What are VoIP and a cloud phone system?

VoIP and cloud phone system: definition

With Voice over IP, speech is digitized and transmitted in data packets over the network. Network operators in Germany have largely converted ISDN and analog lines to all-IP, which has made VoIP the standard for business telephony. A phone system connects calls, assigns extensions and offers features such as hold queues, call forwarding and voicemail.

In the past, the system was a device in the equipment room. With a cloud phone system (also hosted PBX or UCaaS), it runs in the provider’s data center and is used by subscription. Employees phone using IP desk phones, an app on their smartphone or a softphone on the PC—with the same number, in the office and at home.

Features and requirements

Modern systems go far beyond making calls. They combine voice, chat and video conferencing and can be linked to other applications. A prerequisite is a stable network infrastructure, because voice quality depends on the connection and on prioritization, and without internet there is no telephony either.

• Phone numbers, extensions, hold queues and ring groups
• Voicemail with forwarding of the message by email
• Softphone and app for home office and on the go
• Integration with CRM or Microsoft Teams
• Sufficient bandwidth and prioritization of voice traffic (QoS)
• Wired desk phones powered via PoE

Real-world example: a tax firm with two sites

A tax consultancy with two sites and 18 workstations still runs an old ISDN system that has to be moved to an all-IP line. Instead of buying a new system, it opts for a cloud phone system. Both sites use the same system, the phone numbers are kept, and client calls land in the right group.

At home, employees take calls with the app without revealing their private number. If the internet fails at one office, calls are automatically redirected to mobile phones. The firm pays per user on an ongoing basis but saves the purchase, maintenance and care of its own telephony server.

Benefits, limits and common mistakes

Cloud telephony is flexible, grows with the company and connects sites and home offices without extra equipment. Changes such as new extensions are made by the administrator in the browser. Limits: telephony depends on the internet. If the line fails, the phone fails too, unless there is failover such as a second line or a mobile backup.

Typical mistakes are network equipment that is too weak, Wi-Fi instead of cable for desk phones, missing prioritization and an incomplete number port. Also to be considered are emergency calls, which must assign the location correctly, and data protection: call recording is only permitted with the consent of the participants, and a data processing agreement is required for the provider. This article does not replace legal advice.

Planning the switch

Check the line, bandwidth, cabling and existing phones in advance, and plan number porting in good time. Nano Concepts accompanies the change from provider selection through network preparation, setup and training to go-live, together with partner teams for installation and cabling on site. On request, connections to CRM or a ticketing system are built as well.