Understanding the Basics of SIP Trunking

Running a successful business requires a solid communication strategy that prioritizes customers. Bad customer experiences can cost the global economy a total of $3.7 trillion.), and poor call quality is responsible for a sizable portion of lost sales. From dropped calls to grainy sound quality and the inability to adapt operations to customers’ preferred hours, analog phone systems heavily restrict your business’s potential growth and can create poor customer experiences.

Stakeholders throughout your organization are likely aware of just how problematic analog phone systems can be as they actively look for options to stand out for superior, versatile calling. Two solutions that will rise to the top are SIP trunking and VoIP.

Before selecting the right choice, it’s important to know exactly how SIP trunking works, where it differs from analog and VoIP systems, and what implementation will look like. With this knowledge, you can compare SIP trunking providers to find the best fit for your organization. An internet telephony service provider can leverage your existing PBX infrastructure to create a cloud-based phone system, facilitating seamless communication and integration with modern VoIP technology.

Before SIP Trunking, There Were Analog Phone Systems

Many businesses today still rely on older analog Public Switched Telephone Network (PSTN) systems. These setups use copper lines to create a direct connection between two speakers—or in the case of businesses reaching out to customers with cell phones, from copper landlines in the office to the customer’s service provider’s network center.

Each call moves through several semi-analog processes to reach its destination. Users dial a number on their phone set, and the request is converted to electrical signals and sent to the terminal. The signal moves from terminal to terminal until it reaches a central office’s cable system. Once the signal completes the long distance to the recipient’s phone line, the electrical signal switches back to audio.

The PSTN itself is comprised of centralized switches across the network that push the call onward from point to point. However, there are several points of failure running through analog calls, and quality can suffer enormously if your network isn’t robust enough. Long-distance calls are far more resource intensive and (as a result) more expensive. Increasing the size of a legacy phone line network is also costly, and the system is very reliant on hardware.

These analog phone systems aren’t yet obsolete. Many businesses still rely on them, and they can hold your company back if you feel like you have to stick with the hardware you invested in. Transitioning from traditional phone lines to modern SIP trunking solutions can provide cost savings, enhanced reliability, and support for remote work environments.

What Is SIP Trunking?

SIP trunking effectively “digitizes” your PSTN so you can use modern calling and multimedia technologies via your existing phone network. Landline systems have a PBX (private branch exchange), which you can still utilize while modernizing your system. Via SIP trunking, you can make both PSTN-based and VoIP calls by using your physical PBX to make digitized calls and a hosted PBX to access more typical VoIP capabilities.

SIP trunking, leveraging internet protocol, gives you the best of both worlds by enabling VoIP-to-PSTN functionality. Your in-office business hardware has two main hubs:

• Wireless devices like cell phones and laptops that connect to your wireless router, which connects to the on-site servers

• Wired devices like phones and computers with apps that connect to the server

Both hubs connect to the LAN, and SIP trunking can send call and web conferencing data to a router, which sends it to a VoIP provider and PSTN phone system.

SIP trunking can use your hardware or virtual hardware so your team can make voice calls, conference calls, video calls, and other essential forms of communication. Your employees can automatically use the PSTN-based system, the internet, or both based on the particulars of the call and which option the prearranged settings determine is best.

Some unique advantages of SIP trunking are:

• Compared to analog telephony

• You can integrate your communication system with omnichannel SaaS and UCaaS.

• Digital phone systems include add-on features that you can pick and choose between based on your company’s needs.

• Call quality improves when operating over the internet.

• You can scale your operations more easily and enable WFH options.

• Compared to solely VoIP

• You can switch between PSTN and internet-based telephony—if the internet goes down, your business can’t operate as efficiently.

• You can choose the features you need rather than bulky packages that may offer extraneous (and costly) add-ons.

• Your PSTN and past investments don’t go to waste.

Other common beneficial features of SIP trunking include toll-free numbers, free domestic calls, metered international calls, and improved security. Because it uses dual networks, you can create backup networks and routing options so your phones are covered for both phone line and internet outages.

How SIP Trunking Works

SIP trunking works by using the Session Initiation Protocol (SIP) to establish, manage, and terminate voice calls over the internet. Here’s a step-by-step explanation of the process:

1. Setup: A business sets up a SIP trunking service with a SIP trunk provider, which connects their private branch exchange (PBX) to the public switched telephone network (PSTN) via the internet.

2. Call Initiation: When a call is made, the SIP trunk provider’s server receives the request and authenticates the caller’s credentials.

3. Connection Establishment: The SIP trunk provider’s server then establishes a connection between the caller’s PBX and the called party’s PBX, using the SIP protocol to manage the call setup and teardown.

4. Call Transmission: The call is then transmitted over the internet, using the SIP trunk provider’s network, to the called party’s PBX.

5. Call Reception: The called party’s PBX receives the call and connects it to the intended recipient.

This process allows businesses to leverage their existing telephone network infrastructure while benefiting from the flexibility and cost savings of internet-based communication.

What to Consider When Purchasing a SIP Trunking Provider

There are several key factors to consider when opting for SIP trunking and small business VoIP solutions.

Understanding the number of concurrent calls your business can handle is crucial for determining the necessary number of SIP channels.

Support

If your business isn’t up and running at a critical time, day or night, it’s important to know that provider support is available 24/7.

Backup and Redundancy

Ensure that your SIP provider has several redundancy provisions so that all call traffic can be rerouted to a backup network if one part goes down.

Internet Connection and Bandwidth Needs

Because SIP works over an internet connection, businesses must consider all the hardware connected to that network, including phones, laptops, desktops, and tablets. Determine how much bandwidth you’ll need, and make sure the provider can accommodate your volumes.

Equipment

A good SIP provider should walk you through their equipment and setup options. These options might include updating your PBX or key system to be SIP compatible. They should also supply a SIP gateway. Choose a provider that operates with recognized, professional, name-brand equipment.

Security

Security is critical to a SIP trunking solution, and firewalls are essential when businesses are interacting with the public internet. Read contracts in detail to ensure that the SIP provider offers full liability in instances of denial of service attacks, data loss, and toll fraud.

Network Design

Engage a provider who will create a personalized, fast, reliable, and secure solution for your business.

Choosing a SIP Trunking Provider

Choosing the right SIP trunking provider is crucial for a business’s communication needs. Here are some factors to consider when selecting a SIP trunking provider:

1. Reliability and Uptime: Look for a provider with a proven track record of reliability and uptime. Consistent service is essential for maintaining seamless communication.

2. Scalability: Choose a provider that can scale with your business needs, offering flexible pricing plans and easy upgrades. This ensures that your communication system can grow alongside your business.

3. Security: Ensure the provider has robust security measures in place to protect your calls and data. This includes encryption and protection against cyber threats.

4. Customer Support: Opt for a provider with 24/7 customer support and a responsive team. Reliable support can help quickly resolve any issues that arise.

5. Pricing: Compare pricing plans and ensure you understand all the costs involved, including any additional fees. Transparent pricing helps avoid unexpected expenses.

By considering these factors, you can select a SIP trunking provider that meets your business’s specific needs and ensures reliable and secure communication.

Converting from a Public Switched Telephone Network to SIP

When transitioning from traditional analog phone lines in a PSTN setup to SIP trunking, half the work is already done because your hardware is in place. SIP trunking can route multiple calls through a single line (rather than the analog one-to-one requirement), so you don’t even have to readjust many of your existing physical goods.

Follow these six simple steps to convert from a PSTN to a SIP trunking service provider:

1. Audit your company’s communication needs. Determine your calling metrics and current network capabilities, but also consider options like web conferencing and video calls.

2. Research and compare multiple service providers to find one that aligns with your business-critical feature demands, growth plans, and budget.

3. Negotiate with a SIP trunking service provider to create your agreement. Ideally, they should help your organization develop an installation, number porting, and implementation plan to minimize business interruptions throughout the entire process.

4. Reevaluate company policies and processes. SIP trunking does far more than upgrade your phone systems. Form committees of key cross-departmental stakeholders who can evaluate which features and benefits can be better utilized. Then, start making iterative changes in your operations to take full advantage of SIP trunking.

Upgrading from ISDN to SIP Trunking

Upgrading from ISDN to SIP trunking can bring numerous benefits, including cost savings, increased flexibility, and improved call quality. Here’s a step-by-step guide to upgrading:

1. Assess Your Current Infrastructure: Evaluate your current ISDN setup and identify areas for improvement. Understanding your existing system helps in planning the upgrade effectively.

2. Choose a SIP Trunking Provider: Select a reputable SIP trunking provider that meets your business needs. Look for providers with good reviews and a strong track record.

3. Configure Your PBX: Configure your PBX to work with the SIP trunking provider’s network. This may involve updating software or hardware to ensure compatibility.

4. Test the Connection: Test the connection to ensure it’s working correctly and make any necessary adjustments. This step is crucial to avoid disruptions during the transition.

5. Migrate Your Numbers: Migrate your existing phone numbers to the SIP trunking provider’s network. This ensures continuity and that your customers can still reach you using the same numbers.

By following these steps, businesses can smoothly transition from ISDN to SIP trunking, reaping the benefits of modern communication technology.

Benefits of SIP Trunking

Businesses that deploy a cloud-based solution can expect several benefits of SIP trunking, which include revenue savings, increased productivity, scalability, and business continuity. Additionally, SIP trunks offer comprehensive communication solutions, including instant messaging, which facilitates efficient collaboration and real-time communication within organizations.

Reduced Cost

SIP trunking is a less expensive voice solution, especially compared to traditional PSTN. Without the cost of installing and maintaining fixed copper wire networks, SIP trunking offers a much higher ROI.

Increased Productivity

Most systems with unified communications features offer unique personal mobility options to increase productivity. Employees can reroute calls to their mobile or home phones while maintaining the appearance of being on their business line.

Other features associated with unified communications include unified messaging, voice, and video conferencing applications.

Scalability

SIP increases scalability by allowing your business to add capacity quickly and easily. Service providers sell PSTN lines in bunches. Increasing capacity requires a physical installation, which can take days to schedule and adds cost.

SIP allows customers to add channels virtually and, in many cases, far more quickly than traditional PSTN systems. Some ISTPs offer a bursting option, which allows temporary use of additional calling capacity without adding extra channels permanently.

Easier Maintenance and Disaster Recovery

With traditional phone systems, there are telephone sets, wires, and cables to maintain. Some of these components sit outside and are subject to wear and tear. When service goes down, repairmen search through a long trail of often difficult-to-access service points to find the problem.

With SIP trunking, points of failure are limited to computers, routers, and software. Repairs can be completed quickly and often remotely.

Troubleshooting and Maintenance

Troubleshooting and maintenance are crucial to ensuring your SIP trunking service runs smoothly. Here are some tips:

1. Monitor Your Connection: Regularly monitor your connection for any issues or errors. Early detection can prevent minor issues from becoming major problems.

2. Check Your Network: Check your network for any issues or congestion that may be affecting your SIP trunking service. A robust network ensures optimal performance.

3. Contact Your Provider: Contact your SIP trunking provider’s support team if you encounter any issues. Professional support can provide quick resolutions and minimize downtime.

4. Regularly Update Your Software: Regularly update your software and firmware to ensure you have the latest security patches and features. Keeping your system up-to-date protects against vulnerabilities.

5. Perform Regular Backups: Perform regular backups of your configuration and data to ensure business continuity in case of an outage. Backups provide a safety net and help in quick recovery.

By following these maintenance tips, businesses can ensure their SIP trunking service remains reliable and efficient, supporting their communication needs effectively.

See How SIP Trunking Can Reduce Costs and Increase Productivity for Your Business

SIP trunking isn’t just a middle-ground approach between analog PSTN and VoIP options. Instead, it’s an option that offers both possibilities and results in much more secure business communications by facilitating efficient and cost-effective phone calls. At SIP.US, we provide clients with seamless transitions to SIP phone services and VoIP SIP trunks. Get started on implementing a practical business decision to see the advantages professional SIP trunking services can offer your organization.