A Comparison of PSTN and VoIP Technology
                     
• Public Switched Telephone Network or PSTN is the traditional 
form of telecommunication.
• It is also referred to as the Plain Old Telephone System (POTS). 
• This circuit switched public telephone network allows calls from 
landline phones. 
• Telephone lines
• Fibre optic cables
• Switching centres
• Cellular networks
• Satellites 
• Cable systems
• The telephone set converts the sound waves into electrical 
signals. The signals are transmitted through cables.
• The central office routes the calls through fibre optic cable in 
the form of electrical signals.
• The electrical signals are routed to a terminal. Thereafter, the 
terminal routes the call to the appropriate telephone number.
• The telephone set converts the electrical signal back to sound 
waves which the receiver hears.
Cost : 
• The cost of PSTN is much higher than that of VoIP.
• The cost for setup and installation of VoIP Phone System is less 
than PSTN charges.
• The call cost in PSTN service depends on the distance where the 
local calls are cheaper and the mobile or international calls are 
costly.
• In VoIP, the cost is low due to the minimum requirement of 
hardware. 
Productivity:
• Using VoIP Technology results in an increase in productivity.
• VoIP Phone system helps the employees to communicate with one 
another in a more effective way.
• VoIP Technology provides the opportunity to work from home or 
on-the-go.
Security:
• Though because of dedicated phone line PSTN may seem more 
secure but phone lines can be tapped. 
• The security for VoIP Calls mostly depend on the internet 
connection and the VoIP Service Provider.
• Many VoIP Services offer encryption and 2-step authentication and 
many other security protocols to protect the privacy of the user or 
the organisation.
Maintenance:
• The maintenance of Public Switched Telephone Network is a costly 
affair. 
• VoIP Technology is based on software and requires minimum 
maintenance.
• Regular updates of software not only removes any glitches but also 
at times adds new features.
Scalability:
• The option of scalability is a big plus point for VoIP.
• Scalability is however difficult for PSTN systems. Additional cost 
and hardware are required for any necessary changes.
• Accommodating according to the business size and requirement is 
easy in VoIP Systems.
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