With changes to Mitel’s phone system product line coming soon, you may be wondering whether your business should stay with its on-premise system or choose a cloud solution instead. In this article, our unified communications experts answer common questions that can help you make the right decision for your business. Then call us to get started.
Q: Should we stay with our Mitel phone system or choose a new cloud system?
A: The answer depends on several factors, including your current investment in your Mitel phone system, the number of users you will need phone lines for and your current technology. To make an informed decision about migrating from Mitel to a cloud phone system, consider your future needs and budget. Our team at Affiliated Communications will help you identify the inflection point when one system will cost more than the other for your business.
Q: How much does it cost to migrate to a new system versus staying with Mitel?
A: When you purchase an on-premises phone system, the up-front cost in Month 1 could be in the hundreds of thousands of dollars. A cloud solutions system will likely only cost you thousands in the first month.
However, it’s important to look at the big picture. We try to find the inflection point and identify the month when you would pay more for cloud phone services than you would for an on-premises system or vice versa. It could be Month 5 or it could be Month 25, depending on your number of users and your needs.
You should also compare the cost of upgrading your current on-premises system to the ongoing cost of a cloud phone system. Certain companies have migration promotions that could net you significant savings if you choose to migrate from their end-of-life products to their new technology. Some manufacturers offer these promotions to keep you on their life cycle.
Q: What are the long-term commitments of staying with an on-premises business phone system instead of migrating to the cloud?
A: If you are looking to save money with your current system at some point, you would typically have to keep that phone system for 3–10 years to hit that inflection point. Then you’d be saving money.
Contracts for cloud solutions are typically for 1–5-year periods. At the end of each contractual term, you must re-sign the agreement.
It can be difficult to pinpoint the inflection point because prices change. Usually, technology decreases in price. You may think that your inflection point is 5 years from today’s price, but if you choose a 1-year or 3-year contract, the price may go down when you re-sign the contract, and you could see savings sooner. On the other hand, prices may increase; but with technology, prices typically decrease.
Q: Why should I stay with Mitel if they are discontinuing their product?
A: While Mitel may be discontinuing some products, there is longevity in their core product line. They are deploying smooth migration services for their gold-standard product. If you can get discounted software and hardware at the fraction of a cost of a “rip and replace” for their flagship product, then it might make sense to look at that.
Q: What are the benefits of Mitel phone systems?
A: There are several key benefits of staying with Mitel, including:
Avoid the stress of migrating to a new business phone system. Lost time is a major factor because migrating to a new phone system can cause delays in your daily operations. It takes time to transition phone numbers, call flows and user data. Any customizing that your Mitel phone system had will need to be transferred over to the new system, which takes additional time.
Optimize Your Total Cost of Ownership
Consider the ROI on the hardware you have already paid for. If you migrate to the cloud, can you re-use existing hardware or will you be required to replace it and pay for new hardware?
Preserve employee productivity
Choosing to migrate to a new business phone system can have a big learning curve, impacting employee productivity not just during the roll-out of the new phone system, but on an ongoing basis.