In today’s workplace, flexibility is no longer a perk—it’s the norm. Many organizations are rethinking how they communicate, especially as remote and hybrid work environments become standard. One area under review: phone systems. If you’re using outdated PBX hardware or juggling separate tools for chat, meetings, and voice calls, Microsoft Teams Phone may offer a more streamlined approach.
What Is Microsoft Teams Phone?
Microsoft Teams Phone is a cloud-based calling solution built into Microsoft Teams. It enables users to make and receive phone calls over the internet—whether to internal colleagues or external numbers—using a computer, mobile device, or certified desk phone. Instead of managing a separate phone system, companies can centralize communication within a platform they already use daily for meetings, file sharing, and messaging.
Teams Phone supports both domestic and international calling through Microsoft’s Calling Plans or through Direct Routing and Operator Connect, allowing companies to choose the setup that works best for their needs.
Why Businesses Are Moving to Teams Phone
For many companies, the appeal lies in simplicity and integration. Rather than running multiple platforms or dealing with the limitations of aging phone hardware, Teams Phone allows organizations to consolidate their communication tools under one umbrella. Here’s what that means in practice:
- Lower administrative overhead – Manage users and settings through Microsoft 365’s familiar admin center.
- Scalability – Easily add or remove users as your team changes.
- Reduced hardware costs – Employees can use their existing devices with the Teams app.
- Built-in security and compliance – Benefit from Microsoft’s enterprise-grade infrastructure.
It’s particularly useful for distributed teams or companies that have embraced flexible work policies. With Teams Phone, employees can stay connected from anywhere without relying on traditional office lines.
New Features in 2025
Microsoft continues to invest heavily in Teams Phone, and several recent updates have improved functionality:
- Voicemail transcription and AI-powered summaries for faster message review.
- Call queues and auto attendants to manage incoming calls and route them efficiently.
- Enhanced mobile experience with native dialer integration on iOS and Android.
- Emergency location services for better compliance with 911 regulations.
- Operator Connect partnerships for businesses that want to retain their current telecom provider.
These features make Teams Phone more adaptable and competitive with traditional and VoIP-based phone systems.
Common Questions from IT Teams
When we talk with IT managers and operations leads, a few questions come up consistently:
- Will call quality be reliable?
Yes, assuming you have a strong internet connection and configure Quality of Service (QoS) settings appropriately. Microsoft provides guidance to help with setup, and monitoring tools are included. - Can we keep our existing phone numbers?
Yes, numbers can be ported over during implementation. - What about emergency calling?
Teams Phone supports emergency services, and enhanced location tracking helps meet compliance requirements. - Do we need new licenses?
Teams Phone requires an add-on license unless you’re using Microsoft 365 E5, which includes it. The setup is flexible depending on your existing Microsoft agreement.
Use Cases Where Teams Phone Makes Sense
Not every company will benefit equally, but we’ve seen strong adoption in the following scenarios:
- Companies with hybrid or fully remote teams who need reliable voice calling across locations.
- Organizations retiring old PBX systems and looking for a modern replacement.
- Firms that already use Microsoft Teams and want to unify communication channels.
For these businesses, the cost savings and operational efficiency of consolidating tools can be substantial.
Should You Make the Switch?
If you’re already using Microsoft Teams and are managing a separate voice solution, it may be time to evaluate whether consolidating would simplify operations and lower costs. Teams Phone isn’t a fit for every organization—especially those with niche telecom needs or compliance requirements that demand more granular control—but for most, it’s a strong contender.
Before making the move, take stock of your current communication infrastructure, licensing, and support needs. A guided discovery process can help identify gaps and opportunities.
How TRC Group Can Help
Implementing Teams Phone isn’t just about flipping a switch. It involves planning, number porting, training, and support. At TRC Group, we help organizations assess their readiness, configure Teams Phone to match business workflows, and provide ongoing support after go-live.
If you’re considering making the switch, we offer a free 30-minute consultation to help you understand whether Teams Phone is the right fit—and what’s involved in the process.