What is SIP Trunking?

SIP trunking refers to the Voice over Internet Protocol (VoIP) as well as streaming media service. This platform utilizes the Session Initiation Protocol (SIP) that Internet telephony firms use in delivering phone services and unified communications to clients equipped with SIP IP-Private Branch Exchange (PBX). The web takes the place of traditional phone trunk enabling business operators to communicate freely with landline and mobile phone subscribers.

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SIP belongs to the Internet Engineering Task Force (IETF) standard for setting off interactive multimedia user conferencing. Trunk indicates the link or line that carries multiple signals promptly and connects major switching hubs or nodes within a particular communications system. The business user needs a PBX connected to all internal end-users, ITSP, and gateway functioning as an interface between this ITSP and PBX. Subscribers can perform the following tasks through SIP.

  • Make and receive local as well as long-distance phone calls
  • Make emergency (911) calls
  • Gain access to directory assistance
  • Browse the Internet
  • Used stationary and mobile devices
  • Use emails and SMS

 

Pricing

The SIP trunking price depends on various factors including installation and equipment, monthly fees, and provider. Certain providers charge an upfront fee for setup. Other companies choose to charge higher monthly installments and forego the outright fees. Users can look forward to a minimum of $50 up to $250 upfront payment. You may incur extra costs for local number portability (LNP) or get new numbers. Ask the provider to transfer old numerals to your trunking system. The value of porting ranges between $12 and $25 for every integer.

You also need to pay extra (one-time fees) if you decide to have Direct Inward Dial (DID) numbers so all office personnel will have individual phones. Expenses for implementation of trunking differ. Business users with the legacy PBX must lease or buy a VoIP or PSTN gateway device to modernize your system by linking it to the cloud. The gateway also called integrated Access Device, or IAD connects directly to the PBX. Users with IP-enabled PBX systems need not procure additional hardware. Pay only for minutes and channels utilized.

The trunk comes with 24 different channels. Customers can choose the number of channels for their needs. You do not pay for the other 16 if you only require eight channels. More outlets mean higher call capacity. The flexibility to add or remove these conduits enables you to scale up and down leading to cost-efficient management of communications platforms. Trunking expenses vary according to the number of trunk groups. The typical fee ranges anywhere from $10 up to $50 monthly. Some companies provide unlimited calling (outbound) to specific countries.

Several trunk providers offer metered and channelized plans. Metered allows users to opt for minute payments (inbound and outbound). This method suits an enterprise that needs flexibility in making calls every week. Channelized or unlimited packages fit businesses preferring a regular and foreseeable monthly billing. Many companies charge between 10% and 30% less for long distance as well as international calls.

 

Bandwidth

Trunks (virtual telephone lines) mean the provider routes calls over the Internet. Users will require extra bandwidth depending on the number of necessary lines or simultaneous calls that call for support. You may compute bandwidth by multiplying the number of real-time calls during peak hours X 85 Kilobits/second. The result equals to the bandwidth in MBPS or megabits/second for communications support.

 

Several Advantages

Session Initiated Protocol trunks employing hosted Voice over Internet protocol services or opting to connect right away to the cloud produces both benefits and drawbacks to the business user. These factors depend primarily on the company’s size, scope, and location. Some of the upsides include:

The trunking configuration helps the company with multiple locations. It facilitates straightforward management of communications with a single centralized platform on an exclusive network. Such an approach leads to less complexity and more savings. Users need not use up a lot of resources to deal with various systems in several places. The trunk costs less compared to standard telephone connections. You can also request one bill that applies to multiple sites.

Users maintain flexibility in calling. You pay a flat rate regardless of the origin of the area you call from or call to any place. Optimize the usage of bandwidth by routing it to voice and data. Session Initiated Protocol trunks utilize the latest sophisticated form of technology. You can quickly adjust or upgrade as existing technologies improve. Regarding speed, the virtual phone line process calls faster than the PBX system. Sip trunks also ensure quicker ring-bank along with time to ring. In other words, you save on bandwidth and spend less time on the Internet for each call.

 

Some Downsides

The device may still need the PBX type of telephone. In short, you still need to cope with elevators as well as wired alarm systems. Most of the time, the old-style fax that uses modems often encounter problems associated with SIP trunking. The system can crash which will result in loss of communications if you only have one connection in place for several locations without any backup.

Emergency service disadvantage has remained an issue for several years. Emergency services staff may find it difficult or fail to identify your location during an urgent situation in case you have SIP or outsource to a VoIP service firm. Knowing the extent of this problem, a few service providers installed E9111, and the technology started to improve. Another issue relates to security.

Cybercriminals can take advantage of one layer of protection that will easily allow them to breach your enterprise information including personal or financial data. You need to acquire and maintain powerful anti-virus along with authentication to prevent hackers from accessing your system.

 

Reducing Communications Expenses

With the emerging popularity of the VoIP protocol, providers have come up with a variety of packages, pricing, and other perks to help business owners enhance their current phone systems. These come in the form of call plans and features as well as trunking options at economical rates. The SIP platform can reduce the user’s monthly phone bill significantly. Adaptability and scalability offset the expense of migrating to the Session Initiated Protocol trunk.

Now you have seen the functions, features, positive points, and negative aspects of this platform. You can determine if trunking makes sense. As technology facilitates the shift towards Unified Communications, smart entrepreneurs will realize the long-term benefits of said protocol. Besides, you need to adopt this kind of tools and applications to stay competitive in a forward-looking business environment. Otherwise, you may lose a fair share of your market with obsolete communications equipment.

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