So what's VOIP got that old landlines don't?

How can a hosted VOIP telephone system benefit a business? That is the question many businesses are asking. Should they be switching from a traditional landline system to an Internet-based telephone network?

Since the long forgotten days of the old telegraph wires, we've survived just fine with the traditional landline system. Some would say if it isn't broken, then don't fix it. Others assert that change is a positive and necessary thing. But the fact remains that communication systems are evolving at an expeditious rate now, and with the ever-growing use of software, like Skype, wireless is fast becoming the way to connect people. But what advantages does hosted VOIP actually have over the old-style landlines?

"VOIP takes the voice from one end of a telephone, encodes the information and transforms it into digital packets, and transmits it over the Internet. This data is then converted back to an analogue signal before it reaches the phone receiver on the other end of the call. Because there is a lot less hardware involved in this process compared to old landlines, more and more businesses are finding hosted VOIP to be more simple and cost-effective," says Mitchell Barker, CEO of www.whichvoip.co.za.

Possibly the most appealing aspect of a VOIP telephony system is the amount of money that businesses save on their phone calls. Another benefit is that additional new business phone numbers can be added at very low costs, and this can be done in a matter of a couple of hours. "The days of waiting up to 30 days for telephone service providers to deliver a new number are fast becoming extinct," says Barker.

In addition, VOIP handsets are not tied down to one location either, unlike landline telephones. As long as there is Internet access, the phone can be used from any location, and retains the same telephone number wherever it is being used. This is especially useful for employees who work from home and/or varying locations. And if you have a soft phone - VOIP software that runs directly on your computer - you don't even need a separate handset, all you need is a laptop and a WiFi connection, and your phone number will be fully operative - a great advantage to those who need to work while on the move.

"VOIP phones also have a range of features, such as call divert and transfer, conference calling, voicemail, call recording, and voice-to-e-mail messaging," Barker adds. "So, to go back to the original question posed, it's clear that VOIP has made significant improvements on the old phone systems that businesses have relied on for over a century."

With the VOIP growth just starting to boom now, it seems like the ideal time for businesses, large and small, to take advantage of the huge savings that can be made, and stay ahead of their competitors.