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What are IP Phone Systems?
May 2, 2019

We answer the question: What are IP Phone Systems?

An IP phone system is a telephony solution that uses Voice over IP (VoIP) technology to make and receive your calls, as opposed to 'traditional' phone systems that use ISDN and analogue circuits.

Don't be confused: IP phone systems are also commonly referred to as 'VoIP telephone systems'.

Typically, an IP phone system is made up by three separate elements:

  1. An IP PBX
  2. IP compatible handsets
  3. Broadband/internet connection


An IP PBX is, at it's core, the same as a traditional PBX system - but instead of using the outdated communication standard of ISDN; IP systems use VoIP.

IP Handsets

These IP compatible handsets are modern, sleek design handsets that plug directly into your IP phone system to enable you to make and receive calls.

Broadband connection

A broadband connection is required to transceive your phone calls. Instead of traditional telephone lines, your IP phone system uses your broadband line to connect you to the outside world. This is technically known as SIP Trunking.

IP phone systems are a very cost-effective alternative to the traditional business telephone system or 'PBX'.

Still confused? Check out our blog post: VoIP: The Facts?

Why is IP cheaper than ISDN?

An IP phone system is - typically - a cheaper alternative to the traditional ISDN telephone system.

Because IP uses your broadband connection to make and receive voice calls, it helps reduce the cost of your telephone lines. IP phone systems can also be bundled with minutes to help reduce your businesses costs.

IP phone systems also help future proof your telecoms, getting your business ready for the 2025 ISDN switch off.

Want to save on your telecoms? Read our blog: 10 Steps to reduce telephone costs.

If you're interested in VoIP technology or IP telephone systems, please don't hesitate to give us a call on 01934 882200 for free, no obligations advice about your telephony.

Alternatively, you can email us at for some information about how IP can benefit your business.

Get your free online quote

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