VoIP simply works by converting analog voice calls into digital voice communication and then transferring it through Internet broadband. The transfer is similar to the transmission of the other types of data such as emails. In other words, it converts voice vibrations to compressed digital signals that translate to Internet Protocol packets.
These Internet Protocol packets are then transmitted and converted to a regular telephone signal if the user has an ordinary telephone. In essence, VoIP allows the computer users and businesses to make calls from computers equipped with a VoIP phone.