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What is a cloud phone system?

A cloud-based phone system, while not designed for business per se, proves to be an invaluable business communications solution. The best part is that there is hardly any hardware required for cloud-based phone systems and they are hosted and maintained in the cloud service provider’s data centers that your office can connect to through the internet. Cloud-based phone systems make use of voice over IP (VoIP) or Internet telephony and also have a hosted PBX capability (same routing and call management features of traditional PBX systems).

On top of which, cloud-based phone systems offer a host of other features that traditional office phones don’t have or only offer at exorbitant rates. A relevant case in point can be long-distance calling. The best part of cloud-based phone systems is that they are offered as a service to businesses of all sizes who can subscribe to the services based on their unique business needs instead of getting locked into an expensive on premise system. Get started with cloud-based phone systems today with Cloud Services New Jersey.

How do cloud-based phone systems work?

A cloud-based phone system essentially converts your voice information into small digital packets that are transmitted as data through the internet to the intended recipient. The call is routed through a cloud-based PBX.

Cloud-based phone systems can be accessed in many ways. You can use a traditional phone with a VoIP adapter that can be inserted into your router or the phone outlet. Of course, the most popular method is to use computers or smartphones to access cloud-based phone systems through VoIP programs or applications like Skype, Google Voice and Apple FaceTime.

Alternatively, you can also use a dedicated VoIP phone. Though these are indistinguishable from traditional analog phones, they actually work by connecting directly to a computer network instead of a phone line.


8 Features of a cloud phone

Comprehensive communications solution

Cloud-based phone systems are often referred to as unified communications solutions as they combine the features of business phone systems, voicemail, instant message or chat, video conferencing and faxing, as well as integrations with email, web apps, social media, and tools like a CRM. IT Support Atlanta can help you learn more.

Better Video conferencing

With remote work becoming the norm the world over, video conferencing has become an essential tool for businesses of all sizes. These tools need to be reliable as well as easily accessible on a variety of phone and computer systems in order to be used by diverse groups of people. This is why most cloud-based phone systems integrate video conferencing, so businesses don’t need to pay extra.

Reliable International calling

Imagine having no long-distance charges on your enterprise phone bill. Making or receiving international calls on cloud phones are absolutely free as the calls are Internet-based.

Find me, follow me on calls

This feature allows you to receive or place calls on multiple devices using the same number. For instance, if someone calls the user’s work number, both his/ her desk and smartphone will ring. This means that even if the user is away from the phone, they can still answer the call on the desktop. It is also possible to transfer calls between authorized devices.

Artificial intelligence

Artificial intelligence has improved by leaps and bounds in the recent past. Cloud-based phone systems make use of AI particularly in aspects such as customer service and to enhance functions like speech-to-text and sentiment analysis.

Instant messaging

Many people use text-based Instant messaging as their primary tool of communication. Cloud-based phone systems allow for real time communication through instant messaging that connects a wide range of devices on the network. This form of communication is highly responsive on a variety of devices including desktop computers, handheld devices and smart phones. In addition to responsiveness, text-based messaging also allows users to refer back to the communication in case they forgot something.

Cloud communication

Cloud communication refers to the package of communication services that combines telephony, instant messaging, video conferencing and more.


This is essentially a transcribing function that allows voicemails to be transcribed and sent as an audio file to an email address. The user does not have to use a voicemail box in order to just access the voicemail. This means that the communication will be accessible on a broader range of devices and allow the user to refer back to the voicemail in the future.

Cloud phone system vs. a traditional phone system

Traditional office telephone systems connected phone systems to the public network through ISDN or PSTN. In cloud-based setups, traditional voice communication is routed through a hosted internet system. They can also connect through VOIP Cloud Phone System enabled by the internet. This essentially enables companies to replace desk phones with virtually any internet-enabled device although desk phones can still be connected, if desired. Cloud-based voice is significantly cheaper than traditional phone lines or VoIP and can also have additional cloud features.

Benefits of cloud-based phone systems

As enterprise operations grow increasingly digital, cloud-based phone systems offer multiple benefits over traditional systems including cost and reliability. But if you are already invested in a traditional phone system, switching to the cloud may not always prove cost-effective. But if you’re not tied to traditional phone systems, cloud-based phone systems win hands down for the following reasons.

Cloud phones are inexpensive

Since calls happen entirely through the internet, businesses only need to pay for their internet use, instead of significant charges for call minutes, transferring or voicemail. Unlike phone call charges, this cost remains mostly predictable.

Cloud phones are highly reliable

As cloud systems are hosted in multiple locations, your business is guaranteed uninterrupted connectivity even if certain servers face issues. This helps you avoid major service disruptions and downtime.

Improved flexibility with cloud-based phone systems

Cloud Phone System allows you to be connected anywhere, and at any time. With the ability to route calls to your VoIP-enabled phone or other handheld device, you will never be out of reach as long as you have internet connectivity. Get in touch with Managed IT Services New Jersey to get started with Cloud Phone System Small Business today.

Sharon Arena

Sharon Arena is the Marketing Coordinator at Olmec Systems, LLC. Sharon studied Marketing Analytics and Data Research at Post University in Waterbury, CT. She has 15+ years of experience in direct marketing, sales and operations management.