Solution Overviews » Communication » Phone Service

Phone Service

Author: TechShortcut Staff | Article updated: June 21, 2008

1. Overview

Options abound for voice communication. As a result, it can be difficult to know where to start your research, thanks to the vast number of providers out there, with their varied service plans. On top of that, you've got other choices beyond a plain old land line service oriented for businesses. If you're a 20-person operation with two small offices in adjacent counties, for instance, you need to think about your employees' calling habits and features they need. Or, you might require toll-free numbers for your customers to use, as well. You'll find a tremendous amount of flexibility when you combine the types of phone service with the various phone exchange options for your business numbers.

Features

Phone service may include features that you will find in phone systems. If you need to share phone lines between workers then you will want to look at the phone system overview.

  • Toll-Free Number

    A toll-free number for your business starting with 800, 888, 877 or 866.

  • International Calling

    Place and receive international calls.

  • Call Logging

    Track call statistics for reporting and analysis.

Implementation Options

Listed below are the four most common transmission options for voice communication. Voice over Internet Protocol (VoIP) is the relatively new kid on the block. Calls made using VoIP travel through your computer network and the Internet. All the following options can be used for both inbound and outbound calling, and they all have many possible features, from automatic call routing to voicemail. Toll free numbers and fax services may also be available as add-ons.

1. Traditional Phone Service 2. Cell Phone Service 3. Phone VoIP Service 4. Computer or Other Device VoIP Service
Your typical land line Your typical cell phone 1
  • 1 Cell phones are emerging that include Wi-Fi access to the Internet which means that they can also be used as a VoIP phone (option 4) whenever they connect to a Wi-Fi network.
No computer is necessary.
A VoIP phone or VoIP phone adapter with a traditional phone and broadband Internet connection are used to transmit calls.
A computer, cell phone with Internet access, Wi-Fi phone or other mobile computing device along with a broadband Internet connection are used to transmit calls. Software-only (or soft phone) and hardware-only options are available.

2. Option Comparison

1. Traditional Phone 2. Cell Phone 3. Phone VoIP 4. Computer based VoIP
Requirements

A phone connected to the phone line.

Must be within the cell phone network for reception.

A phone adapter must be connected to a broadband Internet connection. No computer is necessary.
It may also be possible to connect the phone adapter directly to existing wiring or trunks so no internal phone system changes will be needed.

Wired or wireless access to a broadband Internet connection. You will need a computer, cell phone with Internet or other mobile computing device to make calls.

Cost Factors

(all costs are approximate)
Hardware

Regular phone

Cell phone

VoIP Phone Adapter and a regular or IP phone.

It is possible to use the computer's built in microphone and speakers, but a headset which you can plug into your computer's microphone and speaker jacks, will usually yield clearer communication.

Software
None None Included if needed Included if needed
Labor

Hardware installation may be needed

None

Hardware installation and configuration will be needed

Software installation and configuration will be needed

Services

Basic service typically under $30 per month. There may also be an activation fee.

Basic service typically from $30 per month. There may also be an activation fee. Service plans usually include a number of minutes. Additional minutes can cost dimes per minute.

Basic service typically under $30 per month. There may also be an activation fee and/or shipping fees for the VoIP adapters. Service plans usually include a number of minutes. Additional minutes can cost pennies per minute.

Basic service may be free. An inbound phone number may cost a few dollars a month. There may also be an activation fee. Service plans usually include a number of minutes. Additional minutes can cost pennies per minute.

Long Distance Calling

Dimes or a dollar or more per minute

Long distance is usually included in service plans.

Long distance is usually included in service plans.

Long distance is usually included in service plans.

International Calling

Dimes or a dollar or more per minute

International calling may not be possible with some carriers so it may be necessary to use an International calling service.

Pennies to dimes (and up) per minute

Pennies to dimes (and up) per minute

Usage / Mobility

Use where the phone line is located.

Use anywhere within the cell phone network.

Use in any location where you can plug the phone adapter into a broadband Internet connection.

Use in any location with a common wired or wireless broadband Internet connection.

Reliability and Call Quality

Very good quality and reliability

Depends on the provider and location

There can be more variability since calls may travel from your local network, through a broadband Internet provider, through the Internet, through the VoIP provider and then into the phone system.

There can be more variability since calls may travel from a computer, through a broadband Internet provider, through the Internet, through the VoIP provider and then into the phone system.

Features

Additional features, like toll free numbers are usually available as add-ons.

Features like voicemail and 3-way calling are typically included in the monthly cost.

Features like voicemail and 3-way calling are typically included in the monthly cost.

Features like voicemail and 3-way calling are typically included in the monthly cost. Many computer-based phone services support video calls and video conferencing.

Emergency Dialing/911

Location identification is built in for regular phone service

911 calls from a cell phone are typically routed to centralized regional emergency response service and then transferred to local emergency response services once the location has been verified.

Service providers vary on how 911 calls are handled.

Software only services generally do not offer emergency dialing support.

Alarm Systems Compatibility

Yes

NA

It depends: There may be compatibility issues so you will need to check with your alarm company. If VoIP cannot function directly, it is possible to (1) add an alarm system/VoIP adapter, (2) switch to a wireless transmitter, or (3) keep a regular phone line for the alarm to use.

Same as phone VoIP

3. Next Steps

Overall, if you have a solid Internet connection and you are looking to save on long distance and international calls, consider VoIP. VoIP service is typically cheaper and includes more functionality than regular phone service. However, if your network will not support expected call volumes using VoIP you will need to consider the cost of upgrading your Internet connection or adding a separate voice network.

You can add more flexibility to the mix by choosing a different phone service option for inbound versus outbound calls or by using a separate service for long distance calling.

If you ever plan on adding an in-house phone system, check that the phone line service meets the phone system requirements first. Ideally, any phone system you add should be able to support both VoIP and traditional analog lines to give you more flexibility.

1. Traditional Phone 2. Cell Phone 3. Phone VoIP 4. Computer VoIP
General Advice

Predictable quality.

The most flexible option but overage charges can add up and call quality can be spotty.

If you are looking to save on your phone service you will definitely want to look into VoIP.

Can be a great fit for anyone that travels frequently or is working solo hardware may not be required and configuration is typically very simple. Calls can even be placed over Wi-Fi hotspots.

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Examples of Products and Services

These are not endorsements, simply some product or service names we encountered in our research to get you started finding your best fit.
  • AT&T
  • Your local telephone service providers

Software-based

1 Calls between members within the network are free.

Hardware-based

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