What is the difference between VoIP and cloud telephony?

What is Voice-over-IP telephony?

Voice-over-IP (VoIP) is the technology that makes it possible to transmit voice data over the Internet. Voice-over-IP stands for "Voice over Internet Protocol". Literally translated, this means: "Voice over Internet Protocol". Instead of using analogue lines or ISDN as in the past, voice is digitized, converted into data packets and transmitted via the Internet. VoIP therefore only describes the way in which the telephone call is technically transmitted. VoIP can be used both in a local telephone system (on-premise) and in a cloud solution.

What exactly the switch to IP means for companies is explained in the article "All-IP: What does the switch from ISDN to IP mean for companies?".

What is cloud telephony?

Cloud telephony is a service based on VoIP technology - in other words, a complete telephone system that is not located in the company but is operated in the cloud (e.g. by the provider). The entire telephone system (including control, administration and functions such as call forwarding, voicemail or conferencing) is no longer operated locally, but hosted in the cloud.

This means that

• The entire telephone system, including software, administration and maintenance, is hosted by the provider.
• Companies rent the functions instead of owning them themselves.
• Everything, from number management and call control to voicemail, runs via the provider's internet portal.

What are the advantages of a cloud telephone system?

Switching to a cloud telephone system offers companies numerous advantages:

• Cost efficiency:
  No investment in expensive telephone systems or maintenance contracts - you only pay for what you actually use.
• Flexibility & scalability:
  New extensions or locations can be added at any time - ideal for growing companies and hybrid teams.
• Location-independent use:
  Employees can make calls from anywhere via smartphones, apps or IP phones - whether in the office, working from home or on the move.
• Simple administration:
  Administration takes place centrally via a web portal, updates are carried out automatically
• Future-proof:
  The cloud telephone system is compatible with modern communication platforms such as Microsoft Teams and is therefore ideally equipped for the digital future.

There are hardly any disadvantages to a cloud telephone system, but companies should nevertheless bear the following points in mind:

• A stable and powerful internet connection is a prerequisite.
• In the event of an internet outage, a connection via the cloud is not possible (backup options can help here).
• Data protection and the choice of provider should be carefully checked.

In addition, some typical mistakes can occur when switching to a cloud telephone system, but these can be easily avoided. In our article "Cloud telephone system: The 5 most common mistakes when switching and how to avoid them!" we show you what you should look out for.

What do I need for cloud telephony?

Getting started with cloud telephony is easy - only a few requirements are needed:

• Stable internet connection:
  At least 100 kbit/s per simultaneous call, ideally with Quality of Service (QoS) support.
• IP-capable end devices:
  Either special IP telephones, headsets with softphone software or mobile apps on smartphones.
• Cloud telephone provider:
  A professional provider takes care of setup, hosting, security and support.
• Optional: Integration with collaboration tools:
  Cloud telephone systems can be connected to solutions such as Microsoft Teams or CRM systems for seamless communication.

Conclusion: A cloud telephone system is more than just a modern telephone solution - it is a central building block for digital, flexible and cost-efficient corporate communication. Switching today not only saves costs, but also creates the basis for a future-proof IT and communication infrastructure.