Cloud migration has been one of the biggest business trends of the last decade. As more and more essential business services are hosted on the cloud, the market has grown significantly in many diverse areas. File storage, project management, human resource management, and accounting are just some of the many common examples.
This is just as true in our industry of business communications. At Ericsson-LG Enterprise, we are proud to have been one of the pioneers of cloud-hosted phone systems. In the last decade, we have seen their popularity increase. Still, the on-premises PBX has not been displaced.
Some businesses are still undecided about whether or when to migrate. Meanwhile, in some sectors and in some parts of the world, on-premise is actively preferred. This is why iPECS continues to produce outstanding examples of both. In this post, we will be exploring the benefits of each.
On-premise vs. cloud voice – how they work
An on-premises phone system, such as the iPECS Unified range, is physically hosted on the user’s site. Generally, they are paid for as CapEx – you purchase and own the asset. However, this means the user is responsible for maintenance.
Cloud is different. It is hosted in data centers away from your site. It is accessed online, which means you can use it on any device, anywhere with an internet connection. You pay a regular subscription for each unique user, and you are not responsible for maintenance. The cost is OpEx, rather than CapEx.
iPECS Cloud is the flagship hosted solution from Ericsson-LG Enterprise, along with the accompanying application, iPECS ONE. This offers multi-channel communication in a very flexible way, allowing users to work from anywhere.
Benefits of migrating communication to the cloud
On-premises solution still has many benefits, which we will discuss later. First off, we will explain some benefits of cloud, to show why so many organizations are migrating.
One advantage with cloud is its scalability. On-premise solutions will have limits on user numbers. This creates the possibility that you may outgrow the system as your business grows. Equally, it is possible to overestimate the capacity you require.
Cloud eliminates this problem. Scaling up or down is both easy and very quick. You simply have to increase or decrease the registered number of users. For example, if you are growing a business by adding a new location, this is significantly faster on cloud. You simply add the required number of licenses to your existing platform.
Cloud also makes hybrid and flexible working easy. For example, iPECS ONE is a unified communications solution that can be accessed from any location, on any device. It is available as a mobile or desktop app. In addition, thanks to WebRTC technology, you can use it on a web browser with no downloads required.
This puts all office communication channels in your hands, wherever you work, including voice, video, instant messaging, and conferencing. This makes working from home just as productive as working in the office, as well as supporting remote collaboration. On-premise solutions can be configured to offer similar benefits, but it is more technical. Cloud provides this “out of the box.”
Cloud is also more futureproof. We have mentioned scalability already. This factor means that businesses are less likely to outgrow it. iPECS Cloud, for example, is suitable for organizations of any size. Because the cost is per user, it simply scales with the business, offering the same great user experience and benefits.
In addition, cloud systems route calls online using VoIP technology, instead of using ISDN or PSTN lines. IP voice is already the norm in many parts of the world, and this change is likely to become globalized. On-premise solutions can be configured to do this using SIP trunks, but cloud makes this act of futureproofing more straightforward.
Why some businesses still prefer on-premise systems
Cloud unquestionably offers many benefits, and it is likely to continue to grow in popularity. However, on-premise still offers many benefits of its own.
For a start, iPECS Unified still offer modern unified communications. This means multi-channel collaboration and customer contact are still possible. In fact, it is a common mistake to believe that cloud is more technically sophisticated.
The development of cloud technology is certainly significant, but on-premise solutions can still be highly technically advanced. We saw one example recently, with a complex deployment of iPECS on-premises solutions by our Israeli partner, Bezeq International.
On-premises: a case study
On-premises remains the preferred option in Israel for security reasons. This Bezeq deployment was for Isrotel, Israel’s leading luxury hotel chain. Isrotel has 24 hotels, which previously had completely separate PBXs. This meant they were unable to coordinate communication between sites, which slowed workflow.
Bezeq created a single service center serving all 24 hotels. The deployment used two iPECS UCM system, UC servers, and add-ons such as IPCR call recording. While it was a complex deployment, it enables advanced, productivity-boosting functionality.
Isrotel’s communications are now truly multi-channel. Guests can call reception, but can also make requests using popular chat apps like WhatsApp. This means that Isrotel enjoys the full benefit of a modern communication solution, without migrating to the cloud.
iPECS – your communication solution
On-premises and cloud solutions each have many benefits. Your business, location, and priorities are all factors in deciding which is more suitable. It is important to us to continue to provide systems of each type. This is why iPECS continues to provide solutions for businesses of all sizes.