There’s been a lot of talk happening about Multi-Line Telephone Systems (MLTS), the deadline that recently passed concerning Keri’s Law and the Ray BAUM act, and about cloud-based vs on-premise systems. You can check our deep dive into the recent changes to MLTS requirements from the FCC here – But we figured you might want to take a look at some of the communication options we mention in a little more detail.

So, today we’ll be picking apart the categories we used to classify MLTS solutions, mainly: cloud-based and on-premise as communication and data categories.

Now let’s meet our first contestant!

What’s on-premises, really?

On-premises (let’s call it on-prem for short) is a computing model, with its key defining feature being: downloading software to an actual physical device, usually located in the company or the organization, hence, the name, on-premises.

It’s been the norm for years, before the birth of our second contestant, the cloud. (We’ll get to later).

Security is always a concern when it comes to software storage. It makes a lot of sense that keeping your data on servers on-prem or in your company offices where it’s under lock and key makes you a lot more relaxed. This helped make the on-prem model popular for a long time. And it still is by the way, in certain industries.

So, upside? Physical security and extra safety of data. Good and golden. Why is it losing popularity then? Or in not so many words: why cloud?

Well, let’s put it this way: Setting up on-prem requires server hardware, licenses for the software used, not to mention constant, hands-on IT presence to take care of the servers and any issues related to the whole setup. Plus all the maintenance the company is liable to perform if something broke down or went haywire. And there’s always the possibility of the hardware becoming too old or obsolete, so an upgrade requires pulling out the old hardware and replacing it with the new.

You’ve probably pieced it together already, on-prem is expensive. Really expensive. And that tends to put people off or consider other options.

Which leads us to…

Contestant #2 – meet cloud!

You know how new products take new markets by storm? They solve problems not looked after by other, already-present, products.

This is exactly why cloud is more popular these days.

So, while on-prem requires everything to be present in a physical location under the company’s watch, cloud tech is usually taken care of by a third party, particularly the hosting part.

How does the hosting work exactly?

Well, the chosen third party utilizes some form of virtual tech to host your software and data offsite. (Click here for more information) This, combined with the lack of general capital expenses including physical storage space and physical IT attention, will lower costs from the beginning of your enterprise lifetime. And the expanding expenses won’t hurt you financially as the comparatively bulky cost of an on-prem system.

Not to mention that everything is already configured. Yes, everything. This makes sure that the integration of any new system is smooth and quick.

Time is money and the cloud saves actual money and metaphoric money.

It’s no wonder it’s popular.

All that silver lining without any storm clouds though? Doesn’t make much sense, yes, agreed.

So what are the drawbacks of cloud?

Well, while having a third party run stuff for you takes a lot of pressure off your hands, it can also come with its own challenges. cloud-based tech is most heavily dependent on an internet connection, the data transfer doesn’t just miraculously happen, you know.

This next drawback applies to pretty much everything, but you know that not all cloud service providers offer the same options in their package. Some might offer you a bad deal with limited options which, best case scenario, could inconvenience you a little. Worst case scenario, it could tank your finances heavily. Avoid this with companies like VOX Network Solutions that offer service guarantees.

Security can be another drawback, but it doesn’t have to be with the right tools. Yes, there have been incidents of cloud servers getting hacked. This shows that not all providers offer the same level of iron-clad security that they should when offering cloud solutions. Find companies that will make sure that the correct security steps are in place to keep your data safe.

Another disadvantage, which ties to the previous one, is the fact that you technically hand off a lot of things to a third party. While doing your due diligence could save you from misplacing your trust in poor or suboptimal service, it can still feel a little off. Again, there are companies out there that can remove the anxiety of trust through reputation and service guarantees.

There is a slight issue of compliance too. Though this can apply to both, while an on-prem system is easily under a company’s jurisdiction, cloud could be a little tricky in that regard as your provider needs to be aware of any new changes that are coming to the industry they operate in, or else you become liable to pay for their mistakes if they don’t have you covered.

Speaking of compliance to new & changing laws, we have something you might be interested in.

Have you heard…?

The FCC recently passed two new laws that should concern you if you’re using an E911 Multi-Line Telephone System. We’ve already touched upon what could be done to achieve compliance (you can check our article here) Regardless if you have on-prem or cloud based communications, you are required to meet the new E911 regulations set by the FCC. We can help! Just add your information here and we’ll be in touch.


Share This