VoIP and landline are two communication systems, but the question is which is better for business communications. This decision can be taken keeping in mind the features, reliability, cost difference, business requirements etc.
Previously landline/ desk phone was used widely for communication, but with the advent of smartphones, a landline is losing its worth. The internet has transformed phone services. The advancement in technology changed the way businesses used to work decades ago.
This article will compare the costs, functionality, features, reliability, flexibility, scalability, and more. Let’s dig into it!
What is VoIP Technology?
VoIP is an acronym for Voice over Internet Protocol. It is also referred to as internet calling or IP telephony. It is a modern telephony service used to make or receive calls over the internet through computers, smartphones, tablets, desk phones or laptops.
VoIP is also considered a disruptive technology; because it incorporates the latest features and new ways of working for better productivity and smooth workflows.
It works on packet data technology; when you speak, your voice is turned into digital signals that are compressed and converted into data packets. These data packets are sent over the internet to the person you call. At the other end, they are uncompressed and turned into voice signals again.
There is a robust app named VoIP Business. It is an all-in-one cloud-based business phone system that offers all the latest features your business needs.
Pros and Cons of VoIP
VoIP technology quickly gained popularity because it is cost-effective, easy to use and accessible. Still, VoIP is not suitable for those who do not have a reliable internet connection.
Pros
- Low cost
- Easily scalable
- Reliable
- Call analytics
- Flexibility and mobility
- Allows remote working
- Call routing
- Disruptive Technology
- Call flipping
- Multi-channel communication
- Offers integration
- Better security and a lot more
Cons
- Internet outages
- Audio quality because of low-speed internet.
- Internet dependent
- Difficult to track call location
What is Landline?
Landline, invented in 1876, is known as Plain Old Telephone Service (POTS). It is a traditional phone system that consists of hardware and copper wires. Since its invention, it didn’t change much. Landline is based on analogue technology; it converts voice into electrical signals; these electric signals are sent through copper wires to the telephony service office, where they have converted into voice signals again and sent to the person you call.
Pros and Cons of a Landline system
Pros
- Managed customer support
- Upfront hardware costs
- Long-term service contract
- Better sound quality
- Reliability
Cons
- Expensive phone system
- Spam calls
- Premise-based phone
- Outdated technology
- Expensive scaling
- Lacks advanced features
- Single channel communication
- Limited phone numbers and lines
A Quick Comparison: VoIP vs Landline
A side-by-side comparison between VoIP and Landline.
Difference between VoIP and Landline:
| VoIP | Landline | |
| Connection | Cloud-based phone system | Premise-based phone system |
| Communication Channels | Over the internet | Through wires or physically connected circuits |
| Features | Diverse options for communication such as Messaging, Voice calling, Video conferencing etc. | Limited to voice calls only |
| Equipment | VoIP offers a wide array of features such as, Call routing, Call queues, Integrations, Visual voicemail, Automated callback, Auto-attendant, Voicemail transcription and a lot more | Limited features such as Call Transfer, Call hold, Voicemail, Caller ID, Call recording |
| Cost | No equipment is required except internet connection or any device like computers, desk phone, smartphones etc, quick and easy installation | Hardware is required |
| Technology | Cost effective | Expensive |
| Flexibility and mobility | Latest cloud-based technology built on SIP platform with advanced features | Old telephony |
| Integrations | Any device can be used as a VoIP phone such as smartphones, computer, desk phone, tablet used anywhere and allows remote working | Can be used withing office premises, therefore, does not allow remote working.Available devices: landline/desk phone |
| Number of calls | Provides integrations | with No integrations |
| International calling | Unlimited number of calls, | Limited number of lines and phone number |
| Sound quality | unlimited international calling | Expensive international calling |
| Customer support | Sound transmission can be delayed or disrupted with internet outages causing latency and jitter | Best sound quality |
| Scalability | Customer support not required | Customer support required by a skilled professional |
| Easily scalable, you can add and remove users with ease | Difficult to scale, requires upgradation |
The prominent differences between both phone services include the following:
Technology
The major difference between VoIP and Landline is that VoIP is cloud-based technology based on the SIP platform. With VoIP, phone calls can be made over the internet, whereas Landline uses copper wires for sound signal transmission. This data transmission is limited because copper wires can transmit a certain amount of data, and then they need to be reset, thus causing call drops or other problems.
Fibre optic cables are more efficient and faster than copper cables.
VoIP uses packet data technology, whereas Landline uses analogue technology. In other words, we can say this is the comparison between new and old technology.
Costs
The downside of Landline is that it is expensive compared to VoIP. Landline is expensive because it needs hardware, equipment (hubs, switches, adapters, routers, phone set, PBX system), maintenance, and high installation costs, like rent. Moreover, it uses copper cables for data transmission, which are way too expensive. If you are using a landline for business, having multiple lines, it will cost you too much. International calling is also costly with Landline.
VoIP does not require hardware, copper cables, or other expensive equipment, which is why it is affordable and cost-effective. International calling will cost you almost nothing.
Security
With VoIP, data is stored within the cloud and cannot be accessed without permission/verification. It provides.
- End-to-end encryption.
- Two-factor authentication and password protection.
- 24/7 network monitoring.
- Real-time notifications of security issues.
Thus you can avoid data loss or hacking. Although there are security checks, it does not claim a 100% secure system.
Flexibility
Landline is location specific; to use this phone service, you must be in the office.
With VoIP, you can make calls from any device, such as a desk phone, smartphone, computer, laptop, tablet etc. You can make calls worldwide and continue your business operations away from the workplace. For business growth, businesses need to communicate globally, and most modern businesses now allow remote working after the COVID-19 pandemic. VoIP allows remote working and overseas calling and a flexible workforce that is not limited to offices. With VoIP, you can use office phone numbers if you work remotely.
Scalability and Maintenance
VoIP offers more scalability than a landline. If the business grows, you can easily add more lines with VoIP; they can easily be upgraded and maintained. With VoIP, you may solve your problems related to the phone system.
With Landline, you need to install more physical connections, which can be costly and requires upgradation. With Landline, you need help from a skilled professional for maintenance or upgradation.
Equipment
For VoIP, a fast and reliable internet connection is mandatory. Call quality and reliability are reliant on an internet connection. Along with the internet, you need to have a smartphone, computer, laptop, specified VoIP phone, or tablet to be used as a VoIP phone. There are no upfront hardware costs or installation fees. One app is sufficient to provide all the services.
For Landline a, solid hardware is required, which has upfront costs. Landline is expensive because it needs hardware and equipment (hubs, switches, adapters, routers, phone set, PBX system).
Integration
VoIP provides many integrations with other applications to boost efficiency. You can easily integrate the VoIP phone system with existing Customer Relationship Management (CRM) software and other apps such as Outlook, Google Calendar etc.
Landline being an old telephony system lacks integration.
Emergency Service
Earlier, VoIP did not support emergency calls because VoIP Phone is not location dependent and can be accessed from any device.
Thus, 911 dispatchers could not send the emergency service to the exact location, as the address was missing during the call.
After evolution, E911 calling is enabled by most VoIP providers, but make sure from your VoIP service provider. VoIP Providers need the address when the account is being made and allow you to update it as necessary. The risk is still there; you cannot make an emergency call if your phone loses power or experiences an internet outage. Suppose you are away from home and forgot to update your address. In that case, emergency personnel might not be able to reach you until you provide information about the location verbally over the call.
On the other hand, landlines are basic and easier to use for emergency services. A traditional landline is easily traced to a specific location, making it easy for dispatchers to know your location without verbal confirmation automatically.
In this case, landlines are the best choice. While VoIP has come a long way in enabling emergency service calls, landlines still win out for their simplicity and reliability in this aspect.
Audio Quality
VoIP provides high sound quality if it is properly configured and has a fast internet connection. In an internet outage, the sound quality may be affected and cause jitter and latency. You can resolve this by choosing the best VoIP provider.
The sound quality with Landline is also good, but sometimes it may cause noise and time lag during conversations.
Reliability
VoIP is less vulnerable to interruptions due to weather conditions or other factors, thus ensuring more reliability than Landlines. Some VoIP providers claim 99% uptime.
Landline is also considered dependable and consistent. The landline may be affected if there is an outage at one location.
Communication Channel
VoIP offers a wide array of communication, such as messaging, voice calling, video conferencing, and visual voicemail, whereas landline is only limited to voice calls.
Ease of Use
VoIP is very easy, whereas Landline is not that easy, especially when you have multiple extensions or need to make international calls.
Advanced Features
VoIP offers a wide range of advanced features, which traditional telephony lacks. These features include the following aspects:
Voicemail to text transcription
Video conferencing
Integration
Virtual receptionist/assistant
Call analytics
3-digit dialling
Visual voicemail
Online call recording
Call queues,
Call flipping,
Call routing
Automated callback and a lot more
You can avail of many of these features with Landline, but an expensive PBX setup is required to support these advanced features. Also, you need to pay an additional price per feature per month.
Landline offers basic features that include:
Call transfer
Call hold
Voicemail
Caller ID
Answering Calls
Available Devices
VoIP is not compatible with non-digital phones/old phones. Any latest devices can be used as VoIP Phones, such as smartphones, dedicated VoIP phones, computers, desk phones, and tablets.
Who wins?
VoIP is undoubtedly perfect for catering to your business needs, such as reliability, scalability, flexibility, and affordable advanced features. It will be very difficult to find any major downside in VoIP systems because the latest internet connections are fast and reliable enough to keep the VoIP Phone systems running seamlessly.
If you haven’t thought of switching phone technology, it is the right time to switch from old telephony to VoIP, enhancing and improving business productivity.
