What is VoIP Phone? How does it work?

  • Last Updated: 13 Mar 24
  • 13 min read
what is VoIP phone and how does it work

Do you have limited flexibility in communicating with teammates and clients by being stuck😳at a specific location? 

If the answer is yes, we have a solution for you, i.e., VoIP Phones that enable you to make phone calls from any location🗺️and any time🕒 with comfort.

In this blog, we will discuss what is VoIP Phone, including how it works, types, pros, cons, features, popular VoIP phones, VoIP protocols, things to consider while choosing a VoIP phone system or VoIP service providers, and their differences from traditional landline phones.


  • A VoIP phone is a device that uses VoIP technology to make and receive calls through the Internet.
  • Traditional phone systems are limited to physical landlines, while VoIP phones are unlimited via internet connection.
  • You can get a VoIP phone number by selecting a VoIP service provider like KrispCall.
  • When choosing the ideal VoIP service provider, consider factors like internet speed, number of users, required features, phone needs, and service plan options.

What is a VoIP Phone? 

What is VoIP Phone

A VoIP (Voice over Internet Protocol) phone is a device or program that employs VoIP technology to make and receive calls through the Internet. It initially incorporates converting calls into digital signals and sending them over a substantial bandwidth. 

Unlike traditional landline phones, VoIP phones are widely popular because of their flexibility, scalability, and cost-effectiveness. VoIP phones include features like voice and video calling, instant messaging, and integration with Unified Communications.

Do you ever wonder, “Why use a VoIP phone? & Who uses VoIP phones? What is a VoIP phone used for?” Use a VoIP phone for business and personal use. Businesses, remote workers, and individuals generally use it to manage communication regardless of location and enjoy cutting-edge features.

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How Does VoIP Phone Work? 

VoIP Phones convert voice signals into digital data packets sent through the Internet. Firstly, A VoIP phone registers with a service provider, who then sets up and operates incoming and outbound calls. The provider sets the call up over the public switched telephone network after users call from a VoIP phone. 

Subsequently, The handsets convert and compress the sound into data packets and send them to the VoIP provider when a user communicates on a VoIP phone system. Finally, relying on the other end’s mobile phone call provider, the provider passes on the data packets or converts the sounds into analog audio.

Types of VoIP Phones 

There are two significant types of VoIP phones: Wired phones and Softphones. We have briefly explained how VoIP phones work here.

1. Wired Phones

Wired Phones are traditional desk phones that connect to the internet to make VoIP calls. They come in various models with different features, such as LCD screens, multiple lines, call forwarding, conferencing, voicemail, and programmable buttons. They offer a stable connection for high-quality calls and are ideal for office environments.

2. Softphones

Softphones are software-based applications that enable users to make calls from any device, whether computer or mobile, through VoIP technology. They provide flexibility and mobility, allowing users to make calls from anywhere with an internet connection. Unlike wired phones, softphones do not require physical hardware, which reduces costs. They can integrate with other software applications, such as CRM, to streamline communication.

VoIP Vs. Traditional Phones: What are the Difference? 

VoIP phones and traditional phones differ in numerous ways. The significant difference is that VoIP Phone users make and receive calls using the Internet, whereas conventional phone lines require physical wires. 

Unlike traditional phones, VoIP Phone services are more cost-effective due to their dependency on data transmission rather than voice calls, making them an attractive choice for businesses and individuals with effective communication solutions.

Therefore, VoIP phones offer flexibility and mobility for international calls regardless of location, compared to traditional telephones, which are limited to physical landlines.

Moreover, VoIP phone systems have advanced features like call forwarding, voice-to-email transcription, and integration with other applications, while traditional phones have basic features with limited functionalities. 

Below is a comparison table highlighting the differences between VoIP systems and landline phones:

FeatureVoIP PhonesLandline Phones
TechnologyInternet-basedCopper wires-based
CostLower installation and running costsHigher installation and running costs
FlexibilityFlexible for remote workTied to physical locations
Reliability Reliable with good call qualityMay experience occasional call issues

What are the advantages and Disadvantages of VoIP Phones? 

There are several advantages and disadvantages to using VoIP phones.

Pros of VoIP Phones are:

  • Lower Costs: Businesses can minimize the price of calling systems by choosing VoIP services. Traditional phones use analog, which has lower costs but requires more pricing in support, upgrade, and integration. In contrast, VoIP phones offer cheaper long-distance and international calls as they charge at the local rate of the call’s destination.
  • Advanced Features: VoIP Phones offer advanced features, which include monitoring, call recording, call screening, intelligent call routing, etc., to enhance communication and efficiency in the customer experience.
  • Integration: VoIP Phones integrate with many CRM systems or project management software, allowing businesses to manage customer interactions and data effectively.

Cons of VoIP Phones are:

  • No Offline functionality: VoIP Phones for businesses need an internet connection or robust bandwidth to transmit voice calls. If there is no internet or a power outage, users may be unable to initiate the calls.
  • Service Quality: The quality of VoIP calls highly relies on the internet connection. Network congestion can lead to voice distortion or delays during conversations, which can obscure communication over VoIP systems. 
  • Possibility of Cyber Attacks: Although VoIP offers better security features than traditional landlines, it is still susceptible to cyber attacks like hacking, eavesdropping, and denial of service.

How can I get a VOIP phone number? 

You can quickly get a VoIP phone number by choosing a VoIP service provider such as KrispCall. Sign up, select your number, make the payment, and begin using your VoIP number for calls. KrispCall also allows users to have multiple phone numbers on a single computer or mobile device, making it convenient to separate work and personal calls.

KrispCall is a VoIP service provider that offers reliable telephony service for modern businesses. It provides SMS and VoIP calls to toll-free, local, mobile, and national numbers in over 100 countries, which promotes an organization’s global presence. It has business-specific features such as call monitoring, call screening, call routing, and IVR, which can streamline business or personal operations. 

What are the VOIP Phone Features for businesses? 

There are myriad VoIP Phone features for businesses tailored to enhance an organization’s communication efficiency and productivity. Some key features include auto-attendant, call forwarding, voicemail to email, call recording, on-hold messages, and text messaging.  

Auto-attendant automatically answers incoming calls and offers callers options, like pressing a particular number to reach a specific department. Call forwarding lets users redirect incoming calls to the right person to ensure that calls are not missed even when the person is unavailable. 

Voicemail to email notifies users when they have voicemail messages and sends the message as an email. Call recording lets businesses record significant calls for training or compliance purposes to improve the quality of customer interactions. 

Likewise, on-hold messages are helpful for callers who are put on hold while waiting for assistance, which helps callers stay engaged and informed while waiting. Finally, the text-messaging feature lets users send and receive text messages through the VoIP phone system, making it useful for businesses that want to communicate with customers or employees through text messages.

🔍 Also Read: Best VoIP Retail Phone System for Businesses

What are the popular VoIP phones on the market? 

The popular VoIP Phones in the market are:

  • Yealink T27G: The Yealink T27 G is one of the most popular VoIP phones on the market. Its premium features are mostly favorable to receptionists who have to handle unusually high call volumes. It offers six lines that can handle 12 calls simultaneously, 21 programmable buttons, and a handset port, simplifying the receptionist’s task.
  • Poly VVX 250: The Poly VVX 250 is a basic-level IP desk phone with a 2.8-inch color backlit display, four line keys, four softkeys, illuminated audio keys, a USB port, and two Gigabit Ethernet ports. However, it doesn’t have built-in Bluetooth but is appropriate for knowledge and cubicle workers who require high-definition features demanded by the contemporary business environment.

Additionally, Some Popular VOIP conference phones are mentioned below:

  • Poly Trio 8500: The Poly Trio 8500 is the topmost super-smart VoIP conference phone, famous for its legendary audio quality and advanced conferencing features. It supports HD voice technology, noise-blocking technology, Bluetooth connectivity, and connection to multiple devices at once.It integrates with Microsoft Teams using the native Teams application interface. You can start, join, and control Microsoft Teams meetings with a single touch, ensuring uninterrupted meeting flow.
  • Snow C520: The Snow C520 is another outstanding VoIP conference phone famous for its performance in conference settings. It provides high-quality audio that is flexible not only in a conference room but also in a home office.It has Bluetooth and DECT 6.0 technology for calls and meetings. It also has a full-duplex speakerphone that allows callers to speak and be heard simultaneously. 
  • Poly Trio 8800: The Poly Trio 8800 is a popular VoIP conference phone with legendary audio performance for large meeting spaces. Its features include a large color touchscreen display, an on-screen virtual keyboard, and advanced noise-cancellation technology. Moreover, it has functionalities of built-in Wi-Fi connectivity and integration with Unified communication platforms, delivering an exceptional conferencing experience.

What do you mean by VoIP Ports? 

VoIP ports are essential for establishing connections and exchanging data between VoIP devices and servers. They help manage voice data packets signal information, and control messages within a VoIP network.

They are computer ports that enable VoIP technology to perform seamlessly. VoIP systems can effectively route and control voice traffic, guaranteeing precise and reliable communication using designated ports.

Additionally, with two network ports, one port links the phone to the internet connection, while the other allows for connection to computers or mobile phones. This practice lets the phone and computer share the same network connection and streamline network setup.

What are the different VoIP Protocols? 

Here is a table listing the top 7 VoIP protocols and standards, including their purposes:

SIPInitiate, maintain, and terminate real-time sessions, including video calling, voice, messaging, and other communication.
H.323Supports audio, video, and data communication over IP networks
MGCP (Media Gateway Control Protocol)Controls media gateways between PSTN and IP networks, streamlining call routing and control functions
RTP (Real-time Transport Protocol)Delivers audio and video over IP networks, ensuring timely delivery of data packets with minimal delay
RTCP (Real-time Transport Control Protocol)Offers control functions for real-time transmission of multimedia data, including quality monitoring and feedback mechanisms
SDP (Session Description Protocol)Provide Multimedia sessions for VoIP applications, specifying session details like codecs, media types, and network information
TLS (Transport Layer Security)Ensuring secure communication over VoIP networks by encrypting data transmissions between devices and servers

What are the things to consider while choosing a VoIP phone service provider? 

Are you considering getting a VoIP phone service provider for business or personal use? If so, then there are a few things to consider while choosing a VoIP phone service provider:

  1. Assess your internet speed: A VoIP service provider usually offers a selected internet speed in megabits per second for optimal service. Some providers have speed tests that help you determine your needs based on upgrading your internet.
  1. Consider your number of users: Determine the number of users who will use your VoIP phone service so that you can make the proper decision on what plans to spend on call volume, features, and lines.
  1. Understand the features you need: VoIP providers offer plans with numerous advanced features, which are essential when choosing a VoIP phone service provider. Therefore, it will be easy to determine which ones are essential for your business needs. 
  1. Identify phone needs: Sometimes, Hard and softphones vary in terms of use cases, so you need to identify whether your team requires Bluetooth-enabled or cordless phones or prefers to answer calls on the web before you start moving on the VoIP journey.
  1. Service Plan Options: To make an informed decision, evaluate beyond pricing and consider essential factors such as service quality, customer support, and available service plans.


Flourish your business growth with a VoIP phone call, which offers merits like lower cost, advanced features, and integration. Choose between a wired phone and a softphone and enjoy the popular VoIP phones in the market, like Yealink T27G, Poly Trio 8500, Poly Trio 8800, and Snow C520. 

Before enjoying VoIP phones in your business, evaluate factors such as internet speed, user quantity, features, phone requirements, and service plan options to achieve the best VoIP phone service provider like KrispCall.

What are you still waiting for? Right away, Book a KrispCall Free Demo


What are the different hardware components that make up most of VoIP technology?

The different hardware that makes up most of VoIP technology are:

  • Desk IP Phones
  • Conferencing Phones
  • Business Routers
  • Handsets
  • Computers and mobile devices
  • Analog telephone adapters (ATA)

Are VoIP Phone Calls free?

No, VoIP Phone Calls are not free, but some VoIP providers provide free calling within their network.

Why is a VoIP phone essential for a business?

A VoIP phone system is essential for business because of its advantages, such as cost reduction, high call quality, scalability, and increased productivity.

Can I transfer my existing phone number to VoIP?

Yes, you can port your phone number to a VoIP provider via number porting. To do so, you need to collect account details from your old carrier, submit details to a new VoIP provider, and wait for the porting process to finish. 

Does a VoIP Phone require Internet?

Yes, a VoIP Phone requires an Internet connection to transmit voice calls.

How is a VoIP phone different from traditional phones?

VoIP Phones are different from traditional mobile phones in connectivity since VoIP phones use the Internet, whereas traditional phones use physical phones and wires to make and receive calls.

Arun Chaudhary

Arun is SEO Analyst at KrispCall. He has written in extensively in the field of cloud telephony and call center solutions.

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