Every day, an increasing number of businesses are opting to replace their outdated Public Switched Telephone Networks for higher quality, cheaper VoIP alternatives. In spite of that, the VoIP vs. PSTN debate is a still ongoing.

The performance issues associated with VoIP when it first arrived on the scene were numerous – including everything from dropped calls and poor call quality. However, over time, significant strides have been made and there are more than a few reasons as to why making the change can be helpful to a business, including advantages in scalability, cost and special feature availability.

On the other hand, many businesses have decided to stick with their plain, old telephone service, citing that just because something isn’t the latest and greatest doesn’t mean that its time to rip and replace.

If you’re still on the fence as to whether or not you should make the switch, then our post this week should help you weigh the pros and the cons. We know it’s not easy to give up your trusty system, but our tech comparison should help you make the decision one way or the other.

Pricing- VoIP to VoIp calling – both local and international is almost always free, but calls to mobile and landline phones have nominal fees that are a little over a cent a minute. PSTN on the other hand doesn’t allow for any free calls and international calling is always expensive. Monthly plans usually cost around $25-$30 depending on your service provider.

Bandwidth: VoIP only requires around 10 kbps in each direction in order to run. That’s significantly less than PSTN, which requires 64 Kbps – in both directions.

Call waiting: Generally speaking, VoIP gives you a variety of free call waiting services to choose from. Some of those include Google Voice and Skype. With a PSTN, call waiting is available, but at an extra cost.

Scalability: Upgrading a VoIP service generally means you’ll have to purchase some more bandwidth and/or some simple software upgrades. With PSTN systems, you have to purchase more hardware and dedicated lines that generally make your system more complex and costly.

Remote extensions: With VoIP, Remote Extensions are almost always a standard feature and requires next to nothing with regards to purchasing extra lines, etc. With standard PSTN services, be prepared to purchase dedicated lines for each extension that you buy.