What is VoIP?

VOIP stands for Voice over the Internet Protocol which means that you can make calls using your internet line rather than a physical (traditionally copper) phone line.

It has allowed a significant reduction in the need for physical infrastructure and has started to revolutionise the way businesses communicate and operate.

There are now VoIP Phone Systems widely available and there are generally two types of VoIP Phone Systems – hosted or self-hosted (sometimes just simply referred to at IP Phone Systems.)

What is a Hosted VoIP System?

The hosted VoIP system is hosted by a third-party provider who has all of the systems and hardware in place via the cloud. You will have a handset which links into that system via the internet. Hosted Phone Systems are usually costed on a per handset/seat and it incorporates the lines. You have minimal initial investment apart from handsets but you don’t have to look maintain any hardware.

What is a Self-Hosted VoIP System?

Self-hosted VoIP (IP Phone Systems) is where you have the physical hardware on-site (or hosted externally in a data centre) where you use an internet line that you have in place to utilise the phone system.

The business will pay for and in turn own the equipment, including the PBX hardware required. After you’re set up costs, you have a set cost per month for your line services (plus the cost of your phone calls) rather than the hosted solutions where you pay per handset plus any hardware maintenance charges.