PBX Systems & Cloud/Virtual PBX
Everything you need to know

What Is a PBX System?

A PBX, or Private Branch Exchange, is a private telephone network used inside a company or organization, which can receive and route calls based on system rules. When a person calls in, the PBX system answers the phone and enables the caller to reach a person or department based on a menu of selections through an interactive voice response system. The system typically includes features like voicemail, call recording and ACD call queues. It can also utilize VoIP.

All of the hardware is run on-premise, making PBX systems ideal for businesses that have predictable needs that don’t change over time, and that are willing to make the required hardware investment. They are not well-suited for businesses that need to scale up or down to meet changing business conditions.

What is a Cloud PBX, or a Virtual PBX?

A Cloud PBX (or Virtual PBX) solution is not located on site at the business, but instead—perhaps obviously—is hosted in the cloud. While a standard IP PBX transfers calls from the internet (IP) to the public switched telephone network, the virtual PBX is hosted by the service provider and is more cost effective because there is no hardware on premises.

How it works
The business is always connected to the hosted PBX company. When employees make a call from their VoIP device their analog voice is converted into digital packets, which are then routed through the internet to the hosted PBX service provider. The digital packets are then converted to match the destination format and the call is delivered.

Cloud PBX Benefits

Flexible and Scalable: With a Cloud PBX there is no need to have internal technical staff handle installations, upgrades and maintenance. Businesses have access to the latest phone system features and can increase or decrease users easily, depending on their needs.

Ease of use and adaptability: Employees can work from anywhere from their own devices, while having access to all of the system capabilities. With cloud PBX, CRM and contact center applications, calendars, email, web dialers and more can easily integrated for seamless access. The intuitive user interface minimizes the training needed to be up and running quickly.

Enhanced Collaboration: Teams will find it so easy to join audio or video calls that collaboration becomes as easy as clicking a button. You can also create workspaces for teams where they can meet up in real time at any time. Businesses can expand your teams because employees can work from anywhere, giving companies a greater geographic presence for low cost.

Cost Savings: One of the most obvious benefits of a Cloud PBX is that businesses can shift their IT investment from CapEx to OpEx and avoid having to purchase expensive hardware. Also, businesses will save your IT resources for more strategic business goals because they won’t have to spend time and effort installing and maintaining the solution. Finally, because companies only pay for the services they consume, they not only gain agility but run their operations much more cost-effectively.

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