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SIP Trunking Explained – Reduce your cost by 50%

The usage of SIP Trunking, or Session Initiation Protocol, in IP (Internet Protocol) Telephony promises to significantly reduce costs for major businesses. Before SIP Trunking large numbers of wires and connections had to be established from the business to the local service provider resulting in high maintenance costs. Because of so many connections, there were more opportunities for problems.

SIP Trunking With companies that utilize PBX (Private Branch Exchange) which is compatible with the IP option an SIP trunk can easily be installed, since it uses the Internet for communication purposes.

Trunking, in its simplest form, is the transmitting of multiple forms of communication from one place to another. In the old days trunks were the big cables either underground or seen overhead on telephone poles that had scores of wires running through them. They carried voice and other protocols through those cables from one central office to another (a central office is where the local landline phone works out of; it is the direct link between the phone company and a residence or business phone). As time went on, more trunks had to be installed and then came fiber optics which allowed for thousands of multiple forms of communication.

With SIP Trunking features it can be considered a form of ?bundling? which has been a term used very often to describe multiple services from one provider for a set price.

Using SIP Trunking in IP Telephony, businessesno longer need PSTN (Public Switched Telephone Network) gateways, and Basic Rate Interfaces or BRI’s, and Primary Rate Interfaces or PRI’s. Costs are significantly reduced because all that is needed is a direct connection to an Internet Telephony Service Provider or ITSP which connects to the PSTN and the PBX which connects to the Provider using an enterprise border element.

SIP Trunking allows for all major Unified Communication (UC) applications, such as voice and video, as well as web conferencing and the like. Because these applications are part of the overall features of SIP Trunking, this makes it more desirable than previously established transmission protocols. SIP is part of VoIP (Voice over Internet Protocol) and is a streaming media service, which is a fancy way of saying that data is transmitted in real time; in other words, as it is taking place.

As IP Telephony demands only increase it only makes sense that newer and more reliable technologies are available at considerably lower costs. The businesses that supply these services will reap benefits for their services. They will have increased revenues because smaller businesses that might not have opted for all the complex features associated with previous technologies can now afford SIP Trunking.

For businesses, the savings add up because with SIP Trunking multiple forms of communication are now possible at a fraction of the cost of previous modes. This allows for easier expansion of the business’ communications network as the business grows and more employees and resources are brought on. With the job situation today as it is, creating more jobs through expansion is a plus.

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