What Is SIP Trunk and How Does It Work

Imagine running a successful business without staying connected with your clients and your team. Do you think you will ever succeed? According to 90% of the employees working in a corporate setting, business communication is as important as the product or service that they are offering through the company. Around 86% of the employees within these corporate settings believe that the lack of communication and collaboration among the departments, teammates, and the management of the company cause failure in compiling an effective product that can offer a good profit. Similarly, stats also relived that teams that have better communication and collaboration among their employees not only perform better but can maximize their profit by 25%.

Why Communication Is Important?

If we look at the communication that is carried out with an organization, we will see four different types. Each type has its importance, and it is imperative to offer an effective channel that can streamline the overall communication. Each communication type offers multiple benefits including assistance in the decision-making process, planning, and updates, streamlining the daily schedule for work, improving the work efficacy, and helping the company to achieve its goal. It also helps with improving the managerial efficiency and improves the corporation among the team which also helps in improving the overall industrial peace within the work setting.

When it comes to offering an effective communication channel, an individual needs a platform that offers crystal-clear communication with no room for misunderstanding. The employee also needs something that can facilitate the overall business communication rather than making it difficult or challenging by increasing the communication handling time. The traditional phone system has long been in use and there is no doubt it has duly served its purpose. However, business requirements are changing now. Companies are now looking for people who can work 24/7 with full concentration. Corporate firms are making companies around o clock markets where employees produce their product or offer services and customers can come at any time to avail themselves of these services or buy these products. To make this possible, communication needs to be strong and assembled in a way that employees have data access at any time it is required.

As modern issues call for a modern solution, businesses are now replacing the old traditional phones with internet phones. These phones have better features, easier handling, better timing and still manage to reduce the overall cost. Previously when these internet phones were introduced, they era expensive, and only big tech giants were ready to pay for them using these phones. However, as the technology has become advanced, these internet phones are affordable even for small businesses that are struggling with finances and looking for ways to cut operational costs. The best part about these internet phones is that it offers a level playing field for all businesses, so they do not feel restricted by their limited budget.

What Is SIP Trunk?

The conversation about effective and modern business communication is impossible without mentioning the SIP trunk. SIP is an abbreviation of session initiation protocol and it works as a modern communication framework that helps you start a conversation and terminate it. A SIP trunk is taking the business communication and telecom world by storm. According to recent research by TMR, the global SIP trunk service market is going to grow 13 folds by the year 2030. Furthermore, the SIP market value is going to reach a whopping 35.5 billion dollars by the year 2030. These stats explain that SIP is not just the present, it is also the future. Companies that are keeping an open mind will be saving not only now but also in the future when the SIP industry will go through transformation by introducing new and advanced features. Although, there are so many SIP benefits, however, the future of SIP is much brighter.

Business models are now more advanced than ever, and their demands are changing. For daily communication, employees are no longer relying on audio calls. They are conducting daily video calls, conference calls, group video calls and offering the integration of these communicating software with the company management tools. All these things somehow are linked with SIP in one way or the other.

SIP is the framework that offers good and seamless communication via the internet. To understand the fundamental aspect of SIP trunking, it is important to understand the jargons and acronyms that are used in the telecommunication and SIP industry. As we have already discussed that Sip stands for session initiation protocol and SIP trunking is the process of relaying voice and other communication services via the internet. When a user talks via SIP, the sound waves are not relaying in the form of Sound waves. Instead, these waves are converted into digital signals in the form of codes. Usually, for the initiation, rejection, and processing of the communication, a three-digit number is sent across. This number determines if the communication needs to continue to terminate at any time. SIP works with the use of IP-based PBX. Within the SIP-based communication private branch exchange replaces the traditional telephone lines.

SIP trunks are virtual phone lines that help the user to receive and conduct calls via the internet. For companies handling their work remotely, SIP offers an internet calling facility for free. You can be at any place, any country, or any destination and you will still have easy access to your remote team. Companies are now allowing their employees to work remotely with SIP.  SIP trunks use a packet switch network and through that, they conduct voice calls. When a person speaks, these sound waves are divided into simple digital packets and then this is transmitted across the internet towards the receiver or the second party.

Traditionally if we look at the communication that is conducted through public phones, we will see that public switched telephone networks are used for carrying out phone calls. With the help of PTSN communication is conducted via copper lines that carry the voice signals. The PTSN circuit-switched network requires a connection between the two points which means all the lines must be connected to the local phone station where the calls will be relayed to the second person.

With SIP there is no need for a physical line, instead, the communication is carried out through SIP channels. Each SIP trunk has a SIP channel, and this channel is used for incoming and outgoing calls. The main reason SIP trunk is becoming a business favourite is because of its ability to hold and relay unlimited calls. Your business can conduct multiple calls at the same time. Your business number will never go engaged and no matter how many people want to simultaneously conduct calls you do not need anything extra. Since SIP holds multiple channels at the same time, each channel is used for a different call.

How VoIP Is Different Form SIP?

Now that technologies are changing and getting better, more companies are switching to newer and better ways of communication. Most businesses must choose between SIP and VoIP but since both include the internet and ensure better communication, it is only fair for people to get confused. For small businesses trying to figure out a better and more feasible communication option that suits their requirement, we have listed down a simple comparison to help them differentiate between both. Both SIP and VoIP are a bit technical, so you need to know about specific jargon and understanding of technology to know in detail about the communication that is carried out.

SIP and VoIP

xinix voip vs sip trunk

Usually, SIP protocol and VoIP are used for any internet-based communication however they are not the same. VoIP is the voice-over-internet protocol, and it covers so many different aspects of modern communication that are carried out through the internet. VoIP includes different internet protocol-based technologies and SIP protocol is an example of VoIP. SIP is a framework used for VoIP that offers seamless communication via the internet. You might have seen various apps for sip and VoIP calls as well.

For the communication of voice, there is no way to relay sound waves directly to the second party. Before relaying the audio, signals are converted into digital signals that are then transmitted through the internet. When these digital signals reach the receiver, they are then converted back into the uncompressed audio signals are this is picked by the person who is listening on the other side. This technology or compressing and decompressing the audio signals make VoIP technology possible.

Most people ask about the levels of compression and how things we say are converted into signals but are not destroyed. To understand this, it is very important to know that various codecs have various levels of compressions. For the SIP trunk, there are three-digit numbers. Some of the most popular codecs for SIP include G.711 and G729. Both these codecs offer a very high-quality voice and you do not have to use any high-quality internet. There is no doubt that good internet is important, but they do not require too much data and even if you have some issues with the internet or have weak signals, there will be no effect on the service or the voice quality.

Now that we are talking about voice quality and how it is so much better than the traditional telephony method. It is also very important to discuss that high definition and crystal-clear voice quality are possible with the use of SIP. For business, communication companies emphasize voice quality because sometimes they have online meetings where a whole team is dependent on the progress of their work, on the voice they hear. With the help of VoIP, you can have a high-quality voice that is crystal clear and much better than a traditional phone. However, for better quality, it is very important to have a good grade of the network because it must carry voice and be used by the SIP service as well. Most companies suggest that only tier 1 carriers can connect directly to the internet backbone so the call quality for them is better and reliable.

What is QoS?

Most people might have noticed that no matter how you are using your data if there is an incoming call, it gets the data preference. This is done via QoS or quality of service. This is a router setting used for prioritizing the voice calls over everything else that is happening. It is also imperative because a voice call needs and consumes constant data. If you are browsing a website, a few seconds of lagging or data loss will not impact the process. It will retrieve the same file from your cache, and you will still be able to retrieve it. On the contrary, if you are on a voice call and there is some data loss, you will instantly feel the impact. The voice distortion will be bad, and you might even lose the message in the process. With the help of QoS, audio quality can be maintained throughout the conversation. No matter how the rest of the data is being used, this will have no impact on the overall quality of the audio call.

Why Businesses Prefer SIP for Business Communication?

Businesses Prefer SIP for Communication

A SIP trunk is an active and growing market in the business communication industry. There are so many ways to communicate, yet SIP is so far the best. Some of the main features that make SIP stand out from the rest include:

  • SIP companies usually offer customizable features that allow the business to choose from a range of different features, depending on the business model and requirements of the employees, businesses can easily choose to form the features.
  • SIP offers the availability of real-time data that also comes with additional features like call recording and data transfer to anyone at any time.
  • SIP trunking offers protection of the data which makes it an ideal choice for tech companies, financial companies as well as emergency respondents.
  • SIP can receive multiple calls simultaneously which makes it the best option for call centres and service-based companies.
  • SIP is relatively affordable so you will be able to cut your overall operational cost by half, which will improve your productivity as well.
  • SIP offers an automated response option as ell which helps you reduce the overall response time of the company.
  • Businesses can improve business communication as well as customer experience through SIP trunk

Not found the answers?

Please contact us in any convenient way, and we will help you.

03333 055 888

Speak to an expert
Call us for free

[email protected]

99% Of issues resolved in less than a hour

Chat

Friendly, efficient chat operators are always on standby