5 Factors That Impact the Cost of Microsoft Teams Direct Routing
March 22nd, 2023 | 3 min. read
By Jordan Pioth
If your organization needs a new calling service and is looking to Microsoft Teams Direct Routing to replace the poor-performing call service you have currently, it is a good idea to research the cost of Microsoft Teams Direct Routing.
Understanding the cost of a service is critical before making a purchasing decision. If you commit to a service before understanding the full cost of that service, you may find out after the fact that the service is more expensive than you were prepared to spend.
Coeo has delivered thousands of Microsoft Teams Direct Routing services to customers and knows how important a good calling service is to an organization. We want to give you information on the cost of the service so you can determine if it is a good fit for your organization.
By the end of this article, you will know what Microsoft Teams Direct Routing is and the five factors that go into the cost of the service.
What Is Microsoft Teams Direct Routing?
Many people think that Microsoft Teams is simply a collaborative platform that allows you to chat with employees and host video conferences and meetings. However, you can also use it as a phone system that allows your traditional phone lines to transfer to the cloud so you can make calls over the PSTN.
Microsoft Teams Direct Routing allows your organization to make and receive phone calls over the internet using the Public Switch Telephone Network (PSTN). Microsoft Teams Direct Routing takes Microsoft Teams telephony and allows a third-party provider to manage the service for you.
Customers can connect their existing on-premise telephone service to the Microsoft Teams Phone System using SBCs and a Microsoft-certified partner like Coeo, to bring their phone system to the cloud.
A Session Border Controller (SBC) is a dedicated software or hardware device that controls how phone calls are initiated, conducted, and terminated on a voice-over Internet Protocol (VoIP) network.
This tool helps transfer your phone system from traditional phone lines where calls are made and received over physical lines, to the internet where calls are made and received over the PSTN.
5 Factors that go into the cost of Microsoft Teams Direct Routing
There are a few factors that affect the cost of your Microsoft Teams Direct Routing service. These factors include license costs, provider costs, configuration and maintenance, international calling, and additional infrastructure.
The first factor that affects the cost of Microsoft Teams Direct Routing is the licensing piece. There is a license that must be purchased from Microsoft in order to use their platform.
Because Microsoft Teams offers different levels of service, there are different licenses you can purchase with costs based on the level of service you receive
Depending on what Office 365/Suite plan you have already in place across your organization, there may be additional costs to have the necessary license for Direct Routing.
The typical cost for the licensing piece from Microsoft for Teams Direct Routing is about $8 per phone line.
Microsoft Teams Direct Routing directly routes the telephone system to a third-party provider to monitor and manage it. This of course results in an additional cost paid to the provider.
Because there are so many Microsoft-certified partners, the provider cost will vary between different providers. For example, Coeo charges $15 per phone line for the provider cost.
Configuration and maintenance
Another factor that can affect the cost of Microsoft Teams Direct Routing is the cost to set up and configure the phone system as well as to maintain it.
This is a cost that varies across providers depending on the organization you choose to configure and maintain your system. Some providers, however, do not manage and maintain the system for you, they only route the calls through their infrastructure.
In these situations, your organization may have to provide management and maintenance for this service. If you do not have expertise in this area, you may have to hire IT resources which will add to the cost of your service.
International calling is typically more expensive than calling in the US. If your organization plans to make international calls, you may incur an additional cost to your service depending on how many of these calls are being made.
When it comes to transferring your phone systems from a Public Branch Exchange (PBX) to a cloud-based service that routes calls over the internet, it will most times eliminate the need for significant hardware.
However, the key to transitioning your calling service to the cloud is the use of Session Border Controllers (SBCs).
An SBC is a dedicated software or hardware device that controls how phone calls are initiated, conducted, and terminated on a voice-over Internet Protocol (VoIP) network.
The addition of SBCs to your infrastructure will incur an additional cost. The cost of an SBC will vary based on where you purchase your SBCs.
Next steps to purchasing Microsoft Teams Direct Routing
Now you know what Microsoft Teams Direct Routing is and the five factors that go into the cost of the service. This will help you figure out the factors your organization needs to look for when estimating your cost.
No one wants a poor-performing calling service and learning about the different call services on the market to improve your call service is important to know before purchasing a new service.
Coeo has delivered thousands of Microsoft Teams Direct Routing services. We know how important a good calling service is to an organization and want to inform you of the cost of the service so you can make a better-educated decision to determine if Microsoft Teams Direct Routing is right for your organization.
If you would like to speak with our team about Microsoft Teams Direct Routing or ask any questions you may have you can schedule an appointment.
Read these articles below to learn more about Microsoft Teams:
When he's not creating content for Coeo, Jordan loves to watch sports, hang out with friends and family, and anything sneaker-related.