Hosted VoIP/SIP Versus PBX

Updated: July 27, 2010

If you have a T1 or above connection (which you should), and are on a tight budget for spending cash, do yourself a favor and go hosted VoIP/SIP...don't spend what will still be a lot of money on a used or refurb system and buy someone else's headaches. In today's market you can go with a hosted setup with NO up front cost at all...absolutely no cash outlay for a brand new phone system with all the bells and whistles...and I mean all the bells and whistles. This will cost you $12-20 per line, plus $12-20 per phone, or about the cost per line for service from AT&T, depending on what provider you use. You will also have the option to include unlimited domestic long distance (maybe $20-30 a month) or a package that includes a certain number of bundled long distance minutes per month, say 5000-10,000 minutes. You'll usually get installation free, with free in-house training and support included. You can add DID's for probably another $10 for a block of 20 and an auto-attendant for maybe $10-15. You automatically get a smorgasbord of calling features including items like 'find-me-follow-me' and four digit dialing between extensions.

So, the question is, why would you spend thousands of dollars up front on a PBX system that will be obsolete in a few years when you can get a cutting edge virtual PBX, with everything you want included, for no money down and $24-40 a month per line, including all maintenance and support? Today, it's the way to go. ..and almost every telecom company out there offers this product, so there are lots to choose from. Just make sure you go with a reputable provider with a strong proprietary fiber network and not passing VoIP over the Internet. That way you have Quality of Service (QOS) as well. The problem enters when VoIP is run over the public Internet, no QOS and security issues as well.

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