Everyone
seems to be talking about VoIP (Voice over Internet Protocol) these days. So what's
it all about - could it help your business? We're going to tell you why businesses
are getting to grips with internet-based telephony.
Talk is cheap so they
say, but that doesn't mean it can't be a lot cheaper. And that's great news for
any business which uses the phone to get things done.
VoIP, also known as
IP telephony, Voice over Broadband or Internet telephony offers an alternative
to traditional telephony providers. Want to know more? Well read on…
So
what is VoIP?
VoIP uses the internet infrastructure to provide a low-cost
way for businesses to route certain phone calls, complementing traditional phone
systems. VoIP can only be used if you have broadband: it can operate in local
office networks or across sites, and remote workers can use it, too.
How it
works
A regular phone line transmits a speaker's voice as an analogue signal
but to send it over the Internet, an extra step is needed. The sound is converted
into a digital signal and then transmitted over the network. At the receiving
end, the conversion process is done in reverse.
Why
use it?
Two words: cost savings! Given the amount of time businesses spend
on the phone to clients, suppliers etc, the savings are substantial, especially
if you make regular long-distance calls.
If your business has broadband connection,
any calls made using your VoIP connection will effectively be free. Your VoIP
supplier may charge you a small amount for each call but this will be minimal.
The
costs
Although the calls are low cost, or even no cost at all in a lot
of cases, there are initial set-up costs such as the telephone sets and connection
fees. In most cases these costs can be quickly offset by the amount you save on
calls.
Sound quality
It is acknowledged that the quality of most VoIP services
doesn't yet quite match that of a traditional phone line. There are challenges
in sending a voice stream over the Internet but it is getting better all the time.
Most people using a VOIP phone don't notice any difference.
Compatibility
Some
VoIP providers require both caller and the receiver to be signed up to their service
and have the same software installed. Shop around, though, and you can identify
service providers that allow you to call anyone, including from your computer
to a regular telephone, and even phone to phone.
The
bigger picture
VoIP is part of a larger technology - IP telephony which
itself is part of a larger trend towards the integration of computer, telephone,
television, security monitoring, home automation, and related technologies.
As
the cost of high speed internet connections continues to fall, VoIP is now within
your reach. Some telecoms and internet service providers are offering packages
specifically targeting smaller businesses.
It's worth taking a look at your
future telephone and IT network needs. Making all your telephone calls over the
Internet and avoiding high charges is an attractive proposition for any budget-conscious
manager.
Advantages
" Flexibility. Unlike traditional phone lines, with
VoIP you can add telephones and increase call capacity on your computer network
without running additional cabling.
" Reduced costs. Because the system
runs on software rather than hardware, it costs less and is easier to manage and
maintain. Typically, an international call costs no more than a local one with
a traditional phone line.
" Enhanced customer service. By simply adding
some software and linking up with your office PC, incoming calls can be set up
to automatically trigger screen pop-ups with the caller's account information,
notes and details of previous conversations.
" Talk 'n' go! VoIP allows
you to make or take calls on the move no matter where you are in the world, if
you have a mobile device such as a lap top, PDA or pocket PC.
Disadvantages
" It's new! VoIP is fairly new, having only been
around for a few years, and it will take time for adoption to take off. However,
due to the advance in technology, especially high-speed internet connections,
popularity is on the increase.
" Your number's up. At the moment, if
you change to a VoIP system, you may not be able to keep your company's present
telephone number, although some VoIP companies can arrange for your number to
be ported to your VoIP system. Check with your VoIP provider.
" Quality.
Sound quality was always an issue for VoIP users, but again, with advancement
in technology, many users don't actually find any noticeable loss in sound quality.
" No 999. Presently, you can't make an emergency call using VoIP but
this is set to change in the future.
Five VoIP facts
1. Industry estimates predict that by 2007, three quarters
of international calls will be carried over the Internet.
2. If you use a
cheap, long distance telephone service, you're probably using IP telephony already
without knowing it.
3. Internal calls to everyone connected to your network
are free, even if they're at different locations or on the road.
4. You don't
need an international dialing code if calling a number on the same VoIP network
abroad.
5. There are no monthly fees with VoIP providers - only an annual
payment which works out on average 85% cheaper than a traditional phone provider.
Frequently Asked Questions
Q. Do you need broadband to use VoIP
A.
Yes.
Q. Do you use a headset through your PC or a phone?
A. You can
use either, or both. Your VoIP company can supply you with a phone which fits
into one of your computer's USB ports.
Q. Does your PC need to be switched
on to use VoIP?
A. No, but your high speed internet connection does.
Q.
Can I use my PC while talking on the phone?
A. Yes.
Q. Can I use
VoIP with a laptop?
A. Yes, as long as it's plugged in to a high speed
internet connection.
Q. If the power fails on my PC, will the VoIP phone
still work?
A. Probably not, unless your modem is still on but this is
unlikely if you have a power failure.
Q. Can I call any number using VoIP?
A.
You can call most phone numbers but not emergency numbers or some directory services.
Q.
Where can I find a VoIP phone provider?
A. See under the 'Find out more'
section below and click on the link to our recommended VoIP suppliers.