The SIP Trunking System

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Introduction

The cost of daily toll charges at Wallace Company has been on the sharp increase due to the use of the old public switched telephone with the PSTN connectivity (Flanagan, 2012). However, adopting of the SIP trunking system can by a greater margin lower the communication costs. SIP stands for Session Initiation Protocol and it is a protocol that is used to governor the flow of fax and voice calls with the help of VoIP (voice over internet protocol) which is currently among the best methods of transmitting calls (Yang, 2013). The VoIP system lowers the cost of communication because instead of transmitting voice signals over the old fashioned PSTN (Public switch telephone network) it transmits the signal using computer networks. SIP and VoIP are considered virtual ISDN lines because of their flexibility and reliability in service delivery (Shepard, 2005).

The replacement of the traditional PSTN with SIP can be done over the internet and such move first lowers the cost of both installing the ISDN infrastructure as well as PSTN gateways. For the success of the new system, the company has to install PBX gargets that are SIP enabled to allow fast and reliable connection to the internet.

When the SIP network is installed, the management will realize a solid and fast ROI (return on investment) through the lowered administration costs as well as the costs linked to voice calls that are made within the firm. This is attributed to the SIP trucking improving the VoIP beyond the LAN application. With this system, our main office will only be able to pay for what the company needs in terms of service and lines are only added when there is a necessity (Shepard, 2005). To add on that, once the system is installed maintenance costs are limited and therefore the cost of paying technicians upon visits are cut down by a much bigger margin. INCLUDEPICTURE “http://www.nhcgrp.com/hdphones_edgemarc/images/SIP_Trunking_Diagramx666wide.jpg” * MERGEFORMATINET

Figure 1. An illustration of how the SIP trunking system links its various components and works (Shepard, 2005).

Communication costs are reduced by a great margin since SIP trunks eliminate the need to purchase BRIs, PRIs, ISDN and even the local PSTN gateways (Shepard, 2005). This is for the reason that the voice call is transmitted via the internet connection to the ITSP and therefore the local PSTN is rendered useless. The cost of installation of the SIP trunking devices is extremely lower than the equivalent of PSTN. In terms of calculation, Wallace Company can therefore save up to 30% or even more on call expenses, and also an estimated 50% on line rentals (Flanagan, 2012).

The trunks are also flexible because the calls are no longer barred in terms of numbers due to reliance on the physical PSTN or ISDN or even the local BT exchange (Shepard, 2005). There is also line rationalization in the sense that SIP trunking provides an option of reducing the number of PBXs that require maintenance and it is even easier to regulate the firm’s numbers.

The cost of phone calls as well as call rates. An extra advantage is that internal communications between extensions and offices as well as international calls via the internet are free and an even much lower cost is incurred on rental costs for several users (Yang, 2013). In an event of a disaster, the call forwarding cost is also lower because it is easy to reroute calls to another location (Flanagan, 2012).

Similarly, there is also business continuity because the SIP trunks are flexible. The most important thing is the availability of data connection that will enable the Wallace company employees to log in to their SIP trunks from any available PBX anywhere(Flanagan, 2012). Most SIP service providing companies replicate their clients PBXs to their data centers and therefore the employees can use the phone system to utilizing alternative data connection from any location.

The use of the trunking technology also lowers the cost routing. The Internet protocol optimizes the efficiency of the SIP trunks for several service providers depending on the best available rates depending on time zone and geographical differences.

The technology too can allow IP to IP phone calls. This is done by creating a connection via the TDM connection as connections are made via the PSTN gateway. The ENUM (electronic number mapping system) uses DNS (domain name service) to combine a phone number to its specified SIP address allowing a telephone call to be transmitted via the internet instead of transmitting it via the costly PSTN (Flanagan, 2012).

Conclusion

After a critical numerical and economic analysis, from a technical point of view, it is very necessary to implement the SIP trunks and its installation which includes SIP capable devices, QoS , security as well as interoperability ensures that there are better results especially in terms of achieving outstanding voice quality (Yang, 2013). The technology will act as a cutting edge in terms of overcoming the geographical constraints and high costs invested in maintenance of the old fashioned PSTN communication system (Shepard, 2005). The IP and SIP are essential components in overcoming the geographical barriers that the company is currently experiencing. Working without the geographical and cost constraints ensure the company maximizes its profits and employees work efficiently without constraints and any client or employee is reachable anywhere in the world regardless of location provided there is an internet connection (Shepard, 2005).

References

Flanagan, W. A. (2012). The future of voice telephony and unifying communications. New York: John Wiley & Sons Ltd.

Shepard, S. (2005). Voice over IP crash course. New York: McGraw-Hill.

Yang, G. (2013). Proceedings of the 2012 International Conference on Communication, Electronics and Automation Engineering. Berlin: Springer.