Voice Over Internet Protocol is changing the way businesses communicate everyday. Thanks to its flexibility and cost-effectiveness, VoIP is replacing traditional telephony at a rapid pace as more and more companies make the switch. It’s no longer a matter of if companies will switch but when.

If you’re not yet on board, this article will show you why you should think about business VoIP over your traditional phone provider and how your company can benefit from this technology.

What is VoIP?
Before we delve into voice termination, let’s take a brief look at what VoIP actually is and how it works. VoIP is an acronym for Voice Over Internet Protocol, which simply means voice over the internet. Sounds simple enough right?

Instead of using landline phones to Telecom communicate, you can enjoy the same phone experience via your internet connection. Many businesses use this technology because it gives them flexibility their landline phones don’t and it is cheaper too.

If you have a robust internet connection, you can get excellent phone service from a VoIP provider rather than your local phone company.

What is Voice Termination?
Voice termination, also called call termination, merely means that when you place a call it is routed from one provider to another until it gets to its final destination (i.e. the end-user). The point at which the call is received at the end of the cycle is what we call voice termination.

The endpoint at which a call is received can be another phone or a service such as Skype.

Your voice termination provider handles the rearranging of this data when it gets to its final destination. The rearranging is vital since it keeps the call and voice quality high for the users.

Without good call quality, the voice would deteriorate, making understanding the caller next to impossible. Like when you have bad phone reception and hear every few words. That makes for a frustrating conversation.

voip provider
Types of Voice Termination Providers
For managing VoIP networks, there are a variety of providers from which to choose, depending on your company’s needs.

Tier 1 Provider
Tier 1 providers are registered operators who manage the infrastructure required to handle the call and the call termination.

Tier 2 Provider
Tier 2 providers are ones who are not registered and lease service from the registered Tier 1 providers.

Tier 3 Provider
Tier 3 providers are also unregistered and lease their service from either a Tier 1 or 2 operator.

While it might seem confusing at first, the number of operators is essential to keep competition healthy, give businesses choices, and to keep prices low. That is great news for consumers.