What is a Hosted Phone Solution

The Blue Fox Blog
The Blue Fox Blog
What is a Hosted Phone Solution

Your company’s phone system can be a lot like a family car that has been passed down through a few generations. As long as it gets you from point A to point B you probably don’t think about it too much. You keep filling the tank and paying the insurance and are more or less satisfied with what you have — until something goes wrong.

But the fact is that even if your phone system is still allowing you to make and receive calls, it may not be working as well as it could — and might actually be hindering your efforts to grow as a company.

Keep reading to learn what a hosted phone system is and you’ll see why it’s time to start paying a little more attention to your phones.

How a Hosted Phone System Works

A hosted phone system uses Voice over Internet Protocol (VoIP) technology that is based in the cloud. VoIP service transmits voice signals via your business internet connection, as opposed to the copper wiring of more traditional phone systems. The VoIP vendor hosts the software in a secure data center off-site. Learn more about how a hosted, cloud-based phone system can reduce costs and increase productivity.

The Benefits of a Hosted Phone Solutions

While a hosted phone may not be the right choice for every company, there are a number of benefits to consider, including IT resources, reliability, mobility, and growth.

IT Resources

A hosted phone system lives off-site, in a data center that is managed, maintained, configured, and ultimately owned by the vendor. That means that your company’s IT department is not responsible for maintaining or updating your phone system, which is likely not their ultimate job description or top priority. When your IT team is free from the responsibilities of your phone system, they can focus on more important strategic business goals.


Workers in virtually every industry are increasingly mobile. With a hosted phone system, employees who are in the field, working from home, or even on vacation can interact with their phones exactly as they would if they were in the office. A hosted phone solution allows employees in the office to transfer calls easily to another location, including a mobile phone, making for a better experience for your team and for your customers.


When your business relies on its phone system to serve customers and communicate with vendors, it can be a major problem when you experience any downtime at all. A hosted system has redundancy built in, which means that even in the event of a disaster, you can still use your phones, either in the office or using a mobile device.

Growth & Updates

If you are looking to update your phone system, chances are that your company is looking towards the future, and in particular is planning to grow. A cloud-based phone system makes it extremely simple to add more phones to your plan - all you need to do is plug in a new phone.

Further, because the phone software is maintained by the system vendor, new updates and fixes are constantly loaded into your system, so you know that you always have the latest software without having to worry about a complex update that causes downtime for your system.
A hosted phone solution can be a way to upgrade a failing system with a low upfront cost and continual technical support. Many companies are able to leverage hosted phone systems for improved productivity, better customer service, and a more efficient business.