Phone Systems

VoIP vs Traditional Phone Systems Perth 2026: Which Is Right for Your Business?

The choice between VoIP and traditional phone lines is increasingly one-sided in 2026 — but context still matters. Traditional copper PSTN lines are being phased out across Australia as NBN rollout continues, and many Perth businesses are still running phone systems that were built for an infrastructure that won't exist in a few years. Here's what you actually need to know.

What "Traditional" Phone Lines Actually Means in 2026

When people say "traditional phone system," they usually mean one of three things:

• PSTN (Public Switched Telephone Network): The old copper line from Telstra. Analogue or ISDN. This is being progressively disconnected as NBN fibre and fixed wireless replace it.
• On-premises PBX with ISDN or PSTN trunks: A physical PBX box in your comms room connecting to PSTN/ISDN lines. Common in Perth businesses from the 1990s–2010s.
• NBN Voice (VoIP over NBN): Often called "traditional" by non-technical users, this is actually VoIP running over the NBN connection — not genuinely traditional PSTN anymore.

VoIP: What It Actually Means for Business

VoIP (Voice over IP) routes phone calls over your internet connection rather than dedicated phone lines. For businesses, this typically means one of:

• Hosted VoIP / Cloud PBX: The PBX is in the cloud; handsets or softphones on desks connect to it over the internet. No on-premises hardware to maintain. Monthly subscription per user.
• SIP Trunking to on-premises PBX: Keep your existing PBX hardware but replace the PSTN/ISDN trunks with SIP trunks from a VoIP provider.
• Unified Communications (Microsoft Teams Phone, RingCentral, 8x8): Full-stack platform combining voice, video, messaging, and presence.

Head-to-Head Comparison

Feature	Traditional (PSTN / on-prem PBX)	Cloud VoIP
Per-minute call costs	Higher (especially mobile)	Lower; often included in plan
Monthly line rental	$35–$80/service	$25–$50/user (includes features)
Hardware required	PBX + ISDN equipment	Handsets optional (softphone works)
Remote work support	Requires call forwarding workarounds	Native; same number on any device
Call quality	Consistent (line dedicated)	Dependent on internet quality
Reliability	Power outage = no calls	Internet outage = no calls; 4G failover possible
Scalability	Adding lines = physical provisioning	Add a user in the portal in minutes
Features (voicemail to email, IVR)	Add-ons with extra cost	Typically included
Long-term viability	⚠ PSTN being discontinued	✓ Future-proof

VoIP Pros and Cons for Perth Businesses

Advantages

• Lower call costs — especially to mobiles and international
• Staff can receive business calls on their mobile or laptop anywhere with internet
• Add or remove users without an engineer visit
• Features like voicemail-to-email, call recording, IVR, hunt groups included as standard
• One number works across desktop phone, mobile app, and PC softphone simultaneously
• Integrates with CRM systems (Salesforce, HubSpot, etc.) for click-to-dial and call logging

Considerations

• Call quality depends on your internet connection speed and stability
• If the internet goes down, so do calls (unless 4G failover is in place)
• Old analogue fax machines and EFTPOS terminals using PSTN need alternative arrangements
• Lift emergency phones and monitored alarms using copper lines need separate review

The Call Quality Question

The most common concern about VoIP is call quality. In 2026, with good NBN infrastructure, call quality on a properly configured VoIP system is indistinguishable from PSTN for most calls. The key requirements:

• Sufficient bandwidth: Each simultaneous call uses approximately 85–100 Kbps. A 10-user business making 5 concurrent calls needs only 500 Kbps — trivial on any NBN tier. Bandwidth is almost never the issue in Perth.
• QoS (Quality of Service): Your router/firewall needs to prioritise voice traffic over other data. Without QoS, a large file download can cause audio jitter mid-call. Any business-grade router supports this.
• Jitter and latency: VoIP is sensitive to network jitter (variation in packet delivery time). A stable NBN connection with jitter below 10ms is fine. Consumer-grade NBN plans with high jitter under load are the source of most VoIP quality complaints.

What About Fax and EFTPOS?

Legacy analogue devices that relied on PSTN lines need specific solutions:

• Fax: Use a fax-to-email service (incoming faxes arrive as PDFs to your email). For outgoing, most cloud PBX providers include a fax function or integrate with eFax services.
• EFTPOS terminals: Modern EFTPOS terminals connect via IP or mobile data — check with your bank or payment provider. Most ANZ, Westpac, and Commonwealth Bank terminals issued after 2020 don't use analogue lines.
• Security alarms: Monitored alarm systems that dial out on PSTN need their communicator upgraded to IP/4G. Your alarm monitoring company should advise on this.
• Lift emergency phones: Building owners are responsible for ensuring lift phones remain functional post-copper cutover. IP-based lift phones are the standard solution.

Number Porting: Keeping Your Existing Numbers

If you're switching from PSTN or ISDN to VoIP, you can port your existing business numbers to the new VoIP service. This includes 08 (Perth) landline numbers and 1300/1800 numbers.

What to know:

• Porting typically takes 2–10 business days depending on the current provider
• Numbers must be active when the port request is submitted — don't cancel existing services first
• A brief service interruption (usually under 30 minutes) occurs on the port completion day
• Plan porting outside peak business hours when possible

Last updated: April 2026. Veltel — business phone systems, mobile plans, and broadband for Perth businesses.