Benefits of On-Premise VoIP

By Sheila Shanker

Benefits of On-Premise VoIP

When you’re in the market for VoIP systems, you have the choice of a host or an in-house, on-premise setup. Hosted solutions involves a third party managing the phone system and can be a good choice for many firms. Businesses that opt for on-premise systems own and maintain all equipment, such as the IP PBX, routers and cables.

On-premise VoIP systems are generally selected by large firms that have technical skilled staff to take care of the equipment on a daily basis. The system is not that complicated, using the Internet as a connective medium, but the technology is relatively new, requiring specific technical knowledge.

The main advantage of an in-house setup is that the business retains the maximum amount of control. Usually hosted providers only offer certain functionalities, imposing limitations on the services available, but with an on-premise setup, you have much more flexibility to change and customize VoIP functions, especially administrative functions. Upgrades can be performed immediately and internally. An open-source system, which is used by many on-premise situations, can facilitate in-house customizations and other individualized features.

Another benefit of an on-premise VoIP system is increased security. When you have a third-party handling your calls, there is the risk of having someone eavesdropping on confidential conversations. This risk is greatly decreased by using an in-house system. Once the Internet is used, there is always the risk of viruses and other malware infecting your network system, and by keeping it all centralized in one place, it’s easier to control and prevent this problem.

An on-premise VoIP system is usually more expensive upfront, but the monthly fees are less costly, avoiding pricey service-level agreements. .

With an internal VoIP system, the IT staff becomes experts in the system with the ability to maintain and troubleshoot equipment and program without requiring a third party involvement and possible delay and inefficiencies.

Disadvantages of an on-premise VoIP system are the initial costs for expensive equipment, which is usually prohibitive to the small business. Ongoing maintenance costs and operational expenses may also be too much for a few businesses, which have to keep and pay IT personnel with specialized skills. Some businesses don’t want the risk of purchasing an expensive system, and it not working as expected.

Overall, the on-premise system works well for many large firms that prefer to have more control over their phone systems. The advantages are very appealing, especially if the firm has technical brain power that can work and customize the phone setup.

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