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Risks And Rewards Of VoIP

Dave Haggblad - Monday, March 30, 2015 |

Business Telephones with VoIP The technology of VoIP (Voice Over Internet Protocol) is being increasingly adopted by companies to improve their communication channels and also to keep costs of phone calls down. But experts say that some companies that adopt this technology to keep telecom costs down do not understand its legalities and can get accused of misuse by telecom authorities. 

To ensure that VoIP communication channels are well within regulatory policies, companies have to read through the agreement in detail to understand the details of equipment and service guarantees. As VoIP technology is still unexplored in some areas there are risks attached with this, like regulatory and implementation issues.

Rewards of VoIP

  • Low costs for long distance and local calls.
  • Integration of phones with existing network.
  • Portability of connection is its best advantage as phone lines can be activated in any location.
  • You can make unlimited calls within a particular geographical area with a VoIP connection.
  • VoIP helps you make both calls and messages at the same time from one connection.

Risks of VoIP

  • Companies that use VoIP for long distance calls reported that they constantly face issues like call drops when the internet network is slow, which affects their reputation before international clients.
  • Unlicensed VoIP service providers are constantly under the scrutiny of regulatory officers and companies that use them face issues of eavesdropping and denial of services as they keep changing their service terms.
  • Toll fraud is another frequent complaint by VoIP users. It is best to compare costs of all service providers and check with other users in the area before hiring a VoIP service provider.
  • Lack of standard protocol makes it difficult to manage bills.

Though VoIP is regarded as a revolutionary technology many countries still consider some of its services as illegal and tax it heavily. But service providers manage to circumvent these regulations and offer bundled VoIP services that are tailored to suit client’s needs and do not breach local rules either. This is generally done by configuring a client’s VoIP system in such a manner that it is either able to bypass restrictions completely or it falls outside the regulated area.

As regulators across the world are constantly looking for ways to keep a track of VoIP services, companies can take advantage of this technology for their communication needs. But the omnipresent risk of regulatory changes makes it imperative for companies to protect their investment with appropriate measures like encryption technology.


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