Why Hotels Should Take Action Now
Effective communication is the bedrock of the hospitality industry. Whether managing guest reservations, coordinating room service orders, or facilitating a seamless front desk operation, communication technology is a must-have.
However, after Mitel filed for Chapter 11 bankruptcy, hoteliers and resort owners using Mitel’s PBX and VoIP solutions now have an uncertain fate ahead of them. Is Mitel committed to offering long-term support? Are we going to experience more system outages or service disruptions? Will prices go up with the company restructuring? These are a few of the urgent issues hotel operators need to address.
If your hotel relies on Mitel’s communication infrastructure, it is crucial to prepare for service disruptions. In this article, we explain what Mitel’s bankruptcy entails for the hospitality sector, the dangers of delay, and how you can migrate to a more stable, future-ready communication solution.
Why You Should Avoid Staying with Mitel After Bankruptcy
Although Mitel has claimed it will restructure and work through, as we’ve seen repeatedly, companies that enter Chapter 11 bankruptcy typically end up with service downtimes, support delays, and questions surrounding the long-term viability of their services.
Higher Downtime & Service Breakdowns
One of the most significant risks hotels face with Mitel’s bankruptcy is increased downtime and service disruptions. PBX outages can result in dropped guest calls, lost bookings, and a frustrating guest experience. In an industry where seamless communication is key to delivering top-tier hospitality, even brief system failures can lead to negative reviews and lost revenue.
A bankrupt company is also less likely to invest in system maintenance and upgrades, increasing the risk of failure over time. As technology advances, Mitel’s ability to keep up with industry demands will be severely limited, leaving hotels vulnerable to unexpected outages and communication breakdowns.
Product Cost Increases & Unclear Pricing
Mitel may raise prices on existing products and services as it restructures to pay off debts and sustain operations. Unfortunately, hospitality businesses may not have control over these price hikes, and many could be forced into unexpected fees or mandatory migrations to new pricing plans.
These uncertain cost changes could make budgeting and financial planning difficult for hotels already operating on thin margins. Instead of being caught off guard, hotels must explore cost-effective alternatives that offer predictable pricing and long-term stability.
Lack of Innovation & Stagnant Features
Hospitality technology is evolving rapidly, with AI-powered guest interactions, cloud-based VoIP, and omnichannel communication becoming standard. Guests expect instant, seamless service whether they call the front desk, request room service via SMS, or make reservations through an AI-powered chatbot.
However, Mitel’s lack of R&D investment means that hotels relying on their platform will be stuck with outdated, unreliable legacy systems. Without continued feature development and innovation, Mitel users risk falling behind competitors adopting next-generation communication solutions that enhance guest experiences and improve operational efficiency.
Uncertainty for Resellers & Support Teams
With Mitel resellers and service providers potentially leaving the ecosystem, hotels may face longer wait times for technical support and troubleshooting. Finding qualified technicians to service Mitel’s legacy PBX systems could become increasingly difficult if a critical system issue arises.
In addition, complex and lengthy repair processes may lead to extended downtimes, negatively impacting hotel operations. For a business that relies on real-time guest interactions, delays in resolving communication failures can significantly disrupt the guest experience and staff efficiency.
Hotels must consider whether staying with Mitel is worth the risk, especially when more reliable, cloud-based alternatives offer stronger support networks and faster issue resolution.
What Hotels Require in a Post-Mitel Era
After all, the hospitality industry needs a communication solution that is resilient, scalable, and future-ready. Uptime, guest satisfaction, and cost efficiency all become questions when a provider goes bankrupt, so hotels must make these factors a priority in their vendor relationships.
Must-Have Features of Your Hotel’s Communications System:
✅ 100% Uptime for Guest-Facing Operations
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- In the hospitality industry, nothing is more damaging than disruptions in the handling of reservations, concierge services, and guest requests.
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- There is no failover or redundancy like in a modern cloud-based VoIP or SIP Trunking solution.
✅ Scalability for Seasonality & Growth
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- As hotel call volumes change with seasonal demand, it’s only natural that your system should scale seamlessly without having to invest in additional hardware.
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- With cloud-based PBX solutions, hotels can add or remove lines in minutes.
✅ Guest Engagement & Omnichannel Support Powered by AI
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- The virtual assistants powered by conversational AI can respond to frequently asked questions, requests for room service, and booking inquiries around-the-clock.
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- Unified voice, chat, and text messaging provide fast, seamless service to guests using their preferred channel.
✅ Save Money Without Compromising Quality
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- A cloud-based system for telecommunication can save a lot of money on telecom and IT services by doing away with the expensive maintenance provision in legacy PBX systems.
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- SIP Trunking is lowering the costs of long-distance and international calls while offering superior call quality.
✅ Security and Compliance, Future-Proofing
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- Make sure E911 emergency calling regulations and hospitality data privacy laws are being followed.
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- Select a provider committed to R&D to drive innovations in communication technology for your hotel.
The Challenges of Migrating Away from Mitel for Hotels
For hotels considering a transition from Mitel, the fear of downtime, complex migrations, and operational disruptions can be daunting. However, staying with an unstable provider comes with even more significant risks—unreliable service, rising costs, and outdated technology that fails to meet guest expectations. Hotels need a seamless, future-proof solution that ensures uninterrupted service and enhances guest experiences.
At BluIP, we specialize in hotel-grade communication systems designed for stability, efficiency, and innovation. Our solutions guarantee 100% uptime, ensuring guest reservations, front desk operations, and concierge services remain fully operational at all times. Unlike traditional maintenance-heavy PBX systems, BluIP’s cloud-based solutions offer cost-effective alternatives that eliminate the need for expensive hardware and ongoing repairs.
Beyond reliability, BluIP’s omnichannel AI guest engagement tools transform how hotels interact with guests. From automated concierge services to real-time voice, SMS, and chat support, our technology enables faster response times, improved guest satisfaction, and personalized service experiences.
Most importantly, BluIP ensures a zero-downtime migration from Mitel, allowing hotels to transition without disrupting daily operations. We’ve already helped major hotel brands successfully move away from legacy systems, reducing costs, streamlining workflows, and enhancing efficiency while maintaining the high standards that guests expect. If your hotel is ready to move beyond Mitel’s uncertainty, BluIP provides a clear path to a stable, modern, and future-ready communication system.
Future-Proof Your Hotel’s Communication – Act Now
Mitel’s bankruptcy serves as a wake-up call for hotels still relying on outdated PBX systems. The hospitality industry is built on seamless, reliable communication, and waiting for service disruptions to happen puts your guest experience, brand reputation, and revenue at risk. Instead of reacting to problems later, now is the time to evaluate your options and transition to a stable, future-ready communication solution.
By switching to a modern, cloud-based platform, hotels can reduce costs, improve operational efficiency, and enhance the guest experience—all without the fear of service failures from a financially unstable provider. The expectations of today’s guests are evolving, and your communication technology must evolve with them.
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