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Sip Trunking 101: Why You Should Get to Know It

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June 28, 2013

Sip Trunking 101: Why You Should Get to Know It

By Rory J. Thompson, Web Editor

It’s a phrase that’s been around the telecom world for a while, but most businesses are just now starting to realize the benefits of SIP Trunking, and how they can save money by implementing it in their organization.

According to a report in Network World (News - Alert), SIP refers to “Session Initiation Protocol,” the standard developed in the 1990s by the Internet Engineering Task Force that is used to set up and terminate VoIP calls and generate dial tone. A SIP trunk is a broadband Internet link that utilizes SIP to connect a company's IP-based PBX (News - Alert) to an Internet telephone service provider (ITSP). Instead of terminating the trunk directly at the IP-PBX, for security’s sake companies tend to terminate the trunks at a SIP-capable session border control system that acts as a firewall.

This means increased security for calls made though a SIP Trunk, and huge cost savings for companies. Further, by consolidating and simplifying your voice architecture. SIP trunks can support voice, data and video all over IP, meaning a single trunk can replace multiple TDM trunks.

SIP trunking also makes it possible to add capacity during times of high call traffic. If you rely on T-1 lines, for instance, you have to purchase 24 channels even if you only use five of them at any given time. With SIP trunking, if your provider supports the capability, you just assign bandwidth to locations as needed to deal with high call volume. 

By adding SIP Trunking from a major supplier like Panasonic (News - Alert), companies can also:

  • Decrease their monthly communications expenses by more than 50 percent
  • Enable faster disaster recovery with an IP network's distributed architecture
  • Reduce or eliminate hardware media gateway purchasing and maintenance costs
  • Increase flexibility with the ease of adding, subtracting or changing a line
  • Preserve existing capabilities with seamless integration into existing systems
  • Decrease their initial investment expense with Panasonic's Finance Program

If your company has been eyeing its bottom line, it might be time to consider what leading companies already know: SIP Trunking helps make the right connection.

Edited by Alisen Downey

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