Since the inception of high-speed internet, it’s becoming more and more common to see businesses make the switch to Internet Protocol (IP)-based communication systems in VoIP and FoIP software. This growth is reflected in the amount of VoIP telephone lines for businesses, which has increased from around 6 million in 2010 to over 36 million in 2017 (1). As VoIP and FoIP offerings increase, many businesses aren’t aware of the differences, benefits, and takeaways of each service.
VoIP (Voice over Internet Protocol) is a technology that allows users to make voice calls over an internet connection like Skype, WhatsApp or Google Phone. Businesses have widely adopted VoIP because of the many natural advantages it has over traditional phone service.
FoIP (Fax over Internet Protocol) technology, on the other hand, allows for transmitting faxes over IP networks. Although Fax over IP is about the same age as VoIP, companies haven’t adopted it at the same rate as VoIP. This is mostly due to a lack of awareness that focusing on improving lesser-known technologies can actually result in a more expansive selection of stellar offerings in the market, especially for larger deployments.
As bandwidth becomes more readily available and carriers have the time to invest in improving IP network infrastructure, deciding to switch to IP based communications is a no-brainer for most. Unlike traditional fax machines, which have limitations in terms of security and operational efficiency, FoIP provides better security through encryption, eliminates the need for physical machines, and enhances workflow by integrating seamlessly with existing systems. Here is an outline of some of the advantages and disadvantages related to both VoIP and FoIP software.
Understanding Fax and VoIP Technologies
In today’s fast-paced business environment, efficient communication is crucial. Understanding the technologies behind Fax over Internet Protocol (FoIP) and Voice over Internet Protocol (VoIP) can help businesses streamline their operations and reduce costs. Both technologies leverage the power of IP networks to deliver traditional services in a more flexible and cost-effective manner. Let’s delve into what each of these technologies entails and how they can benefit your business.
What is Fax Over Internet Protocol (FoIP)?
Fax over Internet Protocol (FoIP) is a modern technology that allows the transmission of fax documents over an IP network, bypassing the traditional Publicly Switched Telephone Network (PSTN). Instead of relying on dedicated phone lines, FoIP uses the internet to send and receive faxes. This means you can use a fax machine, computer, or even a mobile device to handle fax documents.
One of the significant advantages of FoIP is its ability to securely transmit confidential documents over IP networks. This is particularly beneficial for businesses that need to send and receive sensitive information quickly and securely. By using internet protocol, FoIP ensures that fax messages are delivered efficiently, reducing the need for physical fax machines and separate analog networks.
What is VoIP?
Voice over Internet Protocol (VoIP) is a communication technology that enables voice calls to be made over an IP network, such as the internet. VoIP works by converting analog voice signals into digital data packets, which are then transmitted over the internet to the recipient’s device. This process allows for high-quality voice communication without the need for traditional telephone networks.
VoIP has become a popular choice for businesses due to its cost-effectiveness and flexibility. By using internet protocol, VoIP services can offer a range of features such as call forwarding, voicemail, and video conferencing, all while reducing the reliance on traditional phone lines. This makes VoIP an attractive option for businesses looking to modernize their communication systems.
How Fax and VoIP Work
Understanding the underlying processes of FoIP and VoIP can help businesses make informed decisions about their communication infrastructure. Both technologies utilize IP networks to deliver their respective services, but they do so in different ways.
FoIP works by converting fax documents into digital data that can be transmitted over the internet. When you send a fax using FoIP, the document is scanned and converted into a digital format. This digital data is then sent over the IP network to the recipient’s fax machine or computer, where it is converted back into a readable format. This process eliminates the need for traditional fax lines and allows for more flexible and efficient faxing.
VoIP, on the other hand, converts analog voice signals into digital data packets. When you make a call using VoIP, your voice is digitized and sent over the internet to the recipient’s device. The recipient’s device then converts the digital data back into an analog signal that can be heard. This process allows for high-quality voice communication over IP networks, providing a cost-effective alternative to traditional telephone networks.
By leveraging the power of IP networks, both FoIP and VoIP offer businesses a modern, efficient, and cost-effective way to handle their communication needs. Whether you’re looking to streamline your faxing process or upgrade your voice communication system, understanding these technologies is the first step towards making the best choice for your business.
Advantages of VoIP services over IP network
Proprietary phone systems are traditionally expensive and cumbersome for businesses to install and maintain. Reconfiguring and scaling up as your business grows becomes a headache for administrators. VoIP phone systems offer numerous advantages over older systems including:
(1) Cost-effectiveness compared to traditional phone service which requires a physical analog line for every line of service.
(2) Most VoIP providers offer numerous built-in features such as call recording, call waiting, auto-attendant, call forwarding, mobile apps, and unlimited nationwide calling. Additionally, the ability to send faxes from various locations without waiting in line adds to the convenience, though there may be inconsistencies when faxing over VoIP, making traditional phone lines a reliable backup for critical fax operations.
(3) Some services provide fully hosted PBX systems – meaning there is no physical hardware to install or maintain on-premise other than the phones themselves.
(4) Can be used without telephones at all. Many providers offer service compatible with softphones (desktop software) and calling through mobile apps, further reducing start-up costs.
(5) Very scalable. Can easily provision new numbers and users.
Disadvantages of VoIP services compared to telephone network
(1) Requires high internet bandwidth for superior call quality
(2) Can suffer from packet loss and latency
(3) Contingent on power and internet, if either is down, phone service is down
(4) High variance in quality between providers
Generally speaking, the advantages of VoIP clearly outweigh the disadvantages. The most prominent debate is choosing between a fully hosted service, an on-prem PBX, or a hybrid solution. Many industries previously reluctant to embrace fully hosted offerings are beginning to move to the cloud. We believe this trend will continue.
Now let’s take a look at Fax over IP.
FoIP works over T.38. T.38 protocol is the ITU (International Telecommunication Union) recommendation for real-time transmission of faxes over IP networks. Traditional faxes, on the other hand, rely on the Public Switched Telephone Network (PSTN) and face challenges with protocols like G.711, which are optimized for voice calls rather than fax transmission.
It was designed to allow fax to work over VoIP network and enables raw data transport (packetized).
In theory, T.38 is a solution for those looking to move faxing from POTS lines to an IP network. In practice though, there have been quite a few challenges with adoption of T.38. We have broken down the advantages and disadvantages below.
Advantages of FoIP services for fax machines
(1) More cost-effective than dedicated analog fax lines
(2) Allows for faxing without the need for clunky old fax machines (Email to Fax, Fax APIs, fax by web portal)
(3) Some services offer centralized administrative controls
(4) Can help with security and compliance (i.e. automatic cloud storage, audit trails, user authentication for HIPAA, SOX, PCI-DSS, and many others)
(5) Some services provide fax adapters and cloud connectors for MFPs, allowing you to use physical fax devices without the need for POTS lines
(6) Can be integrated and automated with existing software using APIs
(7) Can massively reduce the need for paper, ink, & toner (environmentally friendly)
Disadvantages of FoIP services over fax line
(1) On-premise solutions (fax servers) can be quite expensive
(2) Fewer quality providers to choose from (many fax services are owned by the same company (J2))
(3) High variance in reliability between providers
While there are many quality VoIP offerings to choose from, choosing a hosted FoIP provider can still seem a bit daunting. Documo was created as a solution to the above disadvantages and gives businesses an obvious solution for improving document processes connected to fax.
We also previously wrote about the stigma surrounding FoIP technology.
Documo developed Documo, a cloud fax solution that is:
– Ultra-reliable
– Secure & compliant (including with HIPAA, GLBA, SOX, & PCI)
– Scalable to any need
– Able to be integrated into practically any application or workflow
– Developed with a modern and easy-to-use interface
– Cost effective (save up to 50% vs leading brands)
– Backed by superb 24/7 US-based customer support
– Includes a robust admin feature set
If you’re considering switching fax providers or are looking at cloud services for the first time, you’ve come to the right place. Sign up for free 14-day trial or contact a fax expert for more information.