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Posted on • Originally published at voicefleet.ai

AI Answering Service vs BPO Call Centre: A Technical Cost Analysis for Irish SMEs

The BPO call centre model is hitting a wall for Irish SMEs. Here's why, and what the alternative looks like from a technical perspective.

The Cost Model Problem

Traditional BPO pricing for Irish SMEs:

  • Shared agents: €1,500–€3,000/month
  • Dedicated agents: €3,000–€5,000/month
  • Per-call pricing: €1.50–€4.00/call

AI phone agent pricing:

  • Flat rate: €200–€500/month
  • Unlimited concurrent calls
  • 24/7/365 coverage included

That's a 70–90% cost reduction. But cost alone doesn't tell the whole story.

The Technical Architecture

Modern AI phone agents use a pipeline:

  1. Telephony layer — SIP trunking with local number provisioning (+353 for Ireland)
  2. ASR (Automatic Speech Recognition) — Real-time transcription optimised for accent variants (Irish English is notably different from US English in phoneme distribution)
  3. NLU + Dialog Management — Intent classification, entity extraction, context tracking across multi-turn conversations
  4. TTS (Text-to-Speech) — Natural voice synthesis with appropriate prosody
  5. Integration layer — Webhooks/APIs to POS (Flipdish), practice management (Dentally), booking systems

The key technical challenge is latency. The entire ASR→NLU→TTS pipeline needs to complete in <500ms to feel natural. Modern implementations achieve 200–350ms consistently.

Where It Actually Works

Routine, structured calls — bookings, orders, hours, directions, FAQs — are perfect for AI. That's 70–80% of inbound calls for most SMEs.

Complex, emotional, or highly novel conversations still need humans. The smart architecture is hybrid: AI as first responder, human escalation for edge cases.

The Irish Context

GDPR compliance is non-negotiable. Any AI phone system must:

  • Process call data within the EU
  • Provide call recording consent mechanisms
  • Support data deletion requests
  • Maintain audit trails

This is where US-based solutions fall short. VoiceFleet was built EU-first, with data residency and GDPR baked in.


Interested in the technical details? Happy to discuss in the comments.

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