Business VoIP: Fad or here to stay?

By Kristine Hegglin
Updated: February 01, 2011

Voice over Internet Protocol (VoIP) is here to stay for several reasons. For one, VoIP lowers, or altogether eliminates, the cost of dedicated telephone lines. This means that more money stays in the pockets of business owners. Because VoIP uses the Internet through a data network, not only do businesses save by eliminating dedicated telephone lines, but VoIP is tax free for internet-based phone usage.

An additional reason VoIP is here to stay is due to the fact that VoIP solutions help to streamline communications and enable businesses to leverage their current internal networking infrastructure. A VoIP solution is a total communications solution because it can unify all communication activities including voice mail, e-mail, faxes, web conferences, and phone calls. All of these communication activities can be managed by one device or system.

With VoIP, employees can be located all over the world and still be supported through the same voice and data network.

As technology evolves it is possible that VoIP will become obsolete at some point in time. But, technology has not yet reached that point. In fact, more and more companies over the past couple of years have acquired a VoIP solution. And, more technology has been developed in the last couple of years to enhance and compete with VoIP. One such newer technology is called Session Initiated Protocol (SIP). Businesses typically use SIP for voice and video communications primarily. SIP can enhance a VoIP solution by using SIP devices in conjunction with a VoIP solution.

While analog telephone systems are still the most abundant type of communication solutions, VoIP solutions are becoming more popular. And, VoIP solutions are for everyone as there are solutions for small, medium and enterprise size businesses. The number of VoIP vendors has been steadily increasing due to the number of customers that have yet to switch over to a VoIP solution. There’s a lot of money to be had in this sector for existing VoIP vendors and new VoIP vendors looking to enter the market. Until another technology evolves that’s more cost effective and has more bells and whistles, VoIP is here to stay!
 

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