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How Much Does a SIP VoIP Phone System Cost?

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VoIP phone calls have advance radically in recent years. Today, understanding the SIP VoIP phone system and its importance in telecommunication is nearly as important for your business as understanding the dealings of the business itself. So, what is a SIP VoIP phone system? A SIP, or Session Initiation Protocol, VoIP phone system is one that enables communications protocols for controlling and signaling all multimedia sessions when a communication between two or more people is established.

These systems use open standard ‘SIP’ to set up and establish phone calls. Common applications include Internet Telephony for video and voice calls and instant messaging through IP (Internet Protocol) networks. SIP VoIP phone systems create, modify, and terminate sessions that consist of one or more media streams. Here we introduce some of the benefits you enjoy with SIP VoIP phone systems along with their costs.

There are numerous pros with SIP VoIP phone systems. The biggest advantage is that they support both conventional telephone and IP communication. Most telecommunication service providers use this technology to leverage on the protocol in order to interconnect IP and conventional telephone communication services. This is an advantage, especially for vendors of the VoIP telephony, where the two domains are in involved. Since SIP has roots in HTTP, this also means that all voice-based communications or applications easily integrate with different web services.

SIP is highly scalable, relatively easy to implement, and requires minimal setup time compared to predecessor protocols. Since SIP is also text based, it is easy to program the technology. In addition, a SIP VoIP phone system is a P2P (peer-to-peer) protocol, meaning that it requires no advanced implementation, especially on a network level. Furthermore, as it is an internet-based system, location isn’t an issue.

You also save funds by providing your employees extensions, connected over the internet, that allow them to work from home. This conserves resources normally spent on having an in-house phone operating system.

Points to Consider when Choosing SIP VoIP Phone System

  • Reliability: This is essential. Reliability ensures that, even when there are power outages, the virtual lines are not susceptible, allowing the smooth, continual flow of communication within or outside of your office environment. This helps ensure customer satisfaction, which breeds customer loyalty.
  • Call routing: You want a SIP VoIP phone system that allows all your calls to be routed to a predetermined location if the primary office hosting the phone system goes offline. Downtime should not be tolerated, as it can be very costly in terms of both money and goodwill.
  • Ultimate scalability: Unlike legacy telephony that requires you to purchase extra physical lines to accommodate employee growth, look for a scalable SIP VoIP phone system that accommodates growth without the need to purchase extra physical lines.
  • Internet connection: As these services work over the Internet, you need a reliable Internet provider, as no one can reach you without an Internet connection.

Sample Prices for SIP VoIP Phone Systems

SIP VoIP phone systems are relatively inexpensive to implement. This is especially true if your business can add a SIP trunk to high-quality PBX service, since you eliminate the monthly charges from a phone system service provider. Prices go up or down based on the services offered, system features, and number of users. Several factors influence cost, including:

  • The location of your company
  • The services you choose
  • The specific package you select
  • The call load per month

The actual cost is impossible to pinpoint without knowing your exact needs, but these rough estimates offer an idea of the cost of these services.

  • Most telecommunication service providers charge between $20 and $40 a month for these services.

    • The initial investment averages between $25 and $50.
    • Some services charge per minute instead of monthly, with an average price of $0.05 to $0.10 per minute.
    • An inquiry into a particular number can cost you between $0.005 and 0.01 per inquiry.
    • Connecting to the SIP interface can cost you between $0.04 and $0.08 per minute.
    • Programmable call recording services can cost an additional price of $0.0025 to $0.0050 per min, with a transcription price of $0.05 to $0.10 per min.
    • First 100,000 minutes per month can cost you between $0.004 and $0.008 per minute.
    • Next 50 million minutes can cost an additional price of $0.001 to $0.005 per minute.
    • More than 100 million minutes may have an added price of $0.0005 to $0.0010 per minute.

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