Updated : October 27, 2025Most businesses are switching from traditional phone lines to internet-based phone systems. SIP Trunking and VoIP are two popular options right now. Both let you make phone calls over the internet, cost less money, and can grow as your business grows. But they’re not the same thing.
Around 31% of companies worldwide have already implemented VoIP systems. Knowing how they’re different helps you pick the right one for your business communications. Let’s start.
What Is VoIP?
Voice over Internet Protocol (VoIP) lets you make and receive calls using your internet connection. It takes your voice and turns it into digital data packets that travel over the internet. VoIP services let you call anyone, anywhere, without spending too much. You also get extra features like call forwarding, call routing and video conferencing.
Always test SIP vs VoIP systems on a small user base before migrating company-wide. It helps detect compatibility and call-quality issues early.
What Is SIP Trunking?
SIP Trunking uses something called the Session Initiation Protocol. It connects your existing phone system to the internet. Instead of using regular phone lines, your voice calls and video calls go through the internet. Think of it like a bridge between your old Private Branch Exchange and newer Internet Protocol systems.
You can handle multiple phone calls at the same time using just one internet connection. That’s what SIP channels do. Voice, video meetings, and instant messaging all work together using the SIP protocol. If you already have an existing PBX system and want to keep using it, SIP. The global SIP Trunking services market is forecasted to reach USD 177.84 billion by 2032, driven by the rising demand for scalable, cost-effective communication solutions among global enterprises.
Core Differences Between SIP Trunk VS VoIP
SIP Trunking vs VoIP looks similar on the surface. But they work in different ways and need different things to run.
| Feature | SIP Trunking | VoIP |
|---|---|---|
| Channel Provisioning (Trunks vs Lines) | Uses trunks with communication channels that let you handle lots of calls at once. Good for high call volumes. | Uses virtual phone lines for each call. Works better for smaller teams. |
| Dependency on PSTN Connectivity | Connects your existing PBX system to the Public Switched Telephone Network and the internet. | VoIP telephony only needs the internet. No PSTN or PBX hardware required. |
| Quality & Latency Considerations | More stable, usually because it uses dedicated bandwidth for voice communications. | Quality depends on your internet connection. Bad internet means bad calls. |
| Feature Sets & Protocol Support (fax, video, etc.) | Does voice, video calls, fax, and messaging through the SIP protocol. Comes with advanced features. | Mostly handles voice calls and video. Extra features depend on your VoIP service provider. |
| Cost Structure & Pricing Models | You pay per trunk or SIP channels. Better deal for companies with high call volumes. | You pay per user each month. Makes sense for smaller teams with basic calling needs. |
| Infrastructure Requirements | Needs an existing phone system (like an IP PBX) and good internet. | Runs in the cloud. Not much hardware is needed. Works through apps and internet-connected devices. |
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SIP Trunking or VoIP: Which Is Best for Your Business?
The right choice depends on your company size, what equipment you have now, how much you can spend, and where you want to go.
1. Business Size & Call Volume Requirements
Small or medium business? VoIP is probably your best bet. It handles regular call traffic and works great when people work from different places. Big company with hundreds of phone calls going on at the same time? SIP Trunking is better. If people in your business spend most of their time on the phone, SIP Trunking gives you enough communication channels to handle all that traffic.
2. Existing Telephony Infrastructure
Do you have an existing PBX system in your office right now? SIP Trunking connects to it easily. You keep what you have. VoIP makes more sense if you’re starting fresh with cloud-based business phone systems. Think about this: do you want to keep your existing phone system or switch everything to digital? That answer tells you whether SIP Trunking VoIP solutions or regular VoIP is right.
3. Budget, Cost Forecast & ROI
VoIP phone system costs less to start. You know what you’ll pay each month per person. That’s why startups and small businesses pick it. SIP Trunking costs more at first, but saves money over time if you make lots of calls. Look at the real numbers for your business. What will you actually spend in a year, not just this month?
4. Required Features & Integrations
VoIP is flexible. It works with your CRM, runs on mobile devices, and gives you things like voicemail to email and call tracking. SIP Trunking gives you a unified communications platform. You get voice, video, fax, and conferencing all in one system for bigger companies. Different hosted VoIP providers offer different things. What do you need more of? The ability to work from anywhere, or full control with multimedia communications?
5. Long-Term Growth & Scalability
Planning to get bigger? SIP Trunking grows by adding more trunks and communication sessions when you need them. VoIP setup lets you add more users without changing much. What does growth look like for you? If your team is spread out or remote, VoIP works well. If you’re building a bigger company operation, SIP Trunking gives you better control for your business needs down the road.
Internet Communication: What It Is and Ways to Communicate Over the InternetTechnical and Operational Considerations
Before picking one, think about the technical side. Your network, security, and whether everything will work together.
1. Network & Bandwidth Requirements
SIP Trunking and VoIP both need fast, reliable internet. You need enough bandwidth to handle all your calls without problems. SIP trunking service usually needs dedicated bandwidth to work properly every time. VoIP communications can use your normal internet, but other things you do online will affect call quality. Test your network before you decide. Slow internet means bad calls, dropped phone calls, and frustrated people.
2. QoS (Quality of Service) & Traffic Prioritization
Quality of Service tells your network to put voice calls first. SIP Trunking works well with QoS settings on bigger company networks. This keeps calls clear and stable. VoIP systems can do the same thing if your router handles QoS protocols. Either way, set it up right so calls sound good, especially when your team works from home.
- SIP = Best for PBX users. VoIP = Best for cloud communication. Choose based on what you already have.
3. Failover & Redundancy Designs
Always have a backup. SIP Trunking lets you set up extra trunks. If one stops working, another one takes over automatically. VoIP platforms use cloud redundancy and send calls a different way if something breaks. Both options work better if you have a backup internet connection. Don’t rely on just one thing. Make sure your phone line keeps working even when problems happen.
4. Security: Encryption, TLS, SRTP
Keeping calls secure is important. SIP Trunking and VoIP both use TLS (Transport Layer Security) and SRTP (Secure Real-time Transport Protocol). These encrypt your calls. Set up your firewall correctly. Use good passwords. Update your software regularly. If you skip these steps, bad things can happen. People can listen to your calls, steal information, or hack your system.
5. Interoperability & Legacy Systems
Have old equipment? SIP Trunking works with traditional phone systems. You can use old and new equipment together. VoIP prefers newer cloud systems like Cloud PBX. If you’re stuck with older gear, SIP Trunking lets you upgrade slowly. Starting completely fresh? VoIP gets you going faster, and you don’t need to worry about old telephone network stuff.
VoIP vs PSTN: Which Phone System is Right for You?Migration: Moving from VoIP to SIP or Vice Versa
Switching from trunking vs VoIP needs good planning. You want your calls to keep working during the change.
1. Planning the Transition
Look at what you have first. See how everything connects. Write down a real plan with dates, equipment you’ll need, and how much it costs. Bring your IT team and service provider into this early. They’ll see problems before they happen. This step matters a lot.
Think about your people too. They need to learn the new system. Write down how everything works right now. Your workflows, what connects to what, and your security rules. This way, you know what needs to work after the switch. Set up a test area. Have backup plans ready. If you don’t do this, your phone systems might stop working when you need them most.
2. Porting Numbers & Maintaining Continuity
Your phone numbers matter. Customers know them. Moving them to the new system takes time. There’s paperwork and rules to follow. Do this when you’re not busy, so fewer people notice if something goes wrong.
Keep things working while you switch. Maybe run both systems for a little while. Tell your customers and workers what’s happening and when. If you work closely with your service provider, moving numbers goes smoothly. Your business stays open for calls. Nobody can tell you that you changed anything.
3. Testing & Phased Rollouts
Test everything before you switch completely. Check if calls sound good. Make sure all features work. See if it connects right with your CRM or IP PBX systems. Run both the old and new systems together first. This way, you find problems before they affect everyone.
Switch in steps. One team uses it first, then another team. Your IT people can watch for problems and fix them fast. This is safer. People get used to it slowly. Everything stays working. Communication doesn’t break while you’re changing things.
4. Avoiding Downtime During Switchover
When phones stop working, work stops. Customers get annoyed. Set up extra connections and backup trunks before you begin. Talk to your SIP trunking providers or hosted VoIP providers about timing.
Do the switch after work hours or on the weekend. Fewer people need phones then. Watch your network closely after the switch. Fix problems right away if they show up. Plan this well, and nobody notices anything different. Your business just keeps going.
Hosted PBX Vs. SIP Trunking : Which one is best for your business?Conclusion
SIP Trunking and VoIP both work better than traditional telephone networks. They cost less and do more. Which one fits you? That depends on how big you are, what equipment you already have, and what you want later. Already have an existing PBX system? SIP Trunking works best. Want something in the cloud that’s easy to grow? Pick VoIP services.
Before you decide, check if your network can handle it. Figure out what features you really need. Look at your budget honestly. Do it right and you get good, secure calls that work with your other tools. Pick SIP Trunking or VoIP telephony based on what actually makes sense now. The right choice helps your work run better, helps teams talk more easily, and keeps your business communications working as you grow.
FAQs
1. Is SIP trunking the same as VoIP?
No. They’re related but not the same. VoIP means making calls over the Internet using the Internet Protocol. SIP Trunking connects your existing phone system to the internet using the Session Initiation Protocol. CallHippo works with both. We help you figure out which one actually fits your situation. Better calls, easier to grow, and costs less.
2. Can I use VoIP without SIP?
Yes. VoIP can work with other ways of managing calls. But SIP protocol adds more features like video, instant messaging, and improved capabilities. CallHippo’s VoIP platform uses SIP, so you get good connections across different communication channels. Works with whatever devices your people use, wherever they are.
3. Which is cheaper: SIP trunking or VoIP?
For smaller businesses with basic calling needs, VoIP usually costs less. You’re not making tons of calls at once. For bigger companies with high call volumes that need unlimited calling, SIP Trunking saves more money. CallHippo has plans for both. We’ll help you find what fits your size and business needs without paying too much.
4. Can small businesses benefit from SIP trunking?
Yes. Small businesses get better call quality and room to grow. It’s good if you’re planning to get bigger slowly. CallHippo makes it simple for smaller companies to use SIP solutions. We connect it with your existing PBX system without making it hard. You get secure calls that work right.
5. How hard is it to migrate from VoIP to SIP trunking?
Not that hard if you plan it and get help. CallHippo handles the switch. We move your numbers, test everything, and show you how it works. Your calls keep working. We make sure everything fits together. You upgrade without your team having problems. Communication works fine across all your departments.
Published : October 22, 2025
Shaily Aditya, AVP of Sales, has extensive experience leading sales teams and driving revenue in the VoIP and SaaS sectors. He leads revenue growth initiatives by developing scalable playbooks, managing high-impact teams, optimizing pricing strategies, and using AI tools to enhance team productivity and consistently exceed revenue targets.
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