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February 13, 2008

Why SIP Trunking Makes Sense

By Brian Solomon, TMCnet Web Editor

A SIP Trunk is primarily a concurrent call that is routed over the IP backbone of a carrier using VoIP technology. SIP Trunks are used in conjunction with an IP-PBX (News - Alert) and are thought of as replacements for traditional PRI or analog circuits. The popularity of SIP trunks is due primarily to the cost savings of SIP, along with the increased reliability as backed by the SLAs of SIP trunk providers.



 
Businesses are wasting enormous time and money with legacy PRI systems. SIP trunking is the next-generation communication platform that gives businesses the ability to SCALE their voice solution gradually to meet their individual business needs, SIMPLIFY the administration of their network by reducing providers, and SAVE money by right-sizing their bloated telecom budget.
 
As a general rule, most businesses only need to reserve phone lines for 1/3 of their corporate employees. This means a company with 99 employees only needs to support 33 shared phone lines.

A PRI is only delivered in sets of 23 channels. This means a business that needs 33 lines must buy 2 PRIs (46 channels). Forty-six minus 36 equals a waste of money and phone lines.
 
Most businesses may have 30%-40% excess capacity on their current Internet access. This bandwidth can be used to run some or all of your voice traffic with SIP trunking. Bandwidth can be dynamically allocated between voice and data with SIP trunks, helping to avoid waste.

Multi-location businesses often must deal with multiple carriers based on coverage and price. They must also set up multiple accounts for voice and data. With SIP trunks, a business only needs to deal with one carrier, one bill, one point of contact.
 
Brian Solomon is a Web Editor for TMCnet, covering news in the IP communications, call center and customer relationship management industries. To see more of his articles, please visit Brian Solomon’s columnist page
 
Don't forget to check out TMCnet’s White Paper Library, which provides a selection of in-depth information on relevant topics affecting the IP Communications industry. The library offers white papers, case studies and other documents which are free to registered users.

(source: http://ipcommunications.tmcnet.com/topics/sip-trunking/articles/20736-why-sip-trunking-makes-sense.htm)

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