Microsoft Teams Phone System: Can It Replace Your Business Phones?

Many businesses across the Lower Mainland are already paying for Microsoft 365 and a separate phone system. The question of whether the Microsoft Teams phone system can replace that traditional setup is a practical one worth answering properly. For most businesses, the answer is yes, but it also depends on how your team works, what your network looks like, and whether the implementation is handled correctly.  

This guide covers what the Microsoft Teams phone system involves, what your business needs to make the switch, and where the common pitfalls are so you can make an informed decision. 

What Is the Microsoft Teams Phone System?

The Microsoft Teams Phone system is a cloud-based calling solution built directly into Microsoft Teams. Instead of routing calls through traditional phone lines, it uses VoIP technology to carry voice calls over your internet connection. For businesses already using Teams for chat, meetings, and file sharing, adding calling turns it into a single unified communications platform. Calls can be made and received on a laptop, smartphone, or a Teams-certified desk phone. Since it runs in the cloud, it’s managed through the same Microsoft 365 managed services environment your IT provider already handles, with no on-site PBX hardware required. 

What You Need Before You Switch to Teams Phone 

Getting Teams calling working correctly requires a few things to be in place. The first requirement is the right Microsoft 365 licence. Not all M365 plans include Teams Phone by default. You need a plan that bundles it in or a Teams Phone add-on licence.  

The second requirement is a way to connect Teams to the public telephone network so you can call regular phone numbers and receive external calls. Microsoft offers calling plans in Canada, or your IT provider can configure direct routing through a third-party carrier for more flexibility on pricing and number management. 

The third requirement is a reliable network with sufficient bandwidth. VoIP call quality is directly tied to your internet connection and how your internal network is configured. Businesses that try to run Teams calling on an under-resourced network find that call quality suffers. This is when having a managed IT services provider assess your network before the transition pays for itself. 

→ Not sure whether your current network is ready for Teams calling? Talk to Gennix before you make the switch.

The Business Case for Switching to the Microsoft Teams Phone System

For businesses already running on Microsoft 365, the case for adding Teams Phone is largely about consolidation. You're already paying for the platform your team uses every day. Adding calling capability extends that investment rather than introducing a new system to learn, a new vendor to manage, and a new contract to negotiate. Staff who already use Teams for internal communication adapt to Teams calling quickly because the interface is familiar. 

Remote and hybrid work is another strong argument. A traditional phone system ties calls to a physical location. The Microsoft Teams phone system works the same way whether a staff member is in the office in Langley, working from home in Richmond, or travelling.  

What to Watch Out For Before You Switch 

Licence complexity is the most common early stumbling block. Microsoft's licensing structure for Teams Phone involves several options, including calling plans, operator connect, and direct routing, and the right choice depends on your existing plan, your call volume, and your carrier preferences. 

Number porting takes longer than most businesses expect. Transferring your existing phone numbers to Microsoft can take several weeks, and during that window you need a plan for how calls will be handled. Emergency calling in Canada also has specific configuration requirements. Teams Phone supports 911 but location information must be set up correctly, and this step is occasionally missed in unmanaged implementations. 

Hardware is worth planning for early as well. Not all existing handsets work with Teams. You need Teams-certified devices, and the cost of replacing hardware should be factored into the business case upfront. Getting these details right from the start is exactly what Gennix manages for businesses across Langley, Chilliwack, White Rock, Coquitlam, Delta, New Westminster, Maple Ridge, Abbotsford, and the broader Lower Mainland. 

→ Want the implementation done right the first time? Contact Gennix to get started.

Microsoft Teams Phone System vs a Traditional Phone System

For most modern small businesses the Microsoft Teams phone system comes out ahead on the factors that matter day to day. Cost of ownership is lower once you account for the elimination of on-site hardware and reduced vendor contracts. Scalability is straightforward. Adding a user is a licence assignment, not a hardware installation. Teams Phone is cloud-based, so updates roll out automatically without requiring an on-site maintenance visit. 

Traditional phone systems still make sense in certain scenarios. Businesses that rely on analogue fax lines, specific legacy integrations, or operate in locations with unreliable internet may find a hybrid approach more practical in the short term. For the majority of  businesses already on Microsoft 365 with solid internet connectivity, the Microsoft Teams phone system is the stronger long-term choice. 

How Gennix Sets Up the Microsoft Teams Phone System Across the Lower Mainland 

Gennix manages the full Microsoft 365 environment for businesses across Vancouver, Surrey, Langley, Burnaby, Chilliwack, White Rock, Richmond, and the Lower Mainland. Teams Phone setup is a part of that and means handling licensing correctly from the start, configuring direct routing or calling plans based on what works best for your business, managing number porting so there is no gap in service, and making sure your network security and bandwidth are properly configured to support call quality. The Gennix team is available onsite across the region, which means if something needs attention after the cutover, you are not waiting on hold with a remote technician who has never seen your setup. 

→ Ready to find out if the Microsoft Teams phone system is right for your business? Reach out to Gennix to start the conversation.

→ Follow Gennix on LinkedIn and Facebook for more guidance on Microsoft 365 and IT for small businesses across the Lower Mainland. 

Frequently Asked Questions 

What Microsoft 365 license do I need for the Teams phone system? 

You need a Microsoft 365 plan that includes Teams Phone, such as Microsoft 365 Business Voice or a Teams Phone add-on licence on top of an eligible Business plan. You will also need a calling plan or a direct routing setup to connect Teams to the public telephone network. A managed IT servicesprovider can make sure you are on the right plan from the start. 

Can I keep my existing phone numbers when switching to the Microsoft Teams phone system? 

Yes, existing phone numbers can be ported to Microsoft Teams in most cases. The porting process involves transferring your numbers from your current provider to Microsoft, which can take several weeks depending on the carrier. Planning this carefully avoids any gap in service during the transition. 

Do I need special hardware for the Microsoft Teams phone system? 

Not necessarily. Teams calling works as a softphone on any device running the Teams app, including laptops, smartphones, and tablets. If staff prefer a physical desk phone, Teams-certified handsets are available from several manufacturers. Your IT support provider can help you decide what hardware setup makes the most sense for your team and budget. 

Is the Microsoft Teams phone system reliable enough for business use? 

Yes, for most small businesses the Microsoft Teams phone system is a reliable and fully capable replacement for a traditional phone system. Call quality depends on your internet connection and how your internal network security and bandwidth are configured. Businesses with a properly set up network consistently report strong call quality and reliability. 

Does Gennix help businesses in my area set up the Microsoft Teams phone system? 

Yes. Gennix provides Microsoft 365 managed services, managed IT services, network security, and business computer support to businesses across Vancouver, Surrey, Langley, Burnaby, Chilliwack, White Rock, Richmond, Coquitlam, Delta, New Westminster, Maple Ridge, and Abbotsford. Setting up and managing the Microsoft Teams phone system, including licensing, network configuration, number porting, and ongoing support, is part of what Gennix delivers for businesses throughout the Lower Mainland.