What Is Cloud Telephony?

Do you want to save money and get more out of your current phone system? Having heard of “cloud telephony,” you may wonder if this service is useful for your needs.

Cloud telephony is where you need to be if you’ve been considering whether or not to upgrade your company’s current phone service. This article will teach you the essentials of cloud telephony, including how it works, the potential benefits to your business, and how to select a cloud telephony service provider.

What Is Cloud Telephony?

Cloud telephony is a phone service that operates using a user’s internet connection. Hosted PBX is another name for this service. You can use it to switch to cloud-based telephony for your company.

You may save time and money with cloud telephony since it scales with your company. Cloud telephony will ease the process of expanding your business, whether through opening new locations, recruiting remote workers, or adding to your existing in-house teams, and it is simple and affordable.

Unified Communications as a Service (UCaaS) includes cloud telephony. UCaaS is a unified communications paradigm that integrates many communication and teamwork software forms into one cohesive whole. With cloud telephony, you can integrate your phone calls with other parts of your organisation, like video conferencing, instant messaging, customer relationship management, and more.

How Does It Work?

For cloud telephony to function, analogue voice signals must be converted into data packets and sent over the internet. After a caller dials a number, the call is routed via a third-party VoIP (Voice over Internet Protocol) service provider. Traditional PBX systems, which can be quite expensive and require user management, are rendered obsolete by this technological solution.

At the outset, a business will choose a supplier that can supply an end-to-end telephony platform. 

Everything that goes into making, running, and maintaining the service is included here. Cloud calling service providers typically charge their consumers on a monthly subscription basis for access to their services. This structure fosters corporate agility by eliminating onerous contracts and superfluous physical equipment.

The ability to outsource maintenance is welcomed by most, but some may prefer to maintain some level of control. Because of the scalability and adaptability of cloud computing, IT departments may still make minor adjustments to the system settings through a user-friendly interface. This way, you can control all aspects of your phone system, including call routeing, extension numbers, and more.

Cloud telephony’s benefits

Some of the benefits have been briefly discussed up to this point. Let’s examine these points in further depth now…

Advantages Of Modularity And Portability

The concept of detaching phones from a specific place has been introduced previously. In addition to everyone having experience with a walkie-talkie at home, many workers will have grown up with mobile phones. However, in the business world, assigning a phone number to a physical device on an individual’s desk is still customary. However, employees today operate differently. Many workplaces now allow workers to switch desks frequently, and others encourage telecommuting. Phone numbers can be redirected to different extensions, which requires extra administrative work. Many businesses were forced to close due to the epidemic, highlighting the importance of having reliable phone systems to keep in touch with staff no matter where they may be.

Cloud telephony is the answer because it doesn’t require a separate phone line. With a cloud-based solution, calling an employee’s main office number also rings their cell or home phone. Workers can use their cell phones to make free calls within the office when they are away from their desks. They may use their cloud-based phone service just as easily while travelling abroad as at home. This helps maintain low prices and continue service to clients and outside parties without interruption.

High-Tech Improvements

On-premises telephony services might be difficult to expand if they can ever be expanded. In contrast, cloud telephony allows adding or removing functionality as needed. As we’ve seen, one of the best aspects is the ability to access services from afar.

With the help of call management services, you can keep tabs on your calls and see how they’re being used. Most service providers also offer in-depth analytics for exploring these factors.

Reports on calls, for instance, can detail how frequently you communicate with customers, how long your discussions typically last, and so on. The quality control needs of contact centres are the most obvious application for call recording. Still, it can also be useful for recording meetings so that participants can refer back to pivotal points later. Multiple voicemail boxes and other features simplify call management for businesses and their staff.

Some of these features include automated bulk SMS messaging, call scheduling, and the management of post-call surveys. Functionality, once available only to the largest enterprises, is now within reach of companies of all sizes. Thanks to cloud telephony, even the smallest startup can have access to them.

The Promise Of Unified Communication And Cloud Telephony

The increasing seamlessness of office communications is a boon to productivity. If your team can work together on a document without having to shuffle files around or need clarification about the most up-to-date version, that’s a big time saver. The advantages of cloud telephony are similar to those of integrating it with other communication technology.

To better coordinate their efforts with present and potential customers, a sales team, for example, can benefit from unified email and contact databases. It’s more convenient for workers to use a single platform, like Microsoft Teams, for all their communication needs.

Capacity To Grow And Fail Safeguards

Every company eventually grows or shrinks. Rapid expansion necessitates frequent rounds of hiring and occasional rounds of layoffs. In most cases, they only have to deal with one worker’s departure and another’s arrival. Investing in the tools that new employees need is time-consuming and resource-intensive, and having extra capacity can also be expensive. When requirements shift, someone has to make time to disconnect or add a telecom line physically. This is greatly simplified by cloud telephony. The telecommunication needs of a company can be expanded or contracted with the click of a mouse.

The use of cloud-based telephone services can also improve availability. Many companies have learned that a sudden power outage or maintenance workers digging in the wrong area outside can completely knock down your phone system. Cloud-based systems commonly use mobile communications to handle incoming calls if office phones are inaccessible. This frequently occurs before the consumers realise their phones are out.

When there are too many calls, a similar situation develops. Cloud telephony can automatically apply the rules you have set up if your organisation is inundated with calls, for example, during an annual sales event. For example, calls could be sent to a different department or an outside answering service.

Financial And Administrative Gains

No matter the service, the cost is a driving factor in most cloud migrations. Moving to cloud telephony rather than keeping an in-house phone system would likely result in cost savings for most firms. The move to the cloud eliminates the need for costly, on-premises gear. The provider is responsible for maintaining the network and will frequently update to more recent and more powerful hardware as it is in their best interest.

If you don’t keep that hardware on-site, there’s no need to worry about keeping it up to date. The cloud service provider takes care of routine maintenance and repairs, often providing more reliable service than the customer can.

In most cases, they also bring more specialised knowledge, as they have the resources to hire and retain experts in all service areas. Regarding information technology, in-house service providers generally rely on employees with broad skills.

By moving to the cloud, IT departments can free up the workforce to focus on higher-priority projects and save money by eliminating positions like “telephone guy on call” in case of a service interruption.

In most cases, cloud services are also less complicated and more straightforward to manage. A cloud service can be administered through an online interface that is simple to learn and available from anywhere, eliminating the need to go on-site to make any necessary adjustments to a wide variety of physical equipment. That means less time spent on training support employees and more time spent fixing issues and making necessary adjustments.

Consolidating your telecoms spending with a single managed service provider offers additional savings over using a different carrier in each region due to economies of scale. Calls made on the company network between offices in other regions are likewise free, saving money for the company.

Problems With Cloud Phone Systems

Although it may seem like every company is transferring their operations to the cloud, some still would rather handle service management in-house. Even though cloud telephony offers many benefits, there are still challenges to consider.

Internet Dependency

Cloud telephony, for instance, makes more use of the internet. The service only needs a little storage space. A regular home connection may easily provide the 100 kbps bandwidth needed for each phone line. Video streaming, however, can be extremely resource-intensive and gobble up your bandwidth. Similarly, cloud telephony relies on a reliable Internet connection. User frustration will rise in the event of frequent outages or bandwidth reductions. Cloud telephony is not likely to work well if you are in an area with spotty internet service.

Software Integration

Second, cloud-based infrastructures have the same integration issues as any other software. For instance, Microsoft Teams Calling is useless for businesses that don’t use Teams because it requires consumers to have Teamed. This isn’t a knock against cloud telephony, but it should make you extra careful when picking a service.

Integrating your platform with your other critical software will maximise its usefulness. Future adjustments that may be in the works should also be considered. Knowing whether or not your customer relationship management system is due for replacement is crucial if your cloud telephony service is to integrate with it.

Integration Of Hardware

Third, thanks to cloud telephony, you may still need to invest in certain gear even if you won’t be responsible for managing your own PBX. For instance, you may need to upgrade your current phones to be compatible with your employees’ computers.

Difficulty Of Migrating

Finally, the complexity of cloud migration is a concern for certain companies. The larger the company, the more complicated the relocation process. Users at various locations may have varying needs and restrictions. Call recording, for instance, may be mandated by law in some of a multinational corporation’s operating jurisdictions. Users in the corporate headquarters might want something other than this but might require a different set of services.

However, this is another important reason for picking the appropriately managed service provider. The first step towards a smooth transfer is careful preparation when individual user requirements are identified and documented. This ensures that any potential roadblocks are quickly detected. The proper partner will have been through it all before, and they can use their expertise to help make sure everything goes smoothly.

Conclusion

Cloud telephony is a phone service that operates using a user’s internet connection, also known as hosted PBX. It can save time and money by scaling with your company, allowing for easy expansion through new locations, remote workers, or in-house teams. UCaaS, or Unified Communications as a Service (UCaaS), includes cloud telephony, which integrates various communication and teamwork software forms into one cohesive whole.

Cloud telephony works by converting analogue voice signals into data packets and sending them over the internet. After a caller dials a number, the call is routed via a third-party VoIP service provider. This technology eliminates the need for expensive and user-management-intensive PBX systems.

Cloud telephony offers modularity and portability, allowing employees to use their cell phones for free calls within the office and abroad. This allows for low prices and uninterrupted service to clients and outside parties.

High-tech improvements include the ability to access services from afar, call management services, and in-depth analytics. Call management features, such as automated bulk SMS messaging, call scheduling, and post-call surveys, simplify call management for businesses and their staff.

Unified communication and cloud telephony can improve productivity by allowing teams to work together on documents without having to shuffle files or need clarification. This can be particularly beneficial for sales teams, who can benefit from unified email and contact databases. Cloud telephony offers numerous benefits for companies, including convenience, growth and failure protection, and cost savings. It eliminates the need for costly, on-premises equipment and provides routine maintenance and repairs. Cloud service providers also bring specialized knowledge and can free up IT departments to focus on higher-priority projects.

However, there are challenges to consider when transitioning to cloud telephony. Internet dependence is a major concern, as cloud telephony relies on a reliable internet connection. Software integration issues are common, and it is crucial to integrate the platform with other critical software to maximize its usefulness. Hardware integration may also be necessary, as cloud telephony may require upgrading current phones to be compatible with employees’ computers.

Migration is also a challenge for some companies, as the larger the company, the more complicated the relocation process. Users at various locations may have varying needs and restrictions, and the proper managed service provider can help identify and document individual user requirements to ensure a smooth transfer. By choosing the appropriate managed service provider, companies can benefit from a more efficient and cost-effective communication solution.

Content Summary

  • Cloud telephony is a phone service that operates using a user’s internet connection.
  • It is also known as hosted PBX and offers a switch to cloud-based telephony for businesses.
  • Cloud telephony is scalable, making it easy to expand your business or add remote workers.
  • Unified Communications as a Service (UCaaS) includes cloud telephony, integrating various communication and teamwork software.
  • Cloud telephony converts analogue voice signals into data packets and routes calls through a VoIP service provider.
  • Traditional PBX systems are rendered obsolete by cloud telephony’s cost-effective and user-friendly solution.
  • Businesses choose a supplier that provides an end-to-end telephony platform, including maintenance and service.
  • Cloud telephony service providers typically charge a monthly subscription fee for access to their services.
  • IT departments can make minor adjustments to the system settings through a user-friendly interface.
  • Cloud telephony offers advantages such as modularity, portability, and the ability to redirect phone numbers.
  • Workers can use their cell phones to make free calls within the office and use the service while traveling abroad.
  • Cloud telephony allows for easy expansion or removal of functionality as needed.
  • Call management services and in-depth analytics help businesses track and optimize their calls.
  • Cloud telephony brings high-tech improvements like call recording, automated messaging, and post-call surveys.
  • Cloud telephony can be integrated with other communication technologies for seamless office collaboration.
  • Cloud telephony allows companies to easily scale their telecommunication needs and provides fail-safe measures.
  • Moving to cloud telephony eliminates the need for costly on-premises equipment and simplifies maintenance.
  • Cloud services often bring more specialized knowledge and provide more reliable service than in-house solutions.
  • Cloud services are less complicated to manage, with an online interface for easy adjustments.
  • Consolidating telecom spending with a single managed service provider offers additional savings.
  • Some challenges of cloud phone systems include internet dependency and reliance on a reliable internet connection.
  • Integration with other software and hardware may be necessary for optimal functionality.
  • Cloud migration complexity increases with larger companies and varying user needs and restrictions.
  • Careful planning and selecting the right service provider can help overcome migration challenges.
  • Cloud telephony offers financial benefits by reducing costs associated with on-premises systems.
  • Cloud-based systems are easier to manage and free up IT resources for higher-priority projects.
  • Cloud telephony offers administrative gains with online interfaces and centralized management.
  • Cloud telephony helps businesses maintain communication during power outages or disruptions.
  • Cloud telephony allows for automated call routing during high call volumes or specific events.
  • Cloud telephony supports high-tech features and functionality accessible to companies of all sizes.
  • The cost is a driving factor for most companies considering a switch to cloud telephony.
  • Internet connectivity and bandwidth are crucial for reliable cloud telephony service.
  • Integration with other software and platforms maximizes the usefulness of cloud telephony.
  • Upgrading hardware may be necessary to ensure compatibility with cloud telephony services.
  • Cloud migration can be complex, especially for larger companies with diverse user requirements.
  • Careful planning and partnering with the right service provider can facilitate a smooth migration.
  • Cloud telephony provides modularity and flexibility to meet changing business needs.
  • The ability to redirect phone numbers simplifies administrative work in dynamic work environments.
  • Cloud telephony allows employees to use their cell phones for office calls, enhancing mobility.
  • Call management services and analytics provide insights into call patterns and customer interactions.
  • Cloud telephony integration with other communication technologies enhances productivity.
  • Scalability and fail-safe measures ensure businesses can adapt and maintain communication.
  • Cloud telephony eliminates the need for on-premises equipment and reduces maintenance efforts.
  • Cloud services bring specialized knowledge and reliable support, surpassing in-house capabilities.
  • Cloud services offer user-friendly interfaces for easy management and adjustments.
  • Consolidating telecom spending with a managed service provider results in cost savings.
  • Reliable internet connectivity is crucial for uninterrupted cloud telephony service.
  • Integration with other software and platforms maximizes the benefits of cloud telephony.
  • Upgrading hardware may be necessary to ensure compatibility with cloud telephony systems.
  • Careful planning and partnering with the right service provider facilitate a smooth migration to cloud telephony.

FAQs About Cloud Telephony

Can Existing Phone Numbers Be Used With Cloud Telephony?

Yes, existing phone numbers can usually be ported to a cloud telephony provider. This allows businesses to maintain their current phone numbers while leveraging the benefits of cloud-based communication.

Is Cloud Telephony Secure?

Cloud telephony can be secure when appropriate security measures are in place. Reputable providers implement encryption protocols, secure data centres, and compliance with industry standards such as HIPAA or GDPR, depending on the specific requirements of the organisation.

What Equipment Is Needed For Cloud Telephony?

Cloud telephony typically requires minimal equipment. Users can make and receive calls using devices connected to the internet, such as computers, smartphones, IP phones, or even traditional phones with adapters or IP capabilities.

Can Cloud Telephony Be Integrated With Other Business Applications?

Yes, cloud telephony can be easily integrated with other business applications such as CRM systems, helpdesk software, or productivity tools. This integration enables businesses to streamline workflows, enhance customer experience, and gain insights from call data.

How Can I Choose The Right Cloud Telephony Provider For My Business?

When choosing a cloud telephony provider, consider factors such as reliability, scalability, pricing, available features, security measures, customer support, and integration capabilities. It is also helpful to read reviews, compare multiple providers, and assess their track record in the industry.

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