What is the difference between hosted VoIP and on-premise VoIP?

Hosted VoIP and on-premise VoIP are two different approaches to implementing a VoIP (Voice over Internet Protocol) phone system. The main difference lies in where the system is located and managed. With hosted VoIP, the service provider hosts and manages the phone system in their data center. Users connect to the system through the internet, and all equipment and maintenance are handled by the provider. This option offers scalability, easy setup, and flexibility, making it ideal for businesses who want a hassle-free solution. On the other hand, on-premise VoIP involves installing the phone system directly on the business premises. The equipment is purchased or leased, and the company is responsible for maintaining, managing, and securing the system. On-premise VoIP provides more control and customization options for businesses who prefer to have complete ownership and control over their phone system. Ultimately, the choice between hosted VoIP and on-premise VoIP depends on the organization's specific needs, preferences, and resources.