On-Premise VoIP Phone System Connected to a
VoIP Phone Service Using a Traditional Phone Company EXPLAINED

In this third podcast Bruce Gibbs, President of ServiceMark, covers the details of the VoIP configuration for an On-Premise VoIP Phone System Connected to a VoIP Phone Service Using a Traditional Phone Company Solution.

Traditional landlines utilizing copper cabling are quickly becoming a thing of the past. Businesses who are contemplating a telephone system and/or phone service change should avoid traditional phone service over copper cables as it has become obsolete for several reasons, including cost. Current cutting-edge phone system solutions and service are the way to go. These cutting-edge solutions almost always involve Voice Over IP (VoIP) technology.

So, the question is no longer “is VoIP right for my business?”. The question is instead “what configuration of VoIP is most cost effective and the best fit for my business?”.

In this configuration, the solution involves a Voice/Data Provider. The names associated with Voice/Data providers include big traditional phone companies like AT&T, Consolidated Communications, Windstream, Spectrum, and CenturyLink. These well-known phone companies provide telephone service utilizing VoIP technology via “SIP Trunks”, which interface with an NEC VoIP telephone system with features and functionality that resides “on-premise” on the company’s data network. You can follow the green line in the diagram above, which illustrates the path of the phone call. A VoIP phone that is connected to a data jack, flows through a data switch, through the Voice/Data Provider’s Hardware, through the Voice/Data Provider’s Network, and out to the Public Switched Telephone Network (PSTN) to complete the phone call.

Although the diagram in the above podcast is 100% VoIP, ServiceMark Telecom emphasizes, especially in past years, that the path of the phone call doesn’t flow through the public internet making the call more reliable than the public internet. Four or five years ago, using the public internet to make and receive phone calls was not a mature technology, we were concerned about phone call quality over a “best effort” internet connection.

Today, although some internet connections are much more reliable than they were in the past, this configuration may still be the best fit today for the following types of businesses:
• Companies with limited and unreliable internet options
• Companies that need to make/receive 16 or more simultaneous calls and have more than 16 telephones (handsets).
• Companies that not only need phone service for their phone system, but also need multiple analog lines for legacy analog devices such as fax machines or other modem devices.

In order to determine which VoIP solution is the “best fit” and most cost effective for a business, ServiceMark has developed a Total Cost of Ownership tool, which compares multiple solutions, and calculates the total cost of ownership over 3, 5, 7, and 10 years. It’s common to compare a Cloud (Hosted) VoIP Phone System Solution to an On-Premise VoIP Phone System Solution Connected to VoIP “SIP Trunks”.

Businesses can call ServiceMark at 816-478-2000 or request a no-cost business phone system consultation by submitting the form on the right.

We take the time to educate business owners on multiple business phone system solution options, helping them determine, through the total cost of phone system ownership calculations, which option is most cost effective and the best fit for their business, employees and customers.

LEARN MORE:  What is a VoIP Phone System? (in layman’s terms)


ServiceMark Telecom make it easy for business owners to stay equipped with the latest business telephone system technology with easy and flexible financing options through Mid Continent Capital, a local company in the Kansas City area that has provided convenient financing for our customers for well over 20 years.

Whether the phone system is a VoIP Cloud Phone System Solution, or is a VoIP On-Premise Phone System Solution, both solutions will involve some hardware such as VoIP phones, and if needed, updating the firewall and data switches that need to be installed on the customer’s premises, all of these costs can be financed.