How Can Cloud Telephony Help in Reducing the Hardware Cost?

If you are setting up a business, then there is no escaping from the costs involved. Setting up a business in the market and distinguishing it from other competitors involves significant expenditure.
 

One of the main elements that incur a lot of expenditure in any business is the infrastructure. The infrastructure of your business includes all the physical and organizational structures that are used to set up your business.
 

Going by the statistics, 80 percent of the start-ups fail to last beyond first four years of their set up. High expenditure and maintenance of the infrastructure turn out to be the biggest underlying factor for this.
 

The success of your business mostly depends on the infrastructure set-up. For businesses that use the conventional phone telephony systems, a large amount of area to be set up along with loads of wiring components passing through the main distribution frame is required.
 

Today, there is an alternative solution of cloud telephony in the market that helps cut down hardware costs for companies.
 

Cloud telephony is a virtually hosted service that basically refers to voice services and replaces basic conventional business telephone equipment such as PBX by a third party VoIP. Businesses can now switch to cloud telephony as they turn out to be a great value for money.
 

Cloud-based services such as cloud telephony have become quite the talking point in the past few years. The high cost and long repayment times of traditional business equipment hamper the emergence of many small and medium enterprises along with start-ups. The use of cloud based telephony, however, eliminates these costs.
 

Cloud telephony services are indeed great value for money. Small and medium businesses (SMEs) get high return on investments as progressive cloud telephony system facilitates overall communication process smoothly and without much additional efforts.
 

This provides a great opportunity for companies to save on the hardware investment and focus more on providing a better customer experience to their valued customers.
 

But you might ask, “Why move to cloud?”
 

Though, there are many reasons why businesses should leave traditional telephone systems behind and switch to cloud telephony.
 

In this article, we tell you how cloud telephony can help reduce the hardware cost. If you are finding it hard to understand cloud, the idea behind cloud telephony for your business is simple- it saves a ton of money and lets you focus on your business.
 

Low power costs

Imagine a hundred telephone systems operating on site for your business. Now imagine the power consumed by them. Not only is it difficult to manage these many systems but also there is a large amount of power consumption.
 

There are also chances that many of your systems are left idle, which will lead to wastage of more energy. Cloud telephony, on the other hand, uses less energy comparatively.
 

Acquisition costs

Traditional PBX systems have a lot of acquisition charge. The acquisition charge refers to the investment made for the initial purchase of your hardware. Here, we are specifically talking about the costs incurred on your phone telephony systems.
 

Cloud telephony, on the other hand, has a much lower acquisition cost, as the equipment can also be rented initially. Additionally, the licences, are also subscription based.
 

Scalability costs

Conventional phone telephony systems involve a lot of costs, especially if you are a growing business and plan to increase your infrastructure. Not only would you require a larger area for setup but also get used to the hassle of infinite wires that are used in traditional PBX systems.
 

Thus, the hardware cost of scaling your business ultimately goes up. On the other hand, if you are using cloud services, all you need to do is pay as much as you move along with your business requirements.
 

The server resources for cloud telephony can be scaled up or down easily without many operating expenses as much of these expenses are included in the internal pricing that aligns with the customer demand.
 

Maintenance costs

When you run your own servers, you need to put a lot of efforts in terms of cost to maintain them. Also, you need to buy more hardware than required in case of failures.
 

This additional hardware not only cost a business more, but also turns out to be an expensive way to increase the scalability of your business. I have also seen many businesses create duplicates of on-site data in some extreme cases.
 

However, cloud-based telephony services typically charge a monthly fee per user and reduce the upfront costs to a great extent. If you are operating business hardware by cloud services, there will be least need of attention from the IT department of your company.
 

Much to your surprise, hardware updates are not required very often for cloud telephony, which ultimately wipes off your maintenance costs.
 

So, you can easily get rid of unpredictable and unnecessary costs with the help of cloud telephony in your business.
 

Most importantly, you have a freedom of choice of using the best cloud services, from among many providers. It also promises to provide businesses with high quality services in bandwidth constrained areas and harsh weather conditions. It is less costly because everything is maintained off site.
 

Ultimately, no matter where your business is, cloud telephony promises to reduce your hardware costs significantly.