What is SIP Trunk and How Does it Work?

SIP trunk

For decades telephony has been governed by physical phone lines that exist in the real world. Today, as digital technology continues to reshape the way business works. It is possible to operate your phone system through an internet connection rather than through phone lines. This process is handled through a SIP trunk. In this article, we’ll explain exactly what a SIP trunk is as well as how it works, before taking a look at what it can do for your business.

Let’s get started.

What is a SIP trunk?

Fundamentally, a SIP trunk is a connection between a traditional telephone system and the internet, which allows calls to be handled online, through the exchange of data, rather than through physical cables.

SIP stands for Session Initiation Protocol -think of this as a protocol, or set of rules, that govern the digital exchange of information when a call is made. When you speak into a phone, the sound of your voice is converted into data which is transferred to the listener through this protocol. At the other end, your voice is heard exactly as it would be with a traditional physical phone line (although occasionally with greater clarity, depending on the quality of the connection).

Trunk originally referred to the bundle of physical phone lines that any business would need to keep its communication system running. Today, trunk refers to the bundle of virtual connections between the traditional phone system and the internet. Just as in the past a trunk was made up of many individual connections, so too with a SIP trunk – the connections may be virtual, but they have to be set up and maintained, and so form an invisible bundle.

How do SIP Trunks Work?

Each of the connections that make up the ‘bundle’ of a SIP trunk allows for more data to be handled. In other words, the more connections in your SIP trunk, the greater the volume of calls your communication system can handle, particularly at any one given time.

What are the Advantages of Using a SIP Trunk?

By connecting your telephony system to the internet through a SIP trunk. You can unlock a number of advantages for your business.

Saving Money

Since a SIP trunk setup is based upon the specific needs of your business. And the volume of incoming and outgoing calls it needs to handle. It is likely to offer you better value for money than other telephony systems. With these, you may end up paying for capacity you never use. Which can add up to wasted investment over time.

Increasing Your Reach

Another significant advantage of a SIP trunk is that because it connects your telephony system to the internet. It eliminates the previously crippling cost of long-distance calls. Provided that you have the correct setup and pricing package. A SIP trunk will allow you to make international calls at no additional cost. A welcome benefit for those who have clients and collaborators around the world.

A SIP trunk also allows you to centralise your telephony system. Streamlining your general communications and reducing maintenance costs through the absence of physical equipment.

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