One advantage of the traditional landline services is that electrical power is sent over the telephone wires so your phone service is isolated from your house power. This meant that your phone service would continue to work if your house power went out. However, with VoIP, power is used not only for the ATA, or the IP phone, but it is also used for your Internet modem and router devices. No power also typically means no Internet service.
A voice call originating in the VoIP environment also faces challenges to reach its destination if the number is routed to a mobile phone number on a traditional mobile carrier. VoIP has been identified in the past as a Least Cost Routing (LCR) system, which is based on checking the destination of each telephone call as it is made, and then sending the call via the network that will cost the customer the least. This rating is subject to some debate given the complexity of call routing created by number portability. With GSM number portability now in place, LCR providers can no longer rely on using the network root prefix to determine how to route a call. Instead, they must now determine the actual network of every number before routing the call.[citation needed]
Businesses working remotely should keep in mind, though, that Ooma doesn’t offer any videoconferencing tools. Instead, you get a conference line that lets at-home employees collaborate over the phone. That puts Ooma a pace behind some of the other providers on our list, but with providers like Nextiva currently offering their video collaboration tool to businesses for free, it shouldn’t be a major issue.
VoIP (pronounced “Voyp”) stands for “Voice over Internet Protocol” and to make a long story short—it allows you to make calls through your home internet connection. When you make a call with your VoIP system, your voice is converted into data and transmitted to the caller at the other end in the form of high-quality audio. The sound and connection typically are seamless enough to where you won’t even know the call you’ve received is from a VoIP line. 
He is the co-founder of NP Digital and Subscribers. The Wall Street Journal calls him a top influencer on the web, Forbes says he is one of the top 10 marketers, and Entrepreneur Magazine says he created one of the 100 most brilliant companies. Neil is a New York Times bestselling author and was recognized as a top 100 entrepreneur under the age of 30 by President Obama and a top 100 entrepreneur under the age of 35 by the United Nations.
Businesses working remotely should keep in mind, though, that Ooma doesn’t offer any videoconferencing tools. Instead, you get a conference line that lets at-home employees collaborate over the phone. That puts Ooma a pace behind some of the other providers on our list, but with providers like Nextiva currently offering their video collaboration tool to businesses for free, it shouldn’t be a major issue.
Disclaimer: The information featured in this article is based on our best estimates of pricing, package details, contract stipulations, and service available at the time of writing. All information is subject to change. Pricing will vary based on various factors, including, but not limited to, the customer’s location, package chosen, added features and equipment, the purchaser’s credit score, etc. For the most accurate information, please ask your customer service representative. Clarify all fees and contract details before signing a contract or finalizing your purchase.
Companies working from home will appreciate Ooma’s remote features. For starters, Ooma offers a mobile app that lets you make and receive calls from your smartphone using your business number. You can also set up ring groups, which allows you to group extensions together so they all ring simultaneously—then the call gets transferred to whichever remote employee picks up first.

The SIP-T42S IP phone is a dynamic business communications tool for superior voice communications and extended functionality. The SIP-T42S is a 12-line IP phone with multiple programmable keys for enhancing productivity. It is with Yealink Optima HD Voice Technology and wideband codec of Opus for superb sound quality and crystal clear communications. It’s built with Gigabit Ethernet technology and with an all-new USB port, the SIP-T42S boasts unparalleled functionality and expansibility with Bluetooth, Wi-Fi and USB recording features.
One of the most exciting and clear differences between a cloud PBX provider and a standard telephone system is software. Your IT staff will find a host of new software tools to help monitor and manage the system. But what catches most business operators' eyes are two key capabilities that software provides: back-end integration and softphones. The latter is exactly what the name implies, a phone that's rendered entirely in software allowing any compatible device to become a phone as long as it has an internet connection, a speaker, and a microphone. More on that below.
What makes SIP so popular is not only that it's deep and flexible, but also because it was purpose-built to engage in multimedia (meaning not just audio but also video and even text) communications over TCP/IP networks. For VoIP calls, SIP can set up calls using a number of IP-related protocols, including the Stream Control Transmission Protocol (SCTP), the Transmission Control Protocol (TCP), and the User Datagram Protocol (UDP), among others. But it can also handle other functions, including session setup (initiating a call at the target endpoint—the phone you're calling), presence management (giving an indicator of whether a user is "available," "away," etc.), location management (target registration), call monitoring, and more. Despite all that capability, SIP is simple compared to other VoIP protocols primarily because it's text-based and built on a simple request/response model that's similar in many ways to both HTTP and SMTP. Yet, it's still capable of handling the most complex operations of business-grade PBXes.  
Phone Power is another home VoIP provider that runs its service using an on-premises device. This is called the Home Adapter and like other services, it sits between your phones and your Internet connection, though no other network is required. It can even function as a router on its own. While it's not the cheapest home VoIP solution we found, it's certainly well-regarded and mature with a wide variety of options and capabilities.

Sending faxes over VoIP networks is sometimes referred to as Fax over IP (FoIP). Transmission of fax documents was problematic in early VoIP implementations, as most voice digitization and compression codecs are optimized for the representation of the human voice and the proper timing of the modem signals cannot be guaranteed in a packet-based, connection-less network. A standards-based solution for reliably delivering fax-over-IP is the T.38 protocol.
Some form of call center capability is often available, though many times either as a different product version or simply a higher pricing tier, so be careful before you assume you'll be getting those features. These capabilities are meant to support large sales or service desk staff and their need to route and process a relatively large number of incoming customer or user calls. That means complex menu trees, an auto-attendant for routing, and service queues. You'll probably find you need interactive voice response (IVR) capabilities, and that should be backed up by support for a live operator or some other type of human intervention.

Business VoIP is the modern form of business phone service utilizing an internet connection instead of a PSTN landline connection. By sending your voice, video, and data communications through your internet network, your business can achieve a high quality VoIP phone system for a fraction of traditional legacy setups. Business VoIP solutions differ from landline services as feature rich alternatives for small to medium sized businesses.
All 8×8 plans include team messaging, HD videoconferencing, and screen sharing, you you can easily keep all your at-home team members engaged and collaborative. And contact centers that have transitioned to remote work can still enjoy features like omnichannel routing, which allows your employees to engage with customers via chat, social media, text, and phone—all in one platform.

*Disclosure: We are an independent, advertiser-supported comparison service. The offers that appear on this page are from companies that we have a marketing relationship with, that compensate us. This impacts where those products appear on the site. Company listings on this page do not imply endorsement. There are many advantages of having a residential VoIP phone service. Thanks to VoIP, nowadays, telecommunication is easier and flexible than ever before. It's not only easy to use, but also very cheap. Voice over IP phone services include unlimited calling and many free features that you would normally pay for with a traditional phone company, such as call waiting, call forwarding, caller ID, etc. We offer a thorough analysis of provider, services, and features.

VoIP transforms outgoing or incoming calls into a digital signal and sends it through the internet, converting it to a standard telephone signal to reach a non-VoIP number. This allows you to receive business calls on your personal mobile device. You can even make calls through your VoIP provider’s app on your smartphone—and you won’t have to worry about clients ignoring your call since their caller ID will register your business number instead of your personal number.
Nextiva also provides a number of helpful features for businesses working from home. For starters, there’s the Nextiva app, which lets you use your business phone number to make calls remotely from your desktop or mobile devices. Nextiva’s team collaboration tool, Cospace, also lets your team collaborate via video chat, so you can keep everyone one the same page.

One important advanced feature that's ubiquitous in the world of business VoIP services, and quickly growing in the residential market, is the softphone app. Imagine a piece of software that simply uses the network connection, speakers, and microphone of your computing device to turn that device into a phone. If that softphone is attached to your VoIP account, that software will ring whenever your home phone does and when you place calls on it, those calls will register as coming from your home phone number. Just by installing the software you'' be able to immediately place and receive voice calls over your home phone account on your PC, your Apple iPad, or even your smartphone. That last one is a gotcha, however.


The products and services in this review roundup are focused on business use and because of this either provide some PBX features or serve as full-on virtual PBXes. This may mean, among other things, that they provide service to telephone sets on your employees' desks. Most also support electronic faxing in some fashion, either directly (which can be a significant challenge for some VoIP services) or by simply integrating an incoming fax with your email system. Other popular features are video conferencing and shared meeting software (so meeting attendees not only hear each other but can present presentations or documents in a shared work space).

Another legal issue that the US Congress is debating concerns changes to the Foreign Intelligence Surveillance Act. The issue in question is calls between Americans and foreigners. The National Security Agency (NSA) is not authorized to tap Americans' conversations without a warrant—but the Internet, and specifically VoIP does not draw as clear a line to the location of a caller or a call's recipient as the traditional phone system does. As VoIP's low cost and flexibility convinces more and more organizations to adopt the technology, the surveillance for law enforcement agencies becomes more difficult. VoIP technology has also increased Federal security concerns because VoIP and similar technologies have made it more difficult for the government to determine where a target is physically located when communications are being intercepted, and that creates a whole set of new legal challenges.[68]
In 1999, a discrete cosine transform (DCT) audio data compression algorithm called the modified discrete cosine transform (MDCT) was adopted for the Siren codec, used in the G.722.1 wideband audio coding standard.[74][75] The same year, the MDCT was adapted into the LD-MDCT speech coding algorithm, used for the AAC-LD format and intended for significantly improved audio quality in VoIP applications.[76] MDCT has since been widely used in VoIP applications, such as the G.729.1 wideband codec introduced in 2006,[77] Apple's Facetime (using AAC-LD) introduced in 2010,[78] the CELT codec introduced in 2011,[79] the Opus codec introduced in 2012,[80] and WhatsApp's voice calling feature introduced in 2015.[81]
Companies working from home will appreciate Ooma’s remote features. For starters, Ooma offers a mobile app that lets you make and receive calls from your smartphone using your business number. You can also set up ring groups, which allows you to group extensions together so they all ring simultaneously—then the call gets transferred to whichever remote employee picks up first.
Michael Muchmore is PC Magazine’s lead analyst for software and Web applications. A native New Yorker, he has at various times headed up PC Magazine’s coverage of Web development, enterprise software, and display technologies. Michael cowrote one of the first overviews of Web Services (pretty much the progenitor of Web 2.0) for a general audience. Before that he worked on PC Magazine’s Solutions section, which in those days covered programming techniques as well as tips on using popular office software. Most recently he covered Web 2.0 and other software for ExtremeTech.com.
^ Jump up to: a b Mahanagar Doorsanchar Bhawan and Jawahar Lal Nehru Marg (May 2008). "Telecom Regulatory Authority of India (TRAI) Consultation paper on Issues related to Internet Telephony. Consultation Paper No. 11/2008" (PDF). New Delhi India: Telecom Regulatory Authority of India (TRAI). p. 16 (Section 2.2.1.2 PC–to–Phone Internet telephony). Archived from the original (PDF) on October 6, 2014. Retrieved September 19, 2012. An end user is allowed to make PC–to-Phone Internet Telephony calls only on PSTN/PLMN abroad.
VoIP stands for Voice over Internet Protocol. It is also referred to as IP Telephony, Internet Telephony, and Internet Calling. It is an alternative way of making phone calls that can be very cheap or completely free. The ‘phone’ part is not always present anymore, as you can communicate without a telephone set. VoIP has been named the most successful technology of the last decade. 

VoIP service providers offer many highly advanced, next generation calling, texting, video, and conferencing features. Often these features are included, and are valuable assets every step of the way throughout your specific communication needs. Traditionally, many of the calling features now included with VoIP phone services were exercised by a human being operating a switchboard. Directing call traffic appropriately is vital to the success of any business. With Voice Over IP solutions, many of them are customizable to put your business at the pinnacle of efficiency and professionalism. Network features are designed to make sure your business never misses a beat – keeping your infrastructure at the tip of your fingers at all times.
Designed for busy executives and professionals, Yealink SIP-T52S is an easy-to-use Media IP Phone with a 2.8-inch color-screen and a distinctive appearance and structure. For its simplified and user-friendly design as well as user interface, it brings the IP phone and users closer to an unparalleled operating experience. With Yealink Optima HD voice technology, T52S enhances its audio quality, adding Opus audio codec delivering superb audio and voice communications.
Similar to its popular small business VoIP solution, Ooma Office, the company touts its on-premises VoIP appliance to power its residential service. You'll find three versions of this device to choose from: the Ooma Telo, Ooma Telo Air or Ooma Telo 4G, but they all sit between your Internet router and your phones, making installation of this low-cost service plug-and-play.  
While we think Grasshopper is great for small businesses, it misses out on our “Best Small-Business Phone Service” title because, compared to Ooma, Grasshopper is a little expensive. Grasshopper plans start at $26 per month, assuming you sign up for annual billing. And starting plans include only one business phone number with up to three extensions.

Vonage Business is the biggest name in VoIP, and the good news is it’s a leader in residential VoIP too. Vonage has powerful, nationwide infrastructure, ensuring 100% uptime whenever you make or receive a VoIP call through your home IP phone or the Vonage smartphone app. All pricing packages are billed monthly, with no contracts. However, if you agree to be billed annually, Vonage will reward you with close to a 50% discount on your first 6 months.

Some form of call center capability is often available, though many times either as a different product version or simply a higher pricing tier, so be careful before you assume you'll be getting those features. These capabilities are meant to support large sales or service desk staff and their need to route and process a relatively large number of incoming customer or user calls. That means complex menu trees, an auto-attendant for routing, and service queues. You'll probably find you need interactive voice response (IVR) capabilities, and that should be backed up by support for a live operator or some other type of human intervention.


The steps and principles involved in originating VoIP telephone calls are similar to traditional digital telephony and involve signaling, channel setup, digitization of the analog voice signals, and encoding. Instead of being transmitted over a circuit-switched network, the digital information is packetized and transmission occurs as IP packets over a packet-switched network. They transport media streams using special media delivery protocols that encode audio and video with audio codecs and video codecs. Various codecs exist that optimize the media stream based on application requirements and network bandwidth; some implementations rely on narrowband and compressed speech, while others support high-fidelity stereo codecs.

For a VoIP system to work, it needs a means of routing calls between users or to the outside world. In a cloud based system, a virtual PBX does that job. What that means to you is that the provider is running a large PBX operation in a data center somewhere, and slicing off a little of it to dedicate to your organization in exchange for your money. You're essentially sharing a large PBX with that provider's other customers, but because these companies use multi-tenant segmentation, your PBX will appear dedicated to you. This engine will take care of routing calls on your VoIP network.

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