One of the benefits of setting up a hosted VoIP service instead of purchasing and maintaining your infrastructure is that it’s far cheaper to do the former. Keep in mind that we’re not just talking about the bare hardware costs, including the servers, etc. but also the resources involved in setting them up, configuring, updating, and maintaining them. We’re talking salaries, room space, HR overhead, and possibly a big distraction from the core functionality of your business. Outsourcing your VoIP system to a professional third party takes all these headaches off your hands.
Capital expenditure definition, It means that in the course of doing business, various situations occur that mandates either the upgrading of equipment, move to larger quarters, and further research and development. However, this doesn’t mean that there are no expenses involved at all. To start with, you need communication devices that are capable of connecting via the Internet. True, your computers can always double up for this functionality, but that’s not what they’re meant for after all. And not everyone has a smartphone with data ready plans which can instantly hook up to your new VoIP system. The fact of the matter is, you’re going to have to change all the regular landline phones you currently have in one way or another for them to continue working as they did before.
There are two ways to go about this. The proper way is to replace them entirely with VoIP phones, which are Internet-ready and have an ethernet port behind them just like a computer would. It is a computer with its operating system, which has been modified to take on the shape and functionality of a phone. These phones are somewhat more costly than their regular counterparts. Some ITSPs have discounts when you sign up with them, which will help ease the transition to these new devices.
The other alternative is to use what we call “Analog Terminal Adapters” or ATAs. These nifty boxes accept as an input the regular wires which lead out of a standard telephone system. On the other end, ethernet ports can connect it to any router. What it does is it intercepts the analog phone signals, converts them to VoIP ones, and vice versa. Your phone thinks it’s still connected to a telephone company, and your routers believe they are talking to a VoIP phone.
This solution can be cheap but doesn’t really take advantage of all the features which VoIP offers. After all, those features are probably even more important than the cost savings – so many companies view this as a temporary measure until they’re able to outfit all their employees with VoIP phones.
Apart from that, there’s really no capital expenditure involved. The software configurations are so easy to use that anyone can do it. And that, in the end, is the real strength of hosted VoIP.