Think VoIP Phone Systems for Business Are a New Invention? Think Again

Non geographic numbers

VoIP for business has quickly become one of the most important technologies for businesses looking to thrive in the modern age. That’s why there were more than 288 million VoIP users at the end of 2013 and why there will be an estimated billion by 2017. Many assume that hosted VoIP phone systems are a relatively new invention that was created to near unanimous success in the business world. However, if you were to dig a little deeper, you’d find that, much like the internet itself, VoIP had to go through a number of growing pains before it became the dominant business technology of the 21st century.

The Origins of Voice over IP Services
VoIP phone systems for business got their start way back in 1995. At that time, Alon Cohen and Lior Haramaty, two Israeli entrepreneurs, invented the first VoIP phone system for business. It was called, simply enough, “the Internet Phone.” Unfortunately, when they first created the system, the technology didn’t yet exist that would allow seamless phone calls from one end to the other. To give you some idea of what Cohen and Haramaty struggled with, the Internet Phone had to work off of 486 PCs with 28 kbps modems just to produce a proof of concept, according to NetProLive. Very few internet users remember having to use a 28 kbps connection.

How Have VoIP Phone Systems for Business Evolved?
Luckily, the two decades spanning the invention of VoIP to today have seen the advent of broadband internet, remarkably quick computers, and a number of other technologies that improve the performance of VoIP phone systems for business. Today, VoIP is no longer a prototype technology. It is a powerful business technology that is known for bringing a number of huge benefits to companies across the world, including but not limited to:

  • The cost of communicating has rapidly declined. According to statistics from, VoIP phone systems for business have decreased the cost of making business calls by 40% for domestic calls and 90% for international calls.
  • Using VoIP means no longer missing any calls. Since VoIP phone systems can be calibrated to send phone calls to office phones, home computers, tablet devices, and smartphones, businesses no longer have to worry about missing important phone calls. That translates directly to better businesses.

While the journey was undoubtedly long, VoIP has transformed into one of the most important telephony technologies in the world. With annual growth of 12.9% from 2009 to 2014 and no signs of slowing, the technology invented in 1995 continues its march towards domination of the global telecommunication technology industry. Research more like this.

Leave a Reply