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VoIP (Voice over Internet Protocol)

VoIP vs. Landline: A Comprehensive Guide

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What is one of the most obvious differences between VoIP phones and landlines when it comes to your communication needs?

VoIP, or Voice over Internet Protocol, lets you make phone calls over the internet by converting audio signals into digital data.

On the other hand, landlines use a phone network to transmit voices. Audio signals are converted into electrical signals that travel over copper wires.  

Now, historically speaking, the first US landline networks were established in the 1870s. However, communication has evolved quite a bit since then, as is evident from the usage of cellular phones and internet-based phone services today.

This means that businesses today have a variety of options in the palm of their hand, with the help of which they can reach out or interact with their customers. 

However, in this blog, we shall explore the various features and the differences between VoIP phones and landlines to help you decide which communication medium you should use.

However, in this blog, we shall explore the various features and the differences between VoIP phones and landlines to help you decide which communication medium you should use.

How Does VoIP Work

VoIP vs Landline: Technology Comparison

VoIP Technology

VoIP technology transmits signals over the Internet. To enable this, a codec algorithm first converts audio signals into packets of compressed digital data.

At the recipient’s end, the packets are again combined into the original data stream, which is then converted back into audio signals.

The recipient can thus hear the voice of the caller after this process.

VoIP technology can be used for the following types of calls:

  • Voice
  • Video
  • Conference calls.

It also offers features such as:

  • Call forwarding
  • Voicemail-to-email, etc.

Landline technology 

Landline technology uses physical wires to transmit audio signals. 

In a landline phone, the caller’s voice is picked up by a microphone that converts it into electrical signals. These signals are transmitted over copper wires to a phone exchange, following which the electrical signals are routed to the person being called.

At the receiver’s end, the electrical signals are again converted into sound waves, after which the receivers can hear their callers’ voices. Many consider landlines to be reliable and secure.

VoIP vs Landline: Cost Comparison

VoIP Cost Structure

To be able to use VoIP software, businesses first need to invest in:

  • Phones
  • Adapters
  • Routers

Many VoIP software providers charge monthly or annual fees, depending upon the number of users or lines that are needed.

They can also charge for calls to non-VoIP phone numbers for local or international destinations.

Business owners might incur extra charges for features such as:

  • Call recording
  • Video conferencing

You should keep the above features in mind while making a VoIP price comparison. 

Examples of VoIP Plans

Vonage

Vonage plans start at USD 19.99 monthly for businesses, going up to USD 39.99 monthly.

The features offered include:

  • Unlimited calls within the US, Canada, and Mexico
  • Call forwarding
  • Voicemail-to-email, etc.

RingCentral

RingCentral plans start at USD 20 per month, going up to USD 35 per month.

The features offered include:

  • Unlimited calls within the US and Canada
  • Call management
  • Team messaging

Landline Cost Structure

Landline costs depend on several factors, such as the:

  • Prices of the hardware, such as the phones or modems
  • Monthly landline subscription fees, which typically include a fixed number of local calls, with an extra amount levied for long-distance calls

Some landline providers charge more for features such as:

  • Call waiting
  • Caller ID
  • Voicemail

Examples of Landline Plans

AT&T Landline

Business plans start at USD 49.99 per month.

These include features such as:

  • Conference calling
  • Call forwarding

Verizon Landline

Business plans start at USD 55.99/month.

These include features like:

  • Voicemail
  • Call forwarding

VoIP vs Landline: Quality Comparison

The quality of VoIP phones is affected by many factors, for instance:

  • Using a provider with a strong network infrastructure. That is because a lack of bandwidth leads to issues such as:
  • Dropped calls
  • Choppy audio, etc.
  • Using high-quality microphones, speakers, and other devices that run VoIP software
  • The quality of the internet connection as a stable, high-speed connection, which ensures clear calls

The quality of landlines depends on:

  • Wiring
  • Infrastructure
  • Equipment

Landline calls can be affected by:

Interference from electronic devices, such as computers, routers, or microwaves
Distance between two parties on a landline, which can lead to distortion 

Comparison of Landline to VoIP Quality

Landline calls do not depend on:

  • Internet connection
  • Bandwidth
  • Network congestion

Some feel that this is more consistent and reliable.

However, VoIP calls can offer better sound quality with the right infrastructure.

Additionally, features such as the ones below are not available on landlines:

Video conferencing
The ability to make and receive calls on multiple devices 

VoIP vs Landline: Flexibility Comparison 

Flexibility is among the many benefits of VoIP, as seen below:

  • VoIP software can be used on devices such as:
    • Desktop computers
    • Laptops
    • Tablets
    • Smartphones 
  • VoIP is easily scalable, depending on business needs, which is why major infrastructure changes are not required to add extra lines
  • VoIP can also be easily integrated with other business systems, such as:
    1. Email
    2. Chat
    3. CRM tools

Landline is flexible in the following ways:

  • Call forwarding lets you forward incoming calls to another phone number away from the landline
  • Answering machines allow you to record and playback messages when you are away from your landline
  • You can use extensions to make and receive calls from different rooms or locations within the building

VoIP vs Landline Summed Up

Thus, as seen above:

  • VoIP technology uses the internet to make and receive phone calls, while landline technology uses a physical connection
  • VoIP technology is more flexible and cost-effective and it can be used on many devices from anywhere with an internet connection, whereas landlines are able to only operate within the boundaries of the locations their providers are based in
  • Landlines are viewed as robust and consistent, as they can work even during power outages, whereas VoIP phones require an active internet connection to function

Is VoIP better than landline? Only you can make that choice as a business owner based on the detailed section on VoIP vs landline above.

Founder & CEO, JustCall.io. I am a product guy with interests in marketing automation, B2B products and programming. Follow me on twitter: @sharmag88

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