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Three Ways SIP Trunking Saves Money and Improves Business Performance

May 19, 2016
Three Ways SIP Trunking Saves Money and Improves Business Performance

Trunks are used to connect a company’s phone system with the outside world. Currently, there are two very different types of trunk connections being utilized by most businesses: traditional and broadband access. Although many companies integrate internal voice and data connections through internet protocol (IP) wide area networks (WAN), copper T1 lines are still employed for external communications. However, connecting through a public switched telephone network (PSTN) is swiftly becoming obsolete, with Session Initiation Protocol (SIP) trunking emerging as both a cost-effective and performance enhancing alternative to old-style voice communications.

The business advantages of SIP trunking revolve around the potential savings that can be introduced and the superior quality provided by making the change to an all-IP communication mainstay. The following three advantages are only a few of the ways SIP helps reduce operational expense while improving quality.

Cost Reductions

According to Gartner, enterprises are transitioning to SIP in order to reduce telecom costs by approximately 30-50 percent. This significant reduction is possible because call control assets are centralized, creating a single network to manage.

Moreover, rather than having to purchase a full set of primary rate interface (PRI) channels like with traditional integrated digital services network (IDSN) trunks, with SIP trunking companies can purchase only the number of sessions required for their specific needs. However, providers can offer additional call capacity on demand with “bursting” options. The need for over-provisioning to cover temporary surges or volume peaks is eliminated, along with its cost.

Improved Performance

SIP trunking facilitates localization that eliminates duplicate private branch exchanges (PBX) and multiple management and maintenance agreements. Customers call a local number and reach a centralized system that transfers calls more efficiently.

By utilizing the power of Voice over Internet Protocol (VoIP), a centralized session boarder controller (SBC) device dictates the signaling streams involved to efficiently route call traffic and control outbound caller ID display.

Enhanced Security     

With data protection and information compliance regulations constantly expanding, SIP offers enhanced security against unwanted solicitations, eavesdropping, or similar malicious theft. Businesses benefit from increased protection through available user authentication requirements, privacy encryption, and other attacks.

Making the transition to SIP provides enterprises with actionable methods for improving profitability and offers a rapid return on investment through reduced costs, improved performance, and better security and network controls. Contact us today to find out more about how to make the switch to SIP trunking.

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