The future of SIP Trunking


Engineers, CTOs, and Product Managers have debated the business value of SIP Trunking extensively over the past decade. Why do we still have to believe in it?

When the adoption of SIP Trunking started to accelerate, many saw it as the solution of the future for voice communications. This technology has many advantages over analog telephony, and it is poised to become the dominant method for voice calls around the world, with operators in many countries shutting down traditional connections, forcing companies to switch to SIP. Yet many voice communications experts that I have mets, such as engineers, technical directors and product managers, have long debated over the past decade the longevity of VoIP and SIP Trunking services in terms of business interest and revenue growth. What is it?

The answer lies in what has improved the performance of SIP and helped it become mainstream: the introduction of fast and reliable internet connectivity. Voice and unified communications have been the subject of several innovations that have transformed their world, and many new players have appeared on the market, from the first innovators like Skype to new platforms like Zoom. As businesses embrace cloud telephony, internal calls no longer go through the PSTN, which begs the question: With these new cloud telephony systems, do businesses still really need PSTN? Is SIP Trunking already becoming obsolete, or does it still have a role to play?

The abundance of actors and communication features in the cloud

Cloud communication and collaboration platforms like Microsoft Teams are ubiquitous and have changed the way we work and communicate. The Covid-19 pandemic has accelerated their adoption even further – many of us have used Teams or Zoom for personal or business use over the past year. These platforms bring together and allow collaboration in different ways, with chat, video, voice, and even integrate with other cloud services like Office 365.. For large companies, these platforms offer other advantages like cost savings and simplicity. In addition, the adoption of cloud telephony can significantly reduce capital expenditure by removing the need for a PBX at each site, and freeing up the IT resources previously responsible for managing a decentralized solution.

The role of SIP

With the popularity of cloud telephony providers exploding, some would think SIP Trunking is in its last days. Gold Research and Markets predicts that SIP market expected to reach US $ 30.22 billion by 2027. This growth comes as many companies are still moving away from TDM, with SIP offering attractive price reductions and greater flexibility. SIP is a technology that can and should coexist with cloud telephony for a simple reason: businesses always need to connect to the PSTN.

Platforms like Microsoft Teams or Cisco WebEx offer powerful new communication and collaboration tools, but on their own, they cannot encompass all possible voice call scenarios. Employees should always make and receive outside calls. Sellers should contact prospects. Service representatives should communicate with clients. Purchasing teams should communicate with suppliers. All end users should be able to contact local emergency services. More importantly, contacts outside the company need a number to call to ask questions, request service, place an order, etc. All of these are based on the RTC.

Fortunately, cloud telephony providers and VoIP telecommunications providers can work together to give businesses the best of both worlds – the full feature set of cloud telephony with inbound and outbound calls to the PSTN through a SIP trunk.

In order to combine the advantages of cloud telephony with those of the SIP protocol, companies have an interest in approaching a voice service provider with strong SIP coverage to link all of the company’s sites and work with the cloud telephony providers of their choice, ensuring call quality. The integration must be seamless and the operator must offer pre-established and fully redundant SIP Trunking direct routes, as well as the support of knowledgeable SIP engineering experts to help design the solution.