Turn Microsoft Teams Into Your Complete Phone System

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13 August 2025

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Discover how to simplify your business telephony, reduce costs, and keep your team connected anytime, anywhere, using Microsoft Teams.

Microsoft Teams can do it all, so why not switch today?

Microsoft Teams Telephony can ensure your communications are streamlined.

Teams Phone is a unified communications solution which combines the benefits of a cloud phone system with the features of Microsoft Teams. Being able to make and receive calls, hold conferences, share documents and manage communications seamlessly.

All within the same platform.
Scaleable, reliable and measurable.

Microsoft Teams Telephony offers a more seamless environment for hybrid and remote workers, thanks to its comprehensive platform.

How to set up A Microsoft Teams Phone

To deploy Teams voice services, businesses can either set up a calling plan directly with Microsoft or integrate with a third-party telephony provider for direct routing. This enables Teams users to make calls to external phone numbers and receive calls from external sources.

Key benefits of A Microsoft Teams Phone System

Microsoft Teams Phone System has a number of benefits;

Cost Savings

Eliminate the need for traditional PBX hardware and separate phone systems.
Reduce call charges through VoIP.

You can read our blog here about how Cloud Telephony could be a great alternative to traditional phone systems.

Integration with Microsoft 365

Complete sync with Outlook, SharePoint, and OneDrive for seamless scheduling and file sharing.
Use existing contacts and calendars without switching apps.

Flexibility for Hybrid Teams

Make and receive calls from any device, desktop, laptop or mobile.
Ideal for remote or hybrid work environments.

Advanced Call Features

Auto-attendants, call queues, voicemail transcription and call recording.
CRM integration for customer-facing teams

Microsoft Teams Telephony - the way forward

Microsoft Teams is a user-friendly platform that everyone knows and loves, so why not leverage its built-in telephony system?

With the combined power of VoIP and PSTN capabilities, you can make and receive calls with anyone, anywhere, all without leaving Teams. Whether through a Microsoft Calling Plan or Direct Routing with a trusted provider, Teams Telephony is the next step for modern business communications.

According to Gartner, over 270 million people use Microsoft Teams every month, but many businesses still don’t realise it can completely replace a traditional phone system.

Ready to modernise your phone system? Contact us today to discuss your Microsoft Teams Telephony options.

Real-World Success

Clinton Miller, Director of IT, ScottMadden states - ‘While the rollout of Teams Phone itself was a significant step forward, it's the synergy with our elevated Microsoft E5 licensing that truly bolstered our data security.’

The switch increased monthly savings for the business to circa $7,500.

How Microsoft Teams Telephony Works:

Option 1: Microsoft Calling Plans

Suitable for smaller businesses that want an all-in-one Microsoft solution.
Easy setup directly within the Teams admin centre.

Option 2: Direct Routing with a Third-Party Provider

Greater flexibility, competitive call rates, and advanced routing options.
Works with existing telephony providers and SIP trunks.

Implementation Best Practices

Take a look at your current telephony setup: number of users, call volume and feature needs.
Select the appropriate licensing option: Microsoft 365 Business Voice, E5, or add-on plans.
Test before full rollout: run pilot programs with select teams.
Train your users: ensure adoption by offering short how-to guides or training sessions.

Security & Compliance Advantages

Microsoft Teams Telephony is built on Microsoft’s trusted cloud infrastructure, which means:

Data Encryption – both in transit and at rest.
Compliance Certifications – including ISO 27001, HIPAA, and GDPR.
Admin Controls – manage access, monitor calls, and generate reports from one dashboard.

This is particularly valuable for industries like finance, healthcare, and government, where compliance isn’t optional.

AI-Powered Features in Microsoft Teams Calling

Microsoft Teams Telephony can generate AI notes, real-time summarisation, and call insights with intelligent recap and Copilot in Teams Phone.

One of the most exciting advancements in Microsoft Teams Telephony is the integration of AI-powered features, particularly AI-generated call summaries and insights. Leveraging Microsoft’s cutting-edge artificial intelligence, these capabilities transform the way businesses manage and utilise their communications.

What Are AI-Generated Summaries?

AI-generated summaries automatically transcribe and condense voice calls and meetings into concise, easy-to-digest notes.
After a call ends, Teams can provide an overview that highlights key points, action items, and follow-ups, all without requiring manual note-taking.
This helps users quickly review meaningful conversations and ensures critical information is never missed.
Its advanced voice isolation technology suppresses background noise and other distractions, so your voice comes through loud and clear, even in noisy home environments, busy cafes, or on the move.
This feature helps maintain professional call quality and improves overall collaboration for remote and hybrid teams.

Ready to transform your business communications?

Unlock the full potential of Microsoft Teams Telephony with expert guidance and tailored solutions from our team. Whether you’re looking to simplify your phone system, reduce costs, or empower your remote workforce, we’re here to help.

Contact us today to discuss how we can seamlessly integrate Teams Phone into your business and take your communication to the next level.

Frequently Asked Questions (FAQs)

Can Microsoft Teams really replace my traditional phone system?

Yes! Microsoft Teams Phone System integrates calling capabilities directly into the Teams app, eliminating the need for separate PBX hardware or phone systems. It supports VoIP and PSTN calling, allowing you to make and receive calls from anywhere on any device.

What devices work with Microsoft Teams Telephony?

Teams Phone works seamlessly on desktops, laptops, mobile phones, and Teams-certified desk phones. It also supports a wide range of headsets and speakerphones, catering to various work environments, including home offices and conference rooms.

How do I set up Microsoft Teams Telephony with a third-party provider?

You can enhance your Microsoft Teams Phone System by partnering with a trusted third-party telephony provider, like us. Through Direct Routing, we integrate your existing telephony infrastructure or SIP trunks with Teams, offering greater flexibility, competitive call rates, and customised routing options tailored to your business needs.

Can I keep my existing phone numbers with Teams?

Yes, Microsoft Teams Phone supports number porting, allowing you to transfer your existing phone numbers to Teams and maintain business continuity without changing contact details.

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