VoIP vs PBX

January 24, 2017

With the rapid growth and improvement of technology, companies are changing the way they do business by updating communication methods. Computers, handheld devices and even “work phones” are evolving to add to business and nonprofit growth.

Private Branch Exchanges (PBX) are the traditional phone systems used by many workplaces around the world. Traditional landlines are easy to understand and have a number of helpful functions. Voice over Internet Protocol (VoIP) systems have many of the same functions as landlines, but operate through the internet and are able to take communicating to the next level. In order to figure out which is best suited for a business, take a look at some of the major pros and cons associated with each option.

COST:

The main benefit of VoIP is cost. While getting a VoIP system installed may sound expensive due to its many functions, it’s actually cost-effective with many long-term benefits. The initial online setup for the system is simple and the fixed monthly costs tend to be low. PBX systems operate using large boards and switches and may take up more room in an office space. Plus the equipment tends to be pricier, including installation charges.

RELIABILITY:

An area where PBX has the upper hand is in the instance of a weak internet connection. VoIP relies on the internet to operate and phones will also be disabled when the internet is down. This can be a major inconvenience for businesses that heavily rely on phone usage and VoIP is not recommended for businesses with weaker internet connections. Fortunately, all messages on VoIP are saved and can be accessed when the power is up and running. Businesses are recommended to have at least one analog phone line in the case of an emergency.

EFFICIENCY:

Just like the average person saves phone numbers in a cell phone, businesses are storing numbers in office phones to easily access to important contacts. VoIP allows for the storage of unlimited phone numbers, depending on internet strength. While PBX does allow for some contact saving, space is limited and costs increase with the desire for more storage.

QUALITY:

Internet strength and bandwidth plays a huge part in a VoIP system’s efficient operating. The stronger the strength, the clearer the call comes through. Weak internet signals could be detrimental to call quality and transmission.  With PBX systems, call quality will be consistent and clear, which is beneficial in sounding professional on the phone.

FEATURES:

PBX systems are simple to operate, which can be ideal for any workplace. Basic functions include caller ID, conference calling, transferring, etc. VoIP systems are more advanced and include more features that allow for different forms of communication to take place. Many are options a landline would possess, but users can also check voicemail directly from their device associated with the system and perform video conference calls.

Want to know which is right for you? Our solutions are customized to fit your needs.

Posted in: Hosted Phone Systems

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