A Basic Guide To Understanding How VoIP Phones Work

Editorial Team

You may have heard or come across Voice over Internet Protocol (VoIP) by now. This communication system has been around for about 26 years, having been launched in 1995. And it’s safe to assume that this innovation has revolutionized the way people communicate.

Whether you’re an individual or starting as an entrepreneur, this guide will give you an understanding of how VoIP phones work.

What Is VoIP? 

VoIP is basically the standard that governs or facilitates phone calls through internet connections. Most conventional phone calls are made through local telephone companies, but VoIP makes it possible to make a phone call through an internet connection.

In simple terms, VoIP is a telephone system that enables phone calls through the internet. You may have heard the terms broadband phone service or internet telephone, but nowadays, most IT and communication specialists like ntsdirect and others use the term VoIP. 

Most users prefer VoIP because it enables them to call without local telephone service. This saves them costs of long-distance calls and makes voice communication much cheaper than ever before. With VoIP phones, you don’t need to have any copper wires to makes voice calls.

How Does VoIP Work? 

When you make a VoIP phone call, a VoIP phone distributor or service provider sets up your voice call. VoIP converts your voice into some compressed digital signals and sends them across to your voice-call recipient over the internet. On the other end, the digital data is decompressed into the sound or voice that’s transmitted on VoIP phones.

To make a VoIP call, you’d need a VoIP calling app or what’s known as a SIP-compatible desk phone. These are assigned IP addresses that enable you to make calls. And unlike the landline, these can make high-definition phone calls. 

After you set up a VoIP phone system, you’ll be able to make or receive a call to or from pretty much anywhere in the world. This innovative technology makes talking through the internet as easy as sending a message through social media. 

How Does A VoIP Phone System Work? 

Unlike other phone calls which use regular landlines or mobile networks, a VoIP phone system makes phone calls via the internet. The VoIP system would convert your voice into digital signals over your internet connection. A VoIP service provider will have a server that’s utilized to enable calls to other networks.

If you possess a strong and reliable internet connection, including a modem and a router, then you could set up a VoIP. A VoIP configuration will typically include a desk phone with a SIP server that will be your service provider. The VoIP phone system could be better than the traditional landline because it has a better offering.  

Because VoIP works through the internet, data can be securely stored in the cloud. A user can manage the system with an online platform. This allows you to manage features like saving various contacts and phone numbers, forwarding calls, and so forth. 

VoIP Connection Options

There are different ways of connecting your VoIP phone. Here are some of the devices that could be used:

  • IP Telephones

These are devices that work almost the same as traditional phone systems. These, however, are plugged straight into your computer. IP phones normally include all the hardware and software you need to connect to your router or server. 

  • Computer-To-Computer

This is another great way of establishing your VoIP connection. For this, you’d need to install some VoIP software, and if you have a good sound card and a headset with a microphone, then you’re good to go.

  • Analog Telephone Adaptor (ATA)

With an ATA adaptor, you can connect your traditional telephone to your computer to make VoIP calls. The ATA converts your analog signal from your traditional phone into some digital data that can then be sent via the internet. 

The connection you go with will normally depend on the set you have at your home or office. You may need an IT professional to assess before they make any recommendations.  


Traditional landlines can be expensive to set up and operate. If you already have an internet connection, then you probably have an existing internet bill. Using VoIP phones is, therefore, not going to be a huge extra cost to your communication.

With VoIP, you could get more value for less. The other benefits of VoIP phones include reliability, mobility, simplicity, and efficiency. Whether you’re a business or an individual, VoIP is worth it. Consider the ideas mentioned here as you look for the suitable unit for you.