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The Difference between VoIP and IP Telephony

by Mar 8, 2021

Many people use VoIP (Voice over Internet Protocol) and IP Telephony (IPT) interchangeably, but there is a difference between the two terms. VoIP is a subset of IP Telephony.

At a simple level, they are the same thing but with subtle differences. At a technical level, the first major difference is that IP Telephony refers to the complete digital communications infrastructure and VoIP to a standards-based communications protocol.

IP Telephony Explained

IP Telephony essentially makes a phone system digital to take advantage of the internet. IP Telephony increases productivity and reduces communications costs.

IP Telephony includes the technologies, products and services that enable voice calling, voicemail, video calling, video conferencing, faxing, messaging and other telephony-related services utilising IP Protocols.

Normally this information travels over the public switched telephone network (PSTN) or the plain old telephone service. Instead, IP Telephony converts calls, faxes and text messages into packets of digital data that travels across computer network lines, avoiding the costs associated with normal PSTN calls.

VoIP Explained

Voice over Internet Protocol (VoIP) is a set of standard technologies that deliver voice calls via the internet or a private IP-based network.

VoIP is a subset of IP telephony that does not include other non-voice-based communication services, such as faxing or text messaging. VoIP is quite simply a digital transport vehicle for phone calls.

The most common implementation of VoIP is the use of smart devices to support apps like Skype and Whatsapp or utilising Microsoft Teams for business calls. These applications are used to provide toll-free calling services replacing the traditional PSTN and mobile phone calls. No more expensive long-distance calls.

Technically, VoIP is a standards-based protocol for moving voice traffic in a digital communications environment.  The network could be a private network for internal communications. Add an Internet connection for inter-branch and external long-distance and international communications, therefore reducing costs.

What are the advantages of VoIP and IP Telephony?

Before VoIP and IP Telephony, a business had to deploy and maintain one network for phone calls and another for internet access. With the convergence of voice and data, an organisation needs just one network to deliver phone services and LAN connectivity.

There are many benefits of both VoIP and IP Telephony for business, including lower costs, streamlined infrastructure, and scalability for future growth.

VoIP software, or softphones, also offer greater mobility, enabling them to make and receive calls across various endpoints, including desktop computers, laptops, smartphones, tablets and standalone devices, rather than using only fixed lines or desk phones while sitting at their desk.

IP Telephony and VoIP Challenges

A business can deploy VoIP and IP telephony services on-premises, utilising a hosted system via the cloud or even a hybrid system using both. Regardless, the challenge is to deliver voice, fax, video and text packets dependably to the user, which depends on internet connectivity. A poor network connection can negatively affect call quality, and an outage will typically bring down the service entirely. Fixed-line telephones, in contrast, will continue to work even during a widespread power outage.

How to take advantage of the internet and all the benefits of a Hosted PBX from The VoIP Shop (TVS).

You may have heard that many businesses are making the change to a Hosted PBX Telephone System. Using a Hosted PBX, Businesses take full advantage of the advanced features and can even look at reducing the number of Telephone Lines coming into an office, instantly saving money.

A Hosted PBX is a PBX (software-based private branch exchange) that provides call distribution, routing, transfers, voicemail, and related services for a company utilising the internet. It is managed and hosted off-site, and The VoIP Shop maintains all the software and servers required for your business.

You can have handsets included with your TVS Hosted PBX Plan, or you can choose to rent or purchase the handsets outright. The VoIP Shop has a large selection of handsets to suit all possible requirements. Our team is available to assist you with a selection of appropriate handsets from several leading manufacturers.

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