What is an IP Phone System?

Cloud-based phone systems have become the most trusted source for reliable telecommunications technology. With remote work becoming increasingly popular, and with businesses serving customers further and further from their home office, internet-based phone technology has become the number one preference for small businesses and entrepreneurs looking to take their business communications to the next level.

An IP phone system is a virtual phone system that uses internet protocol (IP) to make and receive phone calls using a virtual phone number, without the need for a traditional landline system. An IP phone system can provide you and your staff with an efficient, flexible and cost-effective means of communication.

An IP phone, also referred to as a Voice Over Internet Protocol (VOIP) or an IP-PBX phone system, is a telephone that uses VOIP to send and receive voice, video, and data transmissions over an internet network. Internet Protocol refers to a set of rules that govern how the data is transferred via the internet. Unlike a traditional telephone that uses analog signal cables to send and receive data, the IP phone uses digital signals which are sent over the internet.

An IP phone can be a dedicated hardware device, or you can use software to set up an IP phone on any internet-connected device. This provides a whole new level of freedom, flexibility and features that you cannot get with a traditional business phone.

VOIP phones use VOIP protocols, audio codecs, and special hardware to send and receive voice data in digital format. When a call is placed, a digital signal is transmitted over the IP network. This signal is routed by servers that connect the calling party to the phone of the person being called. When the data arrives at the receiving phone, the special hardware of the VOIP phone decodes the data and converts it back into an audio signal.

At the same time, the special hardware on the VOIP phone processes the audio signal from the receiving caller and encodes it back into a digital signal for transmission over the IP network. This enables both parties to hear each other on their respective phones, even if both phones are not VOIP phones. The signals are sent back and forth between the two phones until the conversation ends.

A VOIP phone system is an IP-based telephone system that replaces traditional telephone lines with a sophisticated web-based system that provides businesses with increased scalability, flexibility, cost-effectiveness, and improved communication. With a VOIP phone system, your business phone number is not linked to any specific device, but can be linked to any internet-connected device that you choose.

A VOIP phone system can offer exceptional features for small businesses. These include business caller ID, text and MMS messaging, peer-to-peer messaging, voicemail, voicemail transcription (written version of your voicemail), business hours (devices ring only when you want them to), team contacts, customer contacts, customer notes, to-do list management, company directory, call queue management and professional call menu options.

VOIP phones typically use established protocols, audio codecs, and other hardware to send and receive voice data. Common protocols include SIP (Session Initiation Protocol), RTP (Real-Time Transport Protocol), RFC 3261/3262 (VOIP requests and responses), and G.711 (audio codecs). Here’s a little more information about each codec:

Other hardware components that are used with VOIP phones include switches and routers to connect the phones, and IP PBX systems to provide features such as voicemail, call forwarding, and more to the users.

Traditional telephony is an analog system that relies on physical copper-wired telephone lines to connect callers and route calls. VOIP or IP telephony, on the other hand, is a digital system that utilizes digital internet protocols and specialized hardware to deliver voice, video, and data over a network. VOIP provides all the same functionality as traditional telephony systems, with the added benefits of being able to connect to a call anywhere there is internet service, and the ability to use any device to connect to your VOIP system.

IP telephony offers several benefits that make it an ideal choice for businesses, including increased scalability, increased flexibility, cost savings, and improved communication. IP telephony systems are more reliable, secure, and efficient than traditional telephone systems. In addition, they can be easily integrated with other applications such as web conferencing, video conferencing, and text messaging.

Setting up an IP phone system is relatively easy and usually takes minutes. Businesses typically begin by purchasing an IP phone system from a reliable provider. After that, the setup process usually involves configuring the system, installing the IP phones, and setting up a virtual phone number and voicemail system.

A business IP phone system provides businesses with improved scalability, flexibility, cost savings and incredible features. If you’re looking to upgrade your current telephone system or set up a new virtual business phone system, LinkedPhone can help you get connected with all the features you need to get you connected.

Sign up for a 7-day free trial of LinkedPhone today to find out more about getting started with a business IP phone system for your company!