VoIP Phones VS Landline: Which is best for your business?

The business world has embraced the flexibility and feature that VoIP provides. While traditional landline phones have served businesses well, VoIP can simply provide far more flexibility - not to mention far more useful calling features at significantly lower cost.
Voip vs landline

VoIP Phones VS Landline: Which is best for your business?

With the rise of remote working and businesses increasingly moving online, the need for landlines has reduced dramatically. Phones have been a driving force in business communication for decades, and it's a no-brainer that businesses require phones. The business world has embraced the flexibility and feature that VoIP provides. While traditional landline phones have served businesses well, VoIP can simply provide far more flexibility - not to mention far more useful calling features at significantly lower cost. With the 2025 PSTN switch-off approaching and business concerns growing, business owners are beginning to wonder: Which phone system is better for my business?

The primary distinction between VoIP and landline is that VoIP uses the internet to transmit voice data, whereas landlines use traditional phone lines. VoIP allows for greater location flexibility and often has lower costs, whereas landlines have higher reliability and call quality. The disadvantage of landlines is that they can be quite costly. Landline phone systems necessitate both phone service and line rental. The initial setup is also quite costly. Landline phones are also limited in terms of mobility and flexibility, as users can only make and receive calls in a fixed location where the phone line is installed.

What is VoIP and how does it work?

Edmondson's IT Services, West Yorkshire

VoIP, or Voice over IP, is a phone system that allows users to make phone calls over the internet. It works by converting your voice into a digital signal, allowing users to make calls using a VoIP phone or any internet-connected device. It is extremely cost-effective because all calls are made over the internet, all while maintaining the quality of your communication systems.

How VoIP works:

  1. Your phone is connected to your router or switch.
  2. You make or receive a call from your VoIP phone system.
  3. Your VoIP app converts your voice into a digital signal, which is sent over the internet.
  4. The call reaches the VoIP service provider which exchanges data packets from your IP phone.

A VoIP phone system works similar to many phone calling apps such as Teams, Facetime and WhatsApp, that allow you to make phone calls over the internet.

How does Landline work?

A landline transmits voice signals over copper wire or fibre optic cables that connect to a telephone network. When a person speaks into a landline phone, the sound waves are converted into electrical signals that travel over the wires to a local exchange, which then routes the call to the intended destination. The local exchange also provides power to the phone via the telephone line. Some landline networks now use digital technology known as Integrated Services Digital Network (ISDN), which allows for faster data transmission and multiple phone lines on a single connection.

History of VoIP:

1995: VoIP phones were developed around 1995 by a company called VocalTec. It was originally developed as a way to reduce costs on international calls.

1996: In 1996, Internet voicemail applications came to life. Users could send voicemails over the Internet to the destination phone.

1997-1999: VoIP integration with PBX systems to allow businesses and private organisations to manage internal and external phone calls.

Early 2000s: In the early 2000s, major tech companies such as Cisco, Microsoft, and IBM began to invest in VoIP technology, leading to its widespread adoption in the business world.

2017: Microsoft Teams was released to Microsoft Office 365 users on March 14, 2017.

2023: VoIP is now the most used phone system worldwide.

Benefits of VoIP:

  • Cost Savings: VoIP is a low-cost way to improve your IT infrastructure while optimising your internet connection. It allows you to save money by establishing end-to-end communications using your existing internet connection, as opposed to traditional business phones, which require dedicated desk phones and copper wiring.
  • Work from anywhere: Businesses can use VoIP to extend their communication system to allow for remote working. Employees can now work from the comfort of their own homes while still remaining productive. Our plug-and-play phone systems make setting up your workspace easier than ever. Because of the flexibility provided by VoIP, users can work from anywhere with an internet connection.
  • Easy installation and setup: All you need to get started is the phone system itself, an internet connection, and the VoIP software, and you'll be able to make calls in no time. Most VoIP phones are also plug and play, which means they can be set up in seconds. The softphone app can also help you make phone calls while you're on the go.
  • Scalable Solutions: Because of the flexibility of having unlimited extensions, VoIP expands with your business. This means that no matter how big your company grows, you won't have to switch to a different solution.
  • Improved communication: Communication is crucial in determining your team's productivity and how well they collaborate. The simplicity of VoIP systems can help you better manage your employees' communications with coworkers and valued customers.
  • Feature-rich: Call waiting, call recording, call forwarding, voicemail, and caller ID are all common features of VoIP services. It also provides you with a comprehensive view of all calls across your entire organisation. These features can help you build stronger relationships with your customers while also gathering data to help your business grow.
  • Seamless Integration: VoIP can easily integrate with other digital tools such as popular CRMs and Microsoft Office 365 giving you the ability to call contacts from your CRM, and receive all customer records, when an inbound call occurs.
  • Improved Sound Quality: With advancements in technology, VoIP systems can now offer high-quality voice calls with minimal latency, noise or interruptions.

Downsides to VoIP:

While there are numerous advantages to using Voice over Internet Protocol (VoIP), there are some drawbacks to consider. VoIP relies heavily on a stable internet connection. Call quality may suffer or calls may be dropped if the internet connection is poor or interrupted.

VoIP phones are also vulnerable to power cuts. Unlike traditional landline phones, which can function even when the power goes out, VoIP requires power to function. In the event of a power cut, you will be unable to make phone calls, which can be inconvenient for your business.

PSTN Switch off:

Timeline of VoIP 2025 Switch Off

Openreach intends to phase out all PSTN and ISDN services by 2025, marking the most significant change in the telecoms industry in over 30 years. This is because ISDN phone lines are outdated and expensive. They intend to phase out ISDN and PSTN services in 2023 and complete the transition by 2025. Businesses must begin looking for a more advanced VoIP solution before the switch is actually turned off.

3CX for your business:

3cx

3cx is a feature-rich and fully managed VoIP phone system that offers an incredibly powerful and customisable software-based PBX for any size business. These cutting-edge VoIP phones are jam-packed with advanced features that will benefit your business whether you are working on-site or away from the office. Especially with the 2025 PSTN switch-off coming closer, 3CX phones are an excellent replacement for outdated traditional telephone systems.

Why choose us?

At Edmondson’s IT Services, we combine our in-depth industry knowledge with a passion for technology to bring you the best possible solutions. With over 10 years of experience, and helping customers nationwide, there isn't much we haven't seen or done. We’ve helped hundreds of small to medium sized businesses, nationwide, to evolve their IT infrastructure. Our team is dedicated to grow your business through the power of IT. We listen to your needs and requirements to offer you a solution that not only works for you, but also work with you.

For business owners, VoIP can oftentimes be confusing and the process of switching or migrating from an old system or previous IT provider, can be daunting. This is why we’ve completely simplified the process to ensure you can focus on the things that matter. The plug and play nature of our phones allows you to connect with your customers from anywhere, allowing to enhance your relationship with your customers. Our future-proof VoIP solution guarantees long-term scalability so that you can continue to use the same software as your business grows.

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