Why are businesses turning to SIP for success?

Posted on January 14, 2016

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You may have heard of SIP (Session Initiation Protocol) and SIP trunks before. The technology, which facilitates calls through data networks rather than the public switched telephone network (PSTN), is becoming popular among businesses. But is it right for yours?

What are SIP trunks?

SIP trunks are a simple way to merge video and data calls into a single system. SIP allows people to make and receive IP telephony calls from any location and easily identify themselves to clients and colleagues.

Users can also make calls to the public telephone network, more commonly known as landlines or mobiles, which many traditional Integrated Services Digital Networks (ISDN) do not offer. It also enables Voice over Internet Protocol (VoIP), making video conferencing much easier and more reliable. 

According to a research paper by Gartner, SIP trunk solutions can cut traditional telephony costs by up to 50 per cent, thanks to a reduction in facility and line charges, call rates, and project implementation costs.

But price isn’t the only reason businesses are adopting SIP trunking solutions:

  • With the decommissioning of ISDN and legacy technology globally by 2025, many businesses are implementing their alternatives now
  • SIP trunks offer flexibility and scalability to meet business requirements, like being able to handle a temporary increase in call volumes
  • There’s added resiliency, achieved from built-in redundancies to your network architecture and business continuity options, reducing the impacts of an outage

Transparency Market Research finds that the SIP trunking market is growing every year and is expected to reach $20.7 billion by 2024. The use of SIP services will be more prominent in nearly every industry, including financial services, telecommunications, healthcare, and government, propelling the SIP market globally.

So what needs to be considered before implementing SIP? 

There are three factors you should keep top of mind. 

1. Security concerns

It's critical to use a provider that offers best-in-class security measures. At Vocus, our core voice infrastructure is secure and highly redundant.

We achieve this by maintaining a high standard of access control, monitoring and reviewing all calls made, and securing your SIP trunk connection with a private network.

2. Level of support

Too often, people don’t care about what type of support their provider offers until something goes wrong. Before choosing a SIP provider, understand what their support hours are, what type of access you’ll have to your account manager, and where service is based.

At Vocus, we offer 24/7 Australian-based support and local provisioning teams, so that no matter when you need us, we’re there for you.

3. Cost concerns

Pricing may be a concern, but most SIP providers offer pay-per-use models, resulting in lower charges than traditional ISDN services and paying only for what you use without sacrificing quality.

Think SIP may be right for your business? We’d love to help. 

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