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PBX replacement + Calling Plans + Direct Routing + Operator Connect + contact center. Cost + selection framework.
Last updated July 7, 2026 by Errin O'Connor, Founder & Chief AI Architect, EPC Group
Microsoft Teams Phone: cloud-based enterprise voice + PBX replacement. 6 deployment models: Microsoft Calling Plan (simplest, higher cost), Operator Connect (3rd-party AT&T/Verizon/BT), Direct Routing (BYOC SBC + carrier, most flexible), Teams Phone Mobile, Survivable Branch Appliance, Common Area Phones. Licensing: Teams Phone Standard $8/user/mo + PSTN (Calling Plan $12-$24, or carrier via Direct Routing $3-$5). 6 use cases: PBX replacement, contact center, meeting rooms, front desk, international consolidation, M&A. 2,000-user Direct Routing saves 30-40% vs Calling Plan at scale. EPC Group tiers: Assessment $20K + Foundation $75K + Direct Routing $95K + PBX Migration $150K-$400K + Contact Center $100K-$250K + Retainer $5K-$15K/mo.
Microsoft Teams Phone is the cloud-based enterprise voice + PBX replacement service integrated with Teams. Six deployment options: (1) Microsoft Calling Plan — Microsoft-provided phone numbers + PSTN connectivity. Simplest, higher cost. (2) Operator Connect — 3rd-party operator (AT&T, Verizon, BT, others) provides PSTN via Microsoft partnership. (3) Direct Routing — bring-your-own SBC (Session Border Controller) + PSTN carrier. Most flexible, complex. (4) Teams Phone Mobile — mobile carrier integration for BYOD. (5) Survivable Branch Appliance — offline calling capability. (6) Common Area Phones — for shared conference rooms + lobbies. Selection depends on region + carrier + cost + complexity.
Six licensing options: (1) Teams Phone Standard — $8/user/month. Adds PBX capabilities to Teams (audio conferencing, call queues, auto attendants, hold music). Does NOT include Microsoft PSTN. (2) Microsoft Calling Plan — $12-$24/user/month depending on country + minutes tier. (3) Teams Phone with Calling Plan bundle — $15-$22/user/month. (4) Teams Phone Mobile — $10/user/month + mobile carrier plan. (5) Common Area Phone — $8/device/month. (6) Direct Routing — Teams Phone Standard + your PSTN carrier costs (typically $2-$8/user/month for carrier + SBC costs). Regulated + international: Direct Routing usually cheapest at scale.
Six enterprise deployment patterns: (1) Full PBX replacement — retire on-prem PBX (Avaya, Cisco, Mitel, Nortel) + move to Teams Phone. (2) Contact center replacement — replace on-prem contact center or expand Teams Phone for lightweight contact center. (3) Meeting room + conference room devices — Common Area Phones for conference rooms + reception. (4) Front-desk + shared devices — hoteling stations + call centers. (5) International consolidation — replace regional PBXes with cloud Teams Phone. (6) M&A integration — Teams Phone as fast target for absorbed company voice. Typical enterprise: replaces on-prem PBX + saves 30-50% on voice infrastructure.
Direct Routing is Microsoft Teams Phone deployment model where customer brings their own PSTN carrier + SBC (Session Border Controller). Components: (1) Microsoft Teams Phone Standard license — $8/user/month. (2) SBC — customer-provided (Ribbon, AudioCodes, Oracle) OR SBCaaS (SBC as a Service). (3) PSTN carrier — customer's existing carrier or new carrier of choice. (4) Configuration + integration effort. Direct Routing benefits: (1) Cheaper at scale (per-minute costs from carrier). (2) International coverage without Microsoft Calling Plan gaps. (3) Existing carrier relationship preserved. (4) Compliance requirements (some carriers offer HIPAA, government). Cons: implementation complexity + ongoing management.
Operator Connect is a Microsoft Teams Phone deployment model where customer connects Teams to a Microsoft-certified operator (AT&T, Verizon, BT, Bell Canada, Telstra, others). Setup: (1) Choose operator from Microsoft Teams admin center. (2) Purchase PSTN service from operator (existing customer or new). (3) Configuration handled by operator + Microsoft — simpler than Direct Routing. Operator Connect benefits vs Microsoft Calling Plan: (1) Sometimes cheaper. (2) Regional operator relationships. (3) Advanced calling features from operator (911 compliance, contact center integration). Benefits vs Direct Routing: (1) No SBC required. (2) Simpler configuration. (3) Operator handles PSTN complexity.
PBX replacement cost model for 2,000-user enterprise: (1) On-prem PBX cost (baseline for comparison) — hardware + maintenance + carrier ~$8-$15/user/month = $16K-$30K/month. (2) Microsoft Calling Plan option — $18-$22/user/month × 2,000 = $36K-$44K/month ($432K-$528K/year). (3) Direct Routing option — Teams Phone Standard $8 + carrier $3-$5 + SBC costs = $12-$14/user/month × 2,000 = $24K-$28K/month ($288K-$336K/year). Direct Routing at scale saves 30-40% vs Calling Plan. Also considers: implementation cost + change management + user training. Total year-1 including services: $500K-$1.2M for 2,000-user PBX replacement.
EPC Group Teams Phone portfolio: (1) Teams Phone Assessment ($20K, 3 weeks) — current-state PBX + carrier + user + international inventory + deployment model selection + cost model. (2) Teams Phone Foundation ($75K, 8 weeks) — Teams Phone setup + policies + call flows + admin training. (3) Direct Routing Deployment ($95K, 8 weeks) — SBC configuration + carrier integration + failover + monitoring. (4) PBX Migration ($150K-$400K, 12-24 weeks) — user migration + number porting + on-prem PBX retirement + contact center. (5) Contact Center Enablement ($100K-$250K, 10-16 weeks) — Teams Phone contact center or 3rd-party integration. (6) Ongoing Teams Phone Retainer ($5K-$15K/month). Total 2,000-user PBX replacement: $340K-$720K services.
$20K/3wk current-state + deployment model selection + cost model. Call (888) 381-9725.
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