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VoIP vs Landline vs Mobile: Which Business Phone System Is Best in Australia?

June 24, 2026 14:28

 

Keeping in touch with your customers and suppliers is one of the key points of the successful business. Nowadays, creating and maintaining properly functioning and reliable communication system has its own challenges: copper landlines are being phased out post-NBN and more people work remotely with no access to their office landline phone, while mobile-only setups start failing as teams grow or businesses start using more advanced online technologies, which cannot be integrated to the mobile setups. Another option is VoIP (Voice over Internet Protocol), which is more flexible and user-friendly: it can be set up online and only requires stable Internet connection. VoIP systems are easily configured and can connect users from different locations.

 

What are your options? VoIP, landline, and mobile explained

 

VoIP (Voice over Internet Protocol) converts your voice into data packets and sends them over your internet connection (NBN, 5G, or fibre). Instead of copper lines, calls go via broadband. It provides more flexibility than regular landline and mobile phones, gives an opportunity to manage large teams and store required data: you can set up your own call flow in accordance with your business needs using a feature-rich system and update it anytime without onsite assistance from your provider. A lot of businesses are already using this technology as it’s an effective solution for connecting your team with the counterparties and tracking business processes.

 

Landline (PSTN/copper) carries analogue voice signals over dedicated circuits. Calls are sent via physical exchanges. In Australia, with the NBN’s ‘Fibre to the Curb’ or ‘Fibre to the Premises’ rollout, new copper connections are no longer sold, and existing ones face mandatory disconnection, therefore maintaining an old copper line is not only unreliable, but also expensive due to the technology becoming out-of-date.

Mobile-only systems usually imply agents using individual smartphones and making standard cellular calls. Commonly, they are used by sole traders or very small businesses as it’s tricky to upscale such setup. Once a company starts growing, managing separate mobile connections becomes almost impossible.

 

How call quality actually works — and what affects it

 

While traditional landlines use circuit switching (a dedicated, continuous connection between two phones), VoIP uses packet switching: your voice is chopped into data packets, sent over the internet, and reassembled at the other end. Quality of the VoIP connection depends on:

• latency (delay)

• jitter (packet arrival inconsistency)

• packet loss

 

Using VoIP technology, you need approximately 80 kbps (both up and down) for one active call with good quality audio. Please note that Upload speed is as important as download one: many NBN providers advertise plans with fast download but slow upload — check your upload speed before adopting VoIP.

 

Type of your NBN connection also plays a role in reliability level:

• FTTP (Fibre to the Premises): Excellent — stable, low latency, best for VoIP.

• HFC (Hybrid Fibre Coaxial): Good, but can suffer from local congestion.

• FTTN/B (Fibre to the Node/Basement): Average — copper from the node to your premises introduces noise and dropouts.

There are some speed requirements for making a certain number of calls simultaneously using VoIP:

               

Number of concurrent calls Download/Upload speed, Mbps Minimum NBN plan
1-3 0.5 – 1 25/5
4-6 1 – 1.5 50/20
7-10 1.5 – 2.5 100/20
10+ 3+ 250/100

 

 

Cost comparison: what each option actually costs an Australian business 

 

When choosing the communication solution, it’s critical that it’s not only meeting all your business needs, but also is cost-effective. There are some significant differences cost-wise when comparing landline, mobile and VoIP systems: 

Fixed payments

Landline and mobile systems imply that each agent has it’s one number/line which can only be used for one call concurrently. VoIP allows you to have fewer Inbound numbers than agents. Even though, each agent still needs their own user subscription, considerable costs can be saved on Number monthly fees.

 

Hardware

 While all three systems have special hardware designed for them, unlike landline, mobile and VoIP don’t necessarily require investing in new phones: usually team members already have mobile phones and VoIP can be used on software exclusively (softphone apps, WebPhone, etc). Not only team members can install VoIP programs on their phones, they can also use Desktop applications on their existing PCs, which allows smoother integration and more practical usage of different systems like CRM.

 

Setup

 Setting up landline can be costly as it often requires onsite assistance from the technician. Mobile and VoIP connections don’t have this issue: you can purchase the service with no significant setup fees. Some VoIP providers also give customers a trial period to test the service for free.

 

• Call rates

 While exact call pricing depends on the provider, commonly VoIP offers better rates for local and mobile calls in Australia, and often much lower rates for the International calls.

 

Additional features

 Landlines and mobile numbers don’t usually provide a lot of flexibility with the call flow and there aren’t many features to customize it. In order to set up Voice Menu or Time Condition, a lot of adjustments need to be made, therefore it’s either impossible to set up or involves many additional costs. VoIP systems are easily manageable, they often have numerous features, which are cheap or free of charge.

 

 

Features that matter for business: VoIP vs landline vs mobile

 

Feature Landline Mobile VoIP (e.g. VoIPline)
Call routing (hunt groups, queues) Limited / expensive add-on No Yes
IVR / auto-attendant No (requires PBX hardware) No Yes (VoIPline also allows to set up time conditions with different IVR options)
Voicemail-to-email No No Yes
Call recording No Limited (app-dependent) Yes (cloud storage/ call recordings can be sent to the customer’s email)
CRM integration No Very limited Yes (HubSpot, Salesforce, etc.)
Remote / work-from-home extensions No Yes Yes
Mobile app (office extension on mobile) No N/A Yes (VoIPline has WebPhone app for smartphones (both Android and IOS), Desktop PC and Web Browser version, which can be accessed from different locations)
SMS No Yes Depends on the provider (VoIPline allows both outbound and inbound messages)
Fax Yes, if set up No Depends on the provider (VoIPline can forward incoming fax messages to email)
Number portability Yes Yes Yes (VoIPline allows to configure the ported number in the call flow in advance to avoid the down time for the number)

 

 

Which phone system is right for your business?

 

Team size & business type Best option Why
Sole trader (1 person) – consultant, home business Mobile + basic VoIP app A VoIP number to separate work and personal calls
On-the-road team – delivery, field services Mobile + basic VoIP app Use VoIP mobile app so personal numbers stay private while calls route through business system, ability to take calls from any location
Micro business (2–4 people) – cafe, local retail, agency VoIP (starter plan) Low cost, professional auto-attendant, ability to take calls from any location, ability to transfer calls between users easily
Small business (5–20 people) – office-based or hybrid VoIP (business plan) Professional image, auto-attendant, ability to take calls from any location, ability to transfer calls between users, call queues, voicemail-to-email, CRM integration, call recording ability and easy scaling without new phone lines
Growing team (20+ people) – multiple locations or remote Enterprise VoIP + dedicated NBN Full call centre features, analytics and resilience (failover to mobile app if internet drops)

 

 

 

 

Frequently asked questions

What internet speed does my business need for reliable VoIP calling in Australia?

You need approximately 80 kbps upload and download per active call. For example, for 5 concurrent calls, required speed is 0.4 Mbps. However, because NBN plans vary wildly and also Upload speed is as important as download one, a safe minimum is an Essential plan (50/20 Mbps) for up to 10 active calls.

What happens if my internet goes down?

Solutions like call diversion can be used. It forwards calls to your mobile phone to ensure you continue to receive calls even without an internet connection.

Is VoIP secure against hacking or eavesdropping for Australian businesses?

Modern business VoIP uses TLS and SRTP encryption, which is highly secure. Mobile calls (standard cellular) are far less secure than encrypted VoIP.

What is the difference between virtual (VoIP) mobile number and regular mobile number?

A virtual phone number lets you make and receive calls over the internet instead of a physical phone line. It works on any device - computer, smartphone, or tablet.

Can I keep my existing Australian business phone number if I switch to VoIP?

Yes. Number porting is legally protected in Australia. You can transfer any landline, mobile, 1300, or 1800 number from your existing provider to a VoIP service like VoIPline. You can also port numbers out from a VoIP carrier to another provider if needed.

Can I use VoIP on my mobile phone while working remotely in Australia?

Absolutely. VoIP providers offer mobile apps (iOS/Android) that turn your smartphone into a full office extension. You can make and receive calls using your business number, not your personal mobile number. All call logs and voicemails stay within the business system.

Can I use a VoIP system while travelling overseas?

Yes. As long as you have an internet connection, you can make and receive calls from anywhere in the world using our softphone app.

Does VoIP solution work for hybrid working models?

Yes, your team can make and receive calls from anywhere using desk phones, mobile apps, computer apps, or even a web browser, as long as they have stable internet connection.

Can my team share the same VoIP phone number?

Absolutely. Multiple team members can make and receive calls from the same VoIP number simultaneously.

Do I need any special hardware?

No special hardware is required. You can use softphone app like Webphone.

What are the benefits of softphone app like Webphone for businesses?

  1. No physical hardware. It eliminates the need for physical handsets, working entirely over the internet.
  2. Flexibility. Softphone app allows you to take business calls on your mobile, ensuring you're always reachable, even when away from the office.
  3. Remote work. Webphone enables employees to work remotely with full access to their business phone system, maintaining productivity no matter where they are.
  4. Advanced features on WebPhone: Call recording - initiate and pause call recordings to capture important information, and listen to recordings using Webphone; Integration with CRMs and ticketing systems - access caller information (name, email, company, contact owner, and last activity date), deals, support tickets and add call notes in real-time during conversations or within the phonebook or call history tabs; Status indicators - see team members' availability in real-time to avoid phone tag and many more features.

Is it secure to use softphone?

Yes, most softphones ensure the confidentiality and integrity of your calls by encrypting all call data during transit. With endpoint authentication, your communication remains confidential and shielded from eavesdropping and tampering.

Does online SMS messaging using VoIP systems differ from traditional mobile SMS sending?

Online SMS messaging operates through an internet connection rather than relying on a cellular signal, offering increased flexibility and accessibility.

Can I access agent performance analytics using VoIP?

Some VoIP providers offer in-depth analytics and reports on the call usage. For example, VoIPline includes metrics like total calls (answered, placed, missed, abandoned), call durations, wait times, and more. Reports can be filtered by user, call queue, ring group, date and time.