The BIG Fight

The right phone system can make a massive difference for growing businesses. If you’re looking to improve your customer experience and to reduce costs there’s never been a better time to look at replacing your phone system. But what to choose? On your journey to a new phone system you’ll hear about two different technologies: SIP Trunking and Hosted PBX. But what are they and what shoukd you choose?

In this article, Northern Telecom a North of England based reseller of SIP and Hosted PBX solutions will help to explain who wins the battle of the phone system solutions!

SIP Trunking Hosted PBXLet’s cut through the jargon. SIP Trunks are simply links that enable calls to and from your office phone system to be routed over the internet, rather than using a traditional landline. Your existing phone system may already enable you to use SIP Trunks to replace costly ‘landlines’.

PBX is just another way of saying phone system. A ‘hosted’ phone system is one that

doesn’t need a physical phone system in your premises. The technology used to power your

phone system is ‘hosted’ by your provider and is delivered using your internet connection

Vs

Hardware costs

Unless you already have a SIP compatible phone system you’ll need to invest in a PBX on-site and it will need to be set-up and connected to a SIP Trunking service. Depending on your internet speed it may be advantageous to install another internet connection.

Hosted PBX is the clear winner on hardware costs. Your provider ‘hosts’ and maintains the

servers so you don’t need additional hardware.Up front outlay is minimal. All you need is

IP phones and a business grade internet connection.

Ongoing costs

Northern Telecom prices per SIP ‘channel’ (each channel is the equivalent of one line). Calls to 01, 02, 03 and 07 numbers are included and the monthly cost is low. However, your physical system will require maintenance and if you use a third party provider they may or may not charge you for making changes to your system

Typically hosted PBX solution is priced on a per-seat basis - so you simply pay for the number of

extensions you have. Again calls to 01, 02, 03 and 07 numbers are included. Changes can be made

free of charge using a web-interface.

Scalability

SIP Trunking based phone systems are scalable, but you may need to buy more servers if you expand significantly.

Hosted PBX systems have the ability to cope with a virtually unlimited number of additional users - however, for large numbers of users this could work out less cost effective than having a SIP Trunk based phone system.

Winner: Hosted PBX

Winner: Draw - depends on needs

Winner: Hosted PBX for SMEs

SIP Trunking Vs Hosted PBXMaintenance & changes

Maintaining an on-site phone system can require a member of your own IT staff or a maintenance contract with a third party supplier. Making changes or investigating issues can therefore be a chargeable service.

With hosted PBX systems the provider is responsible for maintenance . They also provide

a web based interface which allows you to make changes to your system and add or remove users

Winner: Hosted PBX

Phone features

Modern phone systems come packed full of features out of the box, but over time they become more and more out of date - as new features are added to newer models. You’ll have to upgrade your system to get the new features.

Hosted PBX systems tend to come with features similar to the ones you’d expect from a new

physical phone system. The main difference here is that the provider can develop and add new

features to your service, without the need for a new phone system.

Winner: Hosted PBX

Call quality

Because SIP Trunking needs an internet connection to operate, the quality of the calls is dependent on the quality of your internet connection. Usually your provider will assess your internet quality prior to connection.

Gone are the days when Hosted PBX was unreliable and poor quality. Hosted PBX is able to match that of existing services, but again this is dependent on the quality of your broadband connection.

Winner: It’s a draw

The verdictAs we said at the beginning, there’s never been a better time to look for a new phone system. Prices and functionality are better than ever. In the fight between SIP Trunking and Hosted PBX neither technology has managed to land a knockout punch. Both have benefits. Hosted PBX takes the lead on up-front price and can win over the long term too, depending on your requirements and number of users. SIP Trunking is a strong contender in all areas and does well on price for large numbers of users. Ultimately for most small to medium sized businesses the practical winner is likely to be Hosted PBX - but work with a partner you trust that can offer both solutions to help you decide.

Northern Telecom Yorkshire LimitedPhoenix HouseThe Old Church

Elland RoadLeeds

West YorkshireLS27 7TB

Telephone 0113 831 5555

www.northerntelecom.co.uk