Instead of using dedicated circuits between each person talking on a phone, audio can be
compressed and transmitted over an IP-based network in small packets.  
This reduces the cost of the equipment and the amount of resources required for calls.

Many compoanies are turning to IP Telephony as a lower cost solution for providing
connectivity between remote offices.

In the past, if a business had multiple locations, it had two options for placing phone calls
between the two businesses:  1) placing long distance calls and 2) installing one or more
dedicated high-speed phone lines between the locations.  The problem with both of those
solutions is that they are expensive.

By using IP Telephony, business are able to lower their costs significantly.

PC-based telephones have much better user interfaces than telephone sets.  No training is
required, and employees are more productive as they actually start using what were previously
considered to be "advanced" features.

IP-based phone technologies allow for integration and unification to messaging systems such
as e-mail, voicemail fax systems giving an organization more opportunities for communication.