What is VoIP and How Does it Work?

What is VoIP and How Does it Work?

What is VoIP and how does it work? These are two very important and common questions that we receive from clients and many other people that we talk to every day. If you are a non-techy user, you may have heard about VoIP and that you can use it to add a business phone number for your website.

While this is one thing you can do with VoIP, there are many more benefits from this technology that can help you and your business’s cybersecurity.

What is VoIP?

VoIP or voice-over-internet protocol refers to the technology that transforms your voice into a digital signal. Once in this form, it enables you to make calls directly from computers, a VoIP phone, or other data-driven devices. Another way of looking at it is as an internet-delivered phone service.

How does VoIP work?

Next, let’s take a look at a more in-depth explanation directly from AT&T:

“VoIP technology enables traditional telephony services to operate over computer networks using packet-switched protocols. Packet-switched VoIP puts voice signals into packets, similar to an electronic envelope. VoIP packets can be transmitted over any VoIP-compatible network, such as a local area network (LAN).”

Do you need Voice over Internet Protocol?

Now that we’ve covered what voice over IP service is, let’s talk about why your business might find it useful.

For starters, it allows a lot more information to be carried over a network. For busy offices and teams, that’s a clear advantage. It can also help your business save money on communication costs. Rather than dishing out on expensive long-distance and international calls, most long-distance voice over IP calls are free (minus the internet costs to make the call).

When VoIP wasn’t as advanced as it is now, there may have been concerns about the audio quality from these calls. But today, it’s virtually impossible to tell the difference in audio quality from a traditional phone call or a voice over IP call.

What is the VoIP Security Advantage?

Of course, we can’t discuss this option without also covering the security considerations when it comes to voice over IP.

In fact, VoIP comes with significant security advantages compared to traditional landlines. Unlike standard telephone connections, this phone connection has standardized encryption protocols which makes your calls and data secure. In a day and age where you can’t be too careful with sensitive information, this is an incredibly powerful benefit.

The truth is, while the cost savings that come with voice over internet protocol may be what initially draw you to this system, it’s often the security advantages that seal the deal.

No matter the size or scope of your business, security needs to be your top consideration. Without secure systems, you, your employees, and your customers are vulnerable to a whole host of security issues.

Because VoIP is internet-based, there are still certain vulnerabilities that need to be addressed. However, if you work with a trusted and experienced voice over internet protocol provider, many of these concerns are addressed right off the bat.

Here are some questions to ask to help you choose the right provider:

  • What accreditations does your company have?
  • Do you use third-party tools or software?
  • How is your staff trained and retrained?
  • How do you address security incidents?
  • Do you offer TLS and SRTP call encryption?

You’ll also want to ensure they use a strong password policy as well as requiring Wi-Fi encryption.
(Read more about setting secure passwords here)

Now that we’ve answered “what is VoIP?” and your other questions on the subject, we know you might be ready to explore this secure option in more depth. If you have questions about what this could mean for your business, we’re here to help. Schedule a free preliminary analysis with CloudNexus today.

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