Hosted Versus Premise… the Final Debate?

Hosted Versus Premise… the Final Debate?

Most of the columns I write for this paper focus on my thoughts or ruminations about the IP community. This one is different. A couple of months ago I shared the stage with Eric Thomas, CEO of FreedomVoice, at the annual Technology Assurance Group convention. During that time he heard me tell the audience that although his business was centered on hosted VoIP and ours on premise-based IP-PBXs or VoIP, I did not consider him my competition. I have stated many times that Broadvox’s competitors are TDM carriers that continue to overcharge and under-serve their customer base. To my surprise, Eric and his team took me up on that and asked me to join him in a discussion of hosted vs. premise-based VoIP.

Accepting the invitation was not without risks. After all, FreedomVoice and Broadvox are viewed as competitors. They develop and market FreedomIQ, a hosted VoIP PBX service allowing businesses and professional offices to interact more effectively with customers, clients, patients and associates. It also offers integrated virtual office solutions enabling business owners to enhance company image, track marketing effectiveness and increase profitability. Broadvox interoperates with IP-PBX OEMs to offer complementary voice services to platforms that support SMBs and enterprises with vastly different business requirements. GO! SIP Trunking has been available since 2007 and has seen remarkable growth in 2009.

However, I do believe that any proponent of IP communications in the marketplace enhances the visibility and credibility of VoIP, SIP Trunking and Unified Communications applications. That is a good thing. and so I accepted his invitation.

While the actual series of interviews is too long for this column, it is available at ipcommunications.tmcnet.com. Eric and I explore the most relevant points in the decision-making process, discuss cost and convenience, technology implications and infrastructure requirements, and strategic positioning of telecommunications for your business.

It is too simple to say that small businesses should use a hosted solution and enterprises should not. In working with Eric and his team, I have a new respect for how a company should engage either of us. We do not give a simple answer but give the decision-maker a series of questions to pose to his organization with regard to specific business and communications needs. The assessment criteria are based on available capital, IT and telecom management capabilities, solution fit and other elements.

The Q&A concludes by offering information to distinguish between SIP Trunking providers and recommending the appropriate system for various business demographics. Will you agree with our assessment? Probably not. Will you and your prospects learn something after reading the series? Probably so. I can’t end without saying that regardless of the chosen solution, the customer will win by receiving a less-expensive product that offers reliability, new features and positions communications for the future. Not bad.