VoIP offers major savings, analysts claim

Businesses could save 49% of their telco costs by replacing traditional private branch exchanges (PBXs) with IP telephony.

Businesses could save 49% of their telco costs by replacing traditional private branch exchanges (PBXs) with IP telephony.

The report from analyst firm Analysys found that enterprises with more than 500 employees could save up to 49% off operating expenses and save 32% overall by investing in an IP-based PBX.

The report, IP Voice Services: The return on investment for European service, found companies opting for a hosted PBX system could save 15%. The savings were calculated based on the ten-year life of a traditional PBX.

Margaret Hopkins, author of the report said: "VoIP technology is becoming more mature and there are significant return on investment opportunities for large enterprises and consequently for the service providers offering these systems."

However, she predicted lower running costs would not be the main reason businesses switch from a PBX to a VoIP system. VoIP offered added values over PBXs such as hot desking, increased mobility, unified messaging, speech-to-text and text-to-speech capability, integration of voice system and databases, free inter-site calls and reduced cabling costs.

"While some of these benefits may be available from modern PBX systems, VoIP systems will tend to be simpler and can be managed by IT staff," she added.

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