Key phones are traditional desk phones with a central unit and handset. Able to support up to 50 users, they’re often used by small to medium-sized offices. They have a dial pad and special buttons that let users route calls to other extensions or access features like hold or transfer.
A key phone system has been ideal for companies with employees who need to be reachable at their desk and behind the counter. These systems are easy to manage compared to a traditional PBX — and excel at the core competencies of a basic phone system.
But as equipment ages and more flexible, scalable, and cost-effective solutions hit the market, many businesses are upgrading their landline to VoIP (Voice over Internet Protocol).
Why it’s hard to let go of your existing system
For many businesses, this trusty technology has been the silent backbone of communication since before the internet became a regular part of our daily lives. Key phones made offices more efficient and productive with features like call transfer, hold, conference calling, direct inward dialing, and paging.
Key phone systems are generally easy to use, and more than anything, they’re familiar. Since most adults have used a key phone system at some point in their careers, there’s not a huge learning curve when you need to onboard new employees. With a quick explanation of how to access voicemail and what extension belongs to who, you can get most new hires up to speed by the end of their first day.
This makes it hard for a lot of businesses to let go of their old school key phone systems — even if they know that modern business phone services offer a ton more functionality.
In short, key phone systems once had all the advanced functions you’d expect from a business phone, and they were easy to use, with predictable costs and straightforward maintenance. These strengths made them a mainstay in business communications.
But now, after over 50 years of usage, this technology is slowly sunsetting. And businesses today should look at modernizing their phone systems sooner than later.
Using a VoIP gateway with a key phone system
A VoIP gateway or Analog Telephone Adapter (ATA) allows traditional phones to make calls over the internet. The ATA acts as a bridge between your old phone system and the internet.
Plug your regular phones into the ATA, connect the ATA to your internet router, and you are ready to start answering calls as before. ATAs support fax machines and multifunction printers, as well.
This is a budget-friendly way to modernize without replacing your phone system, minimizing disruption to employees. Typically, you can access basic VoIP features like voicemail-to-email and call forwarding while staying with familiar hardware.
This approach is ideal for businesses that want to gradually transition to cloud, phase out old equipment, or simply want to ride out their old phone system contract for a few more years.
Are all key phone systems compatible with an ATA?
Most key phones will work with an ATA, but not all.
If your phone says “analog” or connects with a standard phone line, it’s probably compatible.
If it’s labeled “IP” or “digital,” you may require special adapters or need to take another approach entirely. Always check your system’s compatibility before investing in an ATA.
Challenges with moving to the cloud
Migrating to a cloud phone system comes with a lot more versatility for businesses and their employees — but it’s not without challenges. Here are some of the important issues you will have to address over the course of transitioning from a key phone system to the cloud:
- Compatibility: Can your existing handsets work with a cloud system, or do you need to invest in new equipment? You may need to buy new handsets or softphones to use modern VoIP services.
- Replicating functionality: Can you replicate features like DID and intercom in the cloud? Chances are you can, but be sure to choose a provider that supports the features your business relies on.
- Soft key programming: Cloud systems often rely on “soft keys,” which are on-screen buttons that can change dynamically. You may need IT support to configure changes manually.
- Training: This is a big one, as you may have employees who are resistant to change. Do you have the time and resources to teach your employees how to use these new cloud-based systems? You’ll need to train employees how to use new features like call parking in order to put callers on hold.
Any upgrade naturally presents challenges, but the key is to ask yourself whether the benefits outweigh the costs and whether now’s the right time to upgrade.
Benefits of replacing a key phone system before it fails
If your key phone system is still working, you may be hesitant to replace it. But there are risks to keeping an old system that doesn’t have an infinite lifespan — what if your phone system fails or your hardware becomes unsupported before you have a backup in place?
Today, most businesses use a hosted PBX, where the vendor manages all of the infrastructure and software — employees simply log into their account and make calls. It works perfectly whether they are in the office or working from an airport bar — the vendor secures the network, allows remote employees anytime access, and you never have to worry about the main office network being up 24/7 ever again.
VoIP phone systems are relatively inexpensive — most businesses save money switching by eliminating most hardware maintenance costs associated with traditional phone setups. It’s not an incredible savings, but it’s nice.
The real draw is the functionality you gain from connecting your phones to other business software. This enables advanced call administration, simple call recording, Interactive Voice Response (IVR), in-depth analytics, and potentially much more. Premium systems support CRM integration, which allows reps to pull up customer files, view previous conversations, order history, and more on a single dashboard.
Migrating to the cloud is a great way to future-proof your business phone system, as the software is continuously updated, patched, and improved. If you’re thinking about switching to a remote or hybrid setup, cloud-based phone systems can make the switch easy. Even if some employees are working from home and others are onsite, they’ll all have the same communication capabilities.
Yes, there are challenges with updating your systems to new technology — this is inevitable — the downsides of staying with you an old key phone system will probably get worse over time.
But by choosing to upgrade your key phone system to a cloud-based system, you get to navigate those challenges at your own pace rather than being forced into them later on.