How Does VoIP Technology Work?
While many people have been switching to VoIP in order to save on their phone bill costs, very few people have a true understanding of how VoIP Technology works. Luckily, VoIP Technology is a fairly simple concept to understand, and one that can benefit both your home and your business should you decide you need to cut your bottom line.
What is VoIP?
VoIP, or “Voice over Internet Protocol,” is a system of making and receiving phone calls digitally, rather than through an audio signal. With the standard phone call, one’s voice remains in audio form, so that when it reaches the listener on the other end it has had to travel a great distance, and you have had to pay for the cost of that travel. With VoIP Technology, your voice is converted to data, sent over the Internet, and converted back to voice on the other end of the line.
The benefit of this method of sending and receiving phone calls is that it drastically cuts the price of your long distance and international calls, because each call is made through the data online, rather than having to travel through various circuits. It is similar to the technology of email and instant messaging, where any user – no matter where they are in the world – can send and receive a message instantly without additional cost or difficulty.
In addition, VoIP Technology is more beneficial for businesses as well. A traditional phone line takes up an entire line of “wiring” in order to send and receive calls. Only a fraction of the data being sent over a traditional phone line is wasted, leaving the rest of the data unused. With VoIP Technology, the same line can be used to make several phone calls, utilizing all of the available data. In addition, because VoIP connects using data packets, you can also send files, images, and other forms of data through the VoIP System.
What Are the Potential Downsides of VoIP Technology?
Despite the cost savings and beneficial aspects of VoIP, there are still several kinks that may need to be addressed:
- Emergency numbers are slightly less useful – Police and ambulances cannot trace the location of your phone call, since its location is essentially “online.” In the event that you cannot state your location, this could create problems.
- VoIP Technology does not work if the power is out – not true with standard landlines.
- It is possible for your VoIP system to be hacked, much like any software program. There are several precautions you should take to ensure that your data is kept safe.
- Should your Internet experience any severe problems, your VoIP will not work either.
Still, VoIP Technology represents a significant improvement from standard landlines, and are an effective way to save a great deal of money on your phone service










