Conference Call: What It Is, How It Works

What Is a Conference Call?

A conference call is a meeting where multiple participants connect via audio, video, or web. Conference calls are commonly used in business to hold meetings to discuss one or more topics of interest, connecting parties by phone or computer rather than in person. A meeting organizer commonly assembles a participant list and invites attendees before the event. In some cases, participants join the call using an access number. 

How Conference Calls Work

Service providers commonly facilitate conference calls. These services make communication accessible even when employees are geographically distanced.

Companies may use conference calls for announcements, training, or weekly meetings, or they may hold an earnings call to discuss the company's financials and other key performance indicators (KPI) that drive business operations. Earnings calls are held four times yearly, typically after each quarterly earnings announcement.

For many companies, the conference call can allay fears created during the quarter or reinforce the message of positive future growth. If a company was the center of controversy, missed analyst estimates, or issued weak guidance, the call is an opportunity for management to address that weakness.

In most cases, the organizer schedules and invites participants to the call. They may send users a link or number to access the meeting, along with a conference ID and password. Users usually aren't able to join the call until the host opens the meeting.

History of Conference Calls

Conference calls became very common during the COVID-19 pandemic when many employers shifted to remote work environments. It allowed employers and employees to maintain communication about the workflow without having to disrupt the business process. Companies continue to use conference calling even after the pandemic.

But, the history of conference calling goes back much further. The first videoconferencing device was introduced in 1964 by Bell Labs. Although it was heavily promoted and marketed, it never gained traction. In 1992, Polycom launched the triangular conference phone. It became one of the most common devices to connect multiple parties at once.

Laptops, mobile devices, and smartphones gave ordinary people the power to make conference calls with loved ones, friends, colleagues, and employers over the phone or by using video chatting with services like Skype, FaceTime, and Google Chat.

Types of Conference Calls

Conference calls come in many shapes and sizes.

• Audio: Users connect and communicate via landline or any VoIP-based phone service.
• Video: Participants join a shared virtual space using webcams in a real-time, audio-visual call.
• Web: Users can conduct a presentation or event online, and participants interact through screen sharing.

Users can connect through conference calls using landlines, smartphones, computers, laptops, and mobile devices like tablets.

Conference Call Service Providers

Many conference calling services offer free trials before users commit to a particular plan. RingCentral, AT&T, and GoToMeeting offer voice conference calling services. Zoom, Microsoft Teams, and Slack provide video conferencing.

Audio and video conferencing solutions will have features such as screen sharing, cloud recordings, breakout rooms, closed captioning, and file sharing.

The Bottom Line

A conference call connects participants via audio, video, or web to a conference room if the users are geographically distant. Service providers like Zoom or AT&T provide access to audio, video, and web conference calling. Companies may use conference calls for training, weekly meetings, or earnings calls.