Voice over Internet Protocol (VoIP) is changing the way that businesses manage expenses for integrated communication services. Traditional telephone services, also known as Plain Old Telephone Services (POTS), are built on aging copper wire infrastructure with limited data transfer speeds.

VoIP uses a cloud-based platform, connecting users through newer Internet infrastructure, which offers much faster data transfer speeds. Though POTS infrastructure does have some advantages over faster data transmission lines like fibre-optic cables (such as their ability to remain

in service during a power outage), more and more businesses are taking advantage of the enhanced call quality and the variety of services associated with VoIP subscriptions. Moreover, there are significant financial incentives involved in upgrading traditional telephone services to VoIP services.

The average savings businesses see after switching to VoIP range between 50% to 75%. While the amount of savings can vary greatly by case, 99.99% of customers see a reduction in their phone expenses. Not only does VoIP present cost savings and enhanced services, it also reduces risk by changing telecommunications expenses from a CAPEX (capital expenditure) model to an OPEX (operating expenditure) model. POTS requires upfront investment in the acquisition of a PBX system – the standard business communication hardware for all routing and internal communications – as well as the associated maintenance costs.

With ENACCS VoIP our PBX is cloud-based and upgraded for free by us. Customers need only pay a monthly subscription fee and can use existing telephone and computer infrastructure to make voice calls. This shift from CAPEX to OPEX reduces overall costs and risks associated with capital depreciation.

Transitioning to VoIP also reduces the risk of exposure to the sunset of POTS services and the increasingly stranded POTS infrastructure assets. Because POTS subscriber levels are declining, the costs of maintaining existing infrastructure will fall on a smaller number of companies, which will likely lead to higher POTS service costs in the future.

There are also signs that the FCC could eventually phase-out POTS services altogether due to unsustainable costs. Companies that delay in transitioning could shoulder a disproportionate amount of the costs of maintaining this aging infrastructure.

Our VOIP Telephony Service is so clear you’ll think the person on the phone is sitting next to you.