed at improving productivity at work, as well as simplifying repetitive operator duties to free more time to attend to the customers.

3. Higher Scalability

Hosted IP telephony is very simple to set up. You don’t need to worry about fancy equipment or a long installation process. Instead, you can get everything done within minutes in just a few clicks and manage the number of extensions according to your business needs.

Common VoIP Devices And Equipment

Even though VoIP calls usually take place in the cloud and require little or no hardware, there are many devices that can boost your experience:

1. Analog Telephone Adapter

Also called an ATA device, it allows you to make calls with a regular work telephone over an IP network. The ATA is a box-shaped device and comes with phone ports, so more than one phone can be simultaneously connected to the adapter.

2. Telephone Sets

Deskphones and softphones are the two types of IP phones. Deskphones are hardware-based devices that look exactly like traditional landlines. On the other hand, a softphone is a program that can work from a range of compatible devices such as mobile phones, laptops, or tablets. You only need to install the app and login with your credentials.

3. Headsets

A VoIP headset is a useful accessory, especially for those who work predominantly over the phone. With the help of a built-in microphone, you can keep your conversation private and your hands free. With additional features such as Bluetooth connectivity and noise-cancellation you can gain even more comfort and flexibility when on call.

3 Must-Have Phone System Features for Businesses

There are tons of IP telephony features offered by different services. That’s why before implementing any phone system you should consider which provider is a better fit. One of the first steps to do that would be to compare their features, such as:

1. Auto Attendant

You might wonder why the automated attendant is so popular amongst IP telephony users. For starters, part of the explanation is the fact that a virtual receptionist can route incoming calls to the right department round-the-clock. Now, the callers can be directed to a voicemail even if they are calling outside business hours. It also saves time by filtering callers so agents don’t have to deal with routing, and has the potential to replace the work of a human receptionist altogether. Just like that it can save time, money and boost your customer service all at once.

2. Call Forwarding

Most small businesses can’t be open all day everyday, that’s why call forwarding is one of the most popular features used for your phone system. It helps deliver the best customer service regardless of whether you are at work or not. You can now easily forward all of your incoming calls to your mobile phone, or your colleague’s number instead. This way, no call will go unattended.

3. Call Recording

There are many reasons to record calls, with training and quality assurance at the top of the list. That’s why, many providers will allow you to set it up either company-wide or on-demand recording. Note, you should always confirm how much space you are allocated for your audio files, where these are stored, and whether recording is initiated automatically or manually when you are on the phone.

Final Words

VoIP is a powerful solution for growing businesses with very little cons against it. This post addresses some questions about the technology and how the main features work. Check out the links on the VoIP-info.org if you need more help with terminology and if you are looking for other additional resources.


Article Reviews

Write a Review

Your email address will not be published. Required fields are marked *

Required Field. Minimum 5 characters.

Required Field. Minimum 5 characters, maximum 50.

Required field.There is an error with this field.

Required Field.

This site uses Akismet to reduce spam. Learn how your comment data is processed.

There are no reviews for this article. Be the first one to write a review.

Related Posts:

Get 3CX - Absolutely Free!
Link up your team and customers Phone System Live Chat Video Conferencing

Hosted or Self-managed. Up to 10 users free forever. No credit card. Try risk free.

3CX
A 3CX Account with that email already exists. You will be redirected to the Customer Portal to sign in or reset your password if you've forgotten it.