As the cloud becomes the backbone of most business services and enterprise capabilities, VoIP brings similar benefits to communication. voice over internet protocol or VoIP allows users to connect with each other via telephones that utilize the internet. Instead of traditional public switched telephone network (PSTN) lines that have a sizable cost component, VoIP is flexible, affordable, and interoperable with a wide range of UC platforms.

The pandemic saw a massive rise in VoIP adoption, as per Transparency Market Research, and the market will be worth more than $278.53 billion by 2031. This makes it vital for companies to know what is VoIP, how the technology works, and choose the right VoIP service provider for their needs.

What Is VoIP?

VoIP (also known as IP telephony) is a technology that transmits voice and multimedia session traffic over internet protocol (IP) systems. It refers to the provision of communications services such as voice, fax, SMS, and voice messaging through the internet as opposed to the PSTN, sometimes known as plain old telephone service (POTS).

VoIP started with a business named VocalTec, which developed the first internet telephone for the general public. Using the same software, this internet Phone enabled one user to call another using linked speakers and microphones.

From 1996 through 1998, VocalTec added internet voicemail features to their apps and integrated it with Microsoft NetMeeting. Companies such as Teledvance, which would later become Smoothstone IP Communications and subsequently Intrado, were created in 1999 to provide VoIP to the corporate sector.

In the 21st century, telecommunication equipment manufacturers began to see the advantages of sending data via IP, including increased speed, cheaper prices, and higher quality. VoIP features were introduced to VoIP-compatible switches, software solutions, and other devices. Today, every UC platform – from Microsoft Teams to Zoom – incorporates VoIP features to enable telephony in addition to online collaboration.

How Does VoIP Work?

VoIP translates a user’s speech from audio impulses to digital data. This information is then transmitted to another user or group of users over Ethernet or Wi-Fi. To achieve this, VoIP will employ codecs, which are hardware or software processes that compress and decompress massive quantities of VoIP data. Compression may degrade voice quality, but it dramatically decreases bandwidth needs. Additionally, VoIP suppliers like Cisco will utilize their own unique codecs.

Sending data to other users involves encoding audio into data packets, delivering the packets over an IP network, then rebuilding the packets back into audio at the receiving end of the connection.

The following are other elements of a typical VoIP system:

  • IP PBX for the management of user telephone numbers, devices, features, and customers
  • Gateways that link networks and enable failover or localized resilience in case of network failure
  • To offer security, call policy management, and network connectivity, session border controllers (SBC) are used
  • Location-tracking databases for the routing and administration of E911 (enhanced 911) calls

Ease of use and professional calling capabilities at a reasonable price are two of the primary reasons why VoIP has surpassed conventional phone service. Instead of the main server with an on-premises PBX (Private Branch Exchange), an organization only requires VoIP desk phones that are ready for use.

5 Key Features of VoIP

Once you understand what is VoIP and implement an IP-based telephone system, you will be able to access the following features:

1. Advanced voicemail and call forwarding

The majority of industry-leading VoIP service providers will let users convert voicemails to email. A solid VoIP package will also include a voicemail system and the Find me/Follow me functionality. This feature enables users to accept incoming calls, no matter the location, or the phone number. This makes it simpler to contact workers (especially contact center representatives) while they are not in the office.

2. Conference calls

Some employees may make this type of call on a regular basis and contact center agents may need to loop supervisors into a group conference. In addition to providing conference calls, the most efficient VoIP systems also allow users to share files, chat messages, work together on calendars, collaborate on presentations, and even desktops. Here, VoIP meets full-fledged UC functionalities.

3. Different types of call routing

VoIP solutions enable organizations to configure call routing regulations for customer calls. This consists of:

  • List-based routing – Calls are routed according to a predetermined, linear list that begins at the top following each call.
  • Round-robin routing – A turn-based routing technique in which the first call is routed to Agent A, the second to Agent B, and the third to Agent C.
  • Skills-based routing – Calls are routed based on agent abilities, fields of specialization, and skill sets.
  • Time-based routing – Calls are routed based on particular agent scheduling and/or time zone differences.
  • Relationship-based routing – Calls are routed to agents based on existing contractual obligations.

4. Call recording

Call recording is a subset of call monitoring that either continuously records or manually records calls between participants. Due to the internet dependence of VoIP services, the recordings are then stored securely — and automatically — in the cloud for subsequent inspection. In many instances, call records are also automatically transcribed, and keywords and phrases may be used to search and categorize the transcriptions.

5. Virtual numbers

Virtual numbers may be used with a VoIP line or routed to a real number. To establish a genuinely virtual presence, they could also use any area code. This allows for increased scalability, which in turn leads to more flexibility than conventional systems and permits the addition or removal of extensions as per business expansion.

Closing Thoughts: VoIP Pros and Cons

VoIP technology lowers the cost of personal and business phone communication to almost nothing. It also offers extremely economical video conferences, conference meetings, and webinars for both business and personal usage. The primary disadvantage of a VoIP call is that users might experience latency (given that sound is transmitted in packets, there is a tiny delay). Some VoIP services are inoperable during power outages if neither the user nor the supplier has backup power. These are some of the factors to consider before choosing a VoIP technology provider.

 

 



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