VOIP Business Phones – The Terms You Need To Know!


VoIP has become one of the best options in telephone and communication systems for today’s businesses. Because they provide essential business assistance like phone, voicemail, video conferencing, and more, many companies are turning to VoIP services as a more comprehensive, yet affordable option. There are a number of important terms associated with these business communications systems. To get the most from this new type of telephone services, it is important to understand the terminology involved.

Voice Over IP

VoIP is the acronym for “voice over internet protocoI.” It is a type of technology that allows conversations to be transferred over the internet, instead of using phone lines. By digitizing voice data at one end of the call, transferring it to the destination, then converting digital data back into sound information, the use of internet telephony has become a much more efficient means of making a phone call.

IP or Internet Protocol is the network over which voice data travels from the caller to the desired destination and how that data is moved within the communications network.

Bandwidth and KPS

Bandwidth and KPS is the amount of data that is transmitted over communication lines, measured in volume per time unit. Bandwidth is usually measured in bits or bytes per second (bps) on digital devices. KPS, or kilobytes per second, refers to the speed at which information is transferred.


Bandwidth and KPS are important to VoIP as it determines how much information can be transferred through the IP and how fast it can be transferred.


Session Initiation Protocol (SIP) is the type of IP communications technology used for VoIP and some other services such as instant messaging. Phones that utilize SIP technology and allow phone calls to be made over the Internet are called SIP Phones. Not all communication devices support SIP technology. Therefore, it is essential to purchase the type that offers this support in order to make use of business VoIP.


A Private Branch Exchange, also known as a PBX, is switching technology used by VoIP to connect phone extensions both within a business system and to extensions outside the system as well. PBX can be privately hosted onsite, or purchased as hosted, which means the PBX is hosted remotely and can be easily managed online.


Direct Inward Dialing is a popular function that many users rely on to provide dedicated inbound numbers to their callers. DID is a group of phone numbers purchased in bulk which can be used to direct incoming calls to specific users on the VoIP network without requiring a physical phone connection for each of the many possible connections.


Softphone is a type of software that can be installed on any PC to give it VoIP capabilities. By using a headset and this software, anyone can make business calls using a desktop or laptop computer. When using this software, all calls must be made on a PC or laptop since it does not integrate with mobile devices.

VoIP services are a highly functional and customizable solution for current efficient business communications. To better understand how this technology works and how it can benefit a company, understanding the related terminology is essential. By knowing the way in which data is modified and transferred over the Internet as well as how things like software, bandwidth, and various PBX options can affect its use, companies can purchase the internet telephone services that will provide them with the most benefits!