Business VoIP

Which is Right for You: Hosted VoIP or SIP Trunking?

With BT planning to switch off its ISDN network by 2025, more and more businesses are wondering what’s next for their communications. However, making sense of your options isn’t always easy.

While news articles tend to sing the praises of one service or another, the truth is that both hosted VoIP and SIP trunking have their own unique advantages – and the right choice for you will depend on your existing setup and how you do business.

To help, here’s a short guide to some key advantages and disadvantages of both technologies across four key areas.


The core technical difference between SIP trunking and hosted VoIP is the nature of your PBX server. SIP trunks connect your own in-house PBX to the switched telephone network, while with a hosted service your PBX itself can be hosted in the cloud.

That major difference has a profound effect on your flexibility. If you use SIP trunking and you are moving to a new location, you will need to relocate your physical PBX. With a hosted solution, your service provider will support you through the transition and take care of everything.

In addition, day-to-day, hosted VoIP offers the advantage of being accessible from anywhere – so people can work and make calls whether they’re in the office, at home, or on the move.

Management and security

With SIP trunking and your own on-premise PBX, you will remain responsible for all management, maintenance and security. While this may sound like a negative, there are occasions where that level of control is important – particularly if you already pay for in-house expertise or work in a sector with very specific compliance requirements.

Conversely, VoIP telephony with a cloud PBX puts more responsibility in the hands of your service provider. With the right VoIP service provider, one who understands your needs around security and configuration, you can get an incredible quality of service without the cost or frustration of in-house management.


In the case of SIP trunking, implementation requires on-site engineer visits to connect your PBX to the PSTN via your SIP trunk. Whenever you need to add more lines, an engineer will need to attend – which isn’t always quick or cost-effective.

Better scalability is perhaps one of the most significant advantages of hosted VoIP. Adding new lines becomes a fast, virtual process that can be conducted remotely and at short notice. In the case of Hostcomm’s hosted VoIP, your telephony can be scaled up to 800 extensions – more than enough for even rapidly growing businesses and contact centres.


Finally, the big question: which is more affordable, SIP trunks or hosted telephony? As you’d expect, the answer is far from straightforward.

If you already have your own PBX server, SIP trunks are an affordable alternative to ISDN lines. Using SIP trunks can be a way to extend the value you’re already getting from your investment in hardware. In addition, using your own PBX and SIP trunks doesn’t come with bandwidth concerns of sending all your comms via a broadband connection.

However, if you don’t have your own PBX, you’re looking to cut costs or your existing PBX is nearing the end of its useful life, VoIP offers a compelling new approach. Hosted telephony lets you remove the cost of ownership and management altogether, then pay a simple, predictable fee that covers everything.

While SIP trunks are right for some larger businesses, small and medium firms could find that the ease and simplicity of VoIP is priceless.

Compare Hostcomm’s SIP trunking and hosted VoIP features.

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