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Seventy Percent of Premise-Based Call Centers Plan on Moving to the Cloud

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Seventy Percent of Premise-Based Call Centers Plan on Moving to the Cloud

June 10, 2014
By Matt Paulson
TMCnet Contributing Writer

Cloud technology is constantly reducing the cost of hardware, as businesses are able to access state-of-the-art technology without having to own or operate the equipment, at only a fraction of the price. One area where cloud technology is having a large impact is in the realm of call center technology. A new survey from Evolve IP (News - Alert), documented on, found that although 78 percent of today's call centers are still premise-based, about 70 percent of them have plans to transform their businesses into cloud-based contact centers.

A premise-based call center is largely dependent on having an on-location Private Branch Exchange (PBX (News - Alert)) to manage both incoming and outgoing calls. Typically, a PBX will also provide other call services including Interactive Voice Response (IVR), Automatic Call Distribution and more. However, these devices are expensive to purchase, and keeping up with maintenance requires a dedicated IT staff as well as another chunk of change for parts.

However, with Voice over Internet Protocol (VoIP) technology, call centers can move their hardware into the cloud, which is both more economical and easier to manage. Hosted VoIP phone systems shift the burden of owning and maintaining a PBX onto the service provider as opposed to the business.

Some fret over the long-term cost of paying monthly fees for each phone line (sometimes as little as $20), as these costs will eventually outweigh the initial investment in a PBX. However, the cost of maintenance alone is enough to make this deal at least an even trade, and the salary required for a dedicated IT professional means that hosted PBX systems are typically the way to go.

Furthermore, cloud-based call centers allow for a decentralized workforce, enabling call centers to use employees who work from home. Ultimately, it seems that cloud technology and VoIP phone services will enable call centers to change the way they work by lowering costs and increasing efficiency.

Edited by Rory J. Thompson

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