Wednesday, October 8, 2014

Digital Phones v. IP Phones - "What's Best?"

Today I was asked by a prospective client what the difference between a digital phone and an IP phone really is.  This is an issue that frequently arises as we work with companies looking for good information as they search for the right solution for their current phone system upgrade or office relocation project.  Many of my clients want to know what would make one type of solution a better fit for them over the other. 

I will not attempt to raise either solution as one being the dominant choice over another.  As with most things in life, if you encounter someone advocating an absolute position about anything, there’s a good chance they have a financial stake in being as vociferous as possible about the position they are representing.

In reality, as in life, the answer to the question “What’s best?” is typically circumstantial on a variety of factors.  The question shouldn’t be “What’s best?” rather than “What’s best for me?”

Since you – and your business - are a unique entity I highly encourage you to proceed with great caution in engaging with any vendor that advocates any universal application to anything as being “the best.”
With that said, below you will find what I hope to be an unbiased representation of the differences between digital and IP phone solutions.  If you have any questions, please don’t hesitate to contact me.

Transmission

Digital Phones:

Digital telephones are the direct descendant of analog telephones.  Digital phones convert the analog voice signal into a digital signal (“1”’s & “0”’s) and transport the signal across the connected line and then decode that signal as sound at the other end. This means whatever is encoded at one end is exactly the same as what is decoded at the far end. The digital signal utilizes a unique communications protocol, such as DCP, to control the transmission of the signal.  Additionally, the protocol carries programming codes to the PBX that reference additional features available on the system.  Many businesses use digital telephony, commonly called ISDN, but few consumers do. 

Most digital phones are run with proprietary encoding that allows them to only interface with the PBX that they were manufactured to support.

IP Phones:

IP Telephony is a type of digital telephony that uses the IP protocol we use on the Internet. This means that telephone calls can be sent over private data networks and the public internet.  IP phones transmit their data as “packets” of information to their destination.  This transmission requires that the packets be “reassembled” in the order that they were sent in order to reconstruct the voice transmission. 

IP phones use Internet Protocol (IP) in addition with a Media Access Control (MAC) address to communicate with the central communication platform. The combination of the IP (signal) and the MAC address (identity/location) of each device combine to allow the device to be located and delivered the transmission signal.   

You can think of websites that load slowly and certain sections come up faster than others.  While that may be okay for a website, it is definitely not okay for a voice call.  The packets must be received and reassembled in the order they were sent.  Failure to reconstruct those transmitted voice packets lead to voice quality issues, typically from packet loss (not all packets made it to the destination) or due to jitter (an inconsistent stream of data) on the sending or receiving end.

With the increase in the bandwidth availability of providers today, these issues have been largely, though not entirely resolved.

IP phones can be either “proprietary” to communicate with a specific platform or provider, or open-source which allows them to connect to a variety of IP platforms or providers.  Typically proprietary IP phones will have a greater ability for customized feature programming on the platform for which they are designed, and often yield a higher call quality with a proprietary system than an open-source phone would provide. 

Power

Digital Phones:

Digital phones are much more power efficient than IP phones.  In fact, they barely use any power – most of the power used to support a digital phone is supplied over the line itself, typically supplied through a power module installed in the PBX. 

IP Phones:

IP phones consume more power than digital phones.  Typically they have a larger graphical display than a digital phone which requires more power consumption.  As well, the system or PBX the phones are interfacing with do not derive their power from the base unit.  A separate AC plug (brick) or POE (Power over Ethernet) switch is required to power these phones.  Due to the requirement for power delivery to each individual device the overall power consumption of an IP system is much greater than that of a digital system.

Cable

Digital Phones:


Digital phones can be run on a variety of cable types, including RJ45, Category 3, 5, 5e and now CAT6.  Although there is greater versatility in the type of cable that a digital phone can be run over, they are limited in that the digital phone is the only device that can utilize that connection.  Therefore, a separate cable must be run to support a digital phone.  The cost of utilizing the lower categories of cable referenced above often make a digital deployment attractive to businesses looking to minimize construction costs.

IP Phones:

IP Phones must be run over CAT5 (with AC power brick), CAT5e or CAT6 (with AC Power Brick or POE).  Although the type of cable that supports an IP deployment is not as diverse as the flexibility of cable to run a digital system, there are a couple of advantages from a cabling perspective.   

IP phones typically can “piggyback” or “daisy-chain” to another device (computer) allowing a single cable connection to support both the IP phone and the additional device.  This configuration requires a segregated Voice Local Area Network (VLAN) on an internal network to differentiate the voice data from the traditional data of other applications such as web browsing or sending emails, etc. 

Alternatively, an IP phone deployment can be set up on separate (dual) cable configuration to manually separate the voice and data networks, which is the recommended deployment for most companies not employing an in-house IT department or network administrator.

Bandwidth

Digital Phones:

Digital phones do not require any bandwidth on the network (LAN) or on the internet.  They are run across a variety of dial-tone connections including analog lines, T1, PRI and SIP circuits.  They are extremely flexible in the dial-tone configuration they will support, provided the PBX is configured to support the specific connection or dial-tone circuit.

IP Phones:

IP phones do utilize internet and network bandwidth to support their operations.  On active voice calls, most IP phones send a signal varying from low resolution at about 45kbps/sec to high resolution at about 85kbps/sec.   Consequently, as more users simultaneously make calls, the data usage will increase.  Additionally, depending on other network traffic, bandwidth can be “stolen” from the phone and could result in deteriorated Quality of Sound (QOS).

Mobility

Digital phones are not inherently mobile.  This means that the port on the PBX that phone is programmed to is specific to the terminated location.  In other words, if you configure Office A as User A and assign Phone A to that location or port, that is a “permanent” configuration in the PBX until an administrator assigns that port/location/user to a separate location. 

For example, If User A were to be relocated to Office B, an administrator would need to reprogram the PBX to indicate that Office B is now assigned to User A, and reprogram Office A to support the extension/user information for the new employee in Office A.

IP Phones:

IP phones have greater mobility than their digital cousins due to the transmitting protocols combining IP signaling and MAC Address.   An IP phone is programmed with the user information to the device itself, rather than assigned to a port on the system as in a digital deployment, and retains that users information wherever the phone is deployed. 

For example, if User A were to be relocated from Office A to Office B, they would simply take their phone with them and plug it into the cable connection in office B.  The system would then search for the MAC Address of the device on the network, and once located, would deliver the calls to that location without any additional programming on the system. 

This allows for greater mobility for companies that have a need to frequently reassign employees to other physical locations, have higher than average turnover, or have a need to deploy phones to remote locations

Advantages & Disadvantages

In summary, depending on the application of the business utilizing either a digital phone system or an IP system, there are trade-offs to either configuration.  

Digital systems are inherently more stable as there are less points of failure introduced to the system.  With less “moving parts” the integrity of the system as a whole is typically much greater.  Additionally this type of configuration requires less power consumption than a similar IP deployment.  Internal operations are implemented in a “set it and forget it” manner until an employee add, move or change is required.  For companies without remote employees and who have access to separate cabling infrastructure, there are both cost and deployment advantages to a digital phone deployment.

IP systems are by their nature more complex than a digital platform, which is not necessarily a disadvantage.  Selecting an IP phone deployment requires a more diligent and advanced support system to proactively monitor system performance.  IP phone deployments require a comprehensive technical understanding of both internal network administration as well as on-going awareness of bandwidth utilization. 

IP phones require more energy than a comparative digital phone deployment.  They provide a greater flexibility for deployment based on the availability or limitations of single line or dual line cabling infrastructure.  The trade-off is that for companies with decentralized operations (multiple locations, remote employees, home based users, etc.) or with high turnover or portability needs the IP deployment is a great solution.

Phone Systems Today

There are many choices for a great performing phone system in today’s marketplace.  Whether you are looking for IP phones or Digital, there are many available solutions in today’s marketplace, including hybrid solutions that can incorporate both Digital and IP devices. 

Whatever you do, don’t believe that there is no place for digital phones in today’s business climate, or that they are in any way inferior to IP phones.  Although IP phone technology is cutting edge and offers a lot of very cool options, it is not the end-all/be-all of telephony solutions.

I recommend that you work with a consultant that has experience with – and access to – products from both sides of the solution set.  They can help you to understand the advantages and disadvantages of either type of a deployment, and help to make an appropriate recommendation that will allow you to overcome any obstacles you may encounter on the road to effectively implementing your new phone solution.


Brian C. Andersen
October 8th, 2014

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