Hosted Pbx Voip Providers

Hosted Pbx Voip Providers – VoIP is the new standard for seamless business communication between remote team members, internal employees, and, most importantly, customers.

But is your business better with a cloud-based phone system? Or should I choose a cloud-based PBX solution?

Hosted Pbx Voip Providers

We didn’t blame you. Read on for a clear and concise explanation of the differences between VoIP and PBX, the pros and cons of each, price and cost, and more.

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The key difference between PBX and Voice over IP (VoIP) is that traditional PBX systems use landline telephones to send and receive calls over the PSTN network, whereas VoIP uses landline phones to send and receive calls over the Internet.

Hosted phone systems and cloud PBXs are also available, but for the purposes of this article, we will focus on standard PBX standards.

The table below provides a brief overview of the additional differences between VoIP and PBX-based phone systems, which are detailed later in this post.

It can be very flexible and you can get a higher level plan, buy additional phone numbers or add new users to your admin site.

Sip Trunk Provider

Voice over Internet Protocol (VoIP) is a type of virtual phone system that uses the Internet rather than the actual PSTN copper wire to manage incoming and outgoing calls.

In addition to relying on your Internet connection to make and receive international and local calls, one of the biggest features that differentiate VoIP from PBXs is mobility.

Because VoIP doesn’t require a local phone network to work, VoIP users can use their entire business phone system wherever they go. VoIP calls work anywhere with good internet access (90-100kbps bandwidth).

This also means that VoIP communication can be used on any device: office desktop computers, home laptops, and cell phones via iOS and Android mobile apps.

Pbx Vs Cloud

As you can see in the image above, when an end user initiates a call, his voice is split into many small data packets that are transmitted over the internet.

During transmission, these audio data packets are scrambled. To prevent the person at the other end of the line from hearing distorted gibberish, the data packets are reassembled in the correct order before being played back to the receiver. This process repeats throughout the conversation.

A Private Branch Exchange (PBX) is a type of premises-based home telephone system that enables voice calls using the Public Switched Telephone Network (PSTN).

Think of a traditional PBX system similar to a landline phone in that it relies on circuit-switched and copper wires to make and receive calls. While landline phones typically allow for two-way private calls, PBXs are designed to allow large enterprises to own and operate their own personal phone data networks.

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With a PBX, companies do not have to pay the phone network for additional phone lines. It also gives you more overall control over the business phone system because it’s within the business office building used by the business phone system.

This means that the standard PBX system is in one location and can only be accessed by the connected device.

Now that you understand the key differences between PBX and VoIP, let’s take a closer look at each option’s features, cost, hardware, setup process, and reliability.

PBX phone systems have fewer features compared to VoIP solutions, but may not be the solution if voice calls are not the most popular form of communication in your business.

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(PBX-based phone systems can access VoIP features via SIP Trunking. Learn more about the differences between the two in our SIP Trunking vs. PBX post.)

Again, these features are only available on desktop phones. Newer models have a color LCD screen that allows users to program/access these functions. Some PBX solutions may provide call recording, but this is not considered a “standard” PBX feature.

A VoIP solution is a must choice for any team that needs a robust feature set or wants to access the advanced phone system features that today’s workforce expects.

VoIP requires less upfront investment than PBXs, but the overall VoIP cost can quickly add up, depending on your service provider, plan, features, and number of users required.

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Although VoIP costs may be higher than originally expected, there are still significant savings compared to traditional PBX phone systems.

Don’t expect to pay less than $7,000 for a prepaid PBX. That’s a high price tag for many people to immediately get rid of the PBX service.

First, there is the cost of new equipment and hardware (more on that in a moment). Basic PBX hardware costs more than $5,000 to $9,000, or about $15. -20 users.

Don’t forget that you are also financially responsible for all hardware and system maintenance. You may need to hire an in-house IT team at a cost of about $50,000 or more per employee per year. It does not include $3,000-$4,000 per year to maintain the PBX system.

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Ultimately, the setup and installation costs are around $1,000-$1,500 and you can run $1,000+/month with an additional service fee.

Typically, it can cost between $25,000-$50,000 to purchase, install, maintain, and operate an on-site PBX system. In the case of large corporations, it is much more.

Teams of 10 pay a total of $200-$250.00/month for the standard VoIP plan. Use/commitment discounts are available and many providers offer 10%-15% off annual prices.

Local VoIP extensions typically cost around $10.00 per number per month, while toll-free, virtual and (if available) international numbers range from $10.00-$20.00 per number per month.

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Some providers offer “stand-alone” add-ons that can be used as standalone add-ons. But in general, it’s still the best deal for the next level of pricing.

VoIP equipment costs vary, but most depend on existing hardware such as desktop computers and mobile devices. The Service Provider is also responsible for maintenance costs (in addition to costs associated with maintaining existing hardware).

Businesses can handle VoIP setup and installation on their own, but if you need professional help, the on-site installation and setup will cost more, but you can pay a one-time fee of up to $50.00.

The only “red flags” to keep an eye on for VoIP prices are the costs associated with breaching long-term contracts and the hefty monthly fees. Our guide to VoIP taxes and fees can help you better understand what’s allowed and what isn’t.

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VoIP requires less hardware to operate than a PBX, but still needs a few things. The VoIP installation process is shorter than the PBX setup process, but requires more staff training than a standard PBX phone.

It’s not surprising that a basic PBX system requires a lot of equipment and the installation process takes a long time.

VoIP solutions are simpler to configure and install than PBXs, primarily because there is less hardware involved.

Depending on the complexity of the system, a new VoIP phone can be up and running in less than one business day.

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However, it can take time for team members to learn how to use the new features, access VoIP calls from multiple devices, and configure key features such as IVR call flow routes, greetings, and call routing strategies. To support this, find a service provider that offers 24/7 support and on-demand or live training webinars.

PBXs have a very slight edge over VoIP in terms of overall reliability, while VoIP wins by a narrow margin when it comes to call quality.

Basic PBX phones operate over copper wire on the PSTN, which has fewer reliability issues than the Internet, so there are fewer outages and are very reliable.

PBX call quality is generally stable, but can be affected by echo, dropped calls, and weather.

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Many systems also have customizable audio options such as background noise suppression, noise cancellation, and volume testing before a call or video conference.

The downside is that VoIP technology is completely dependent on the strength of your current internet connection. This means that poor connections can result in dropped calls, noise, and latency.

A minimum of 100kbps of bandwidth per phone line is required for uninterrupted VoIP service. Many businesses also opt for a backup power supply that automatically turns on in the event of a power/service interruption.

Our general VoIP troubleshooting guide provides detailed information on how to avoid or fix call quality issues.

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In terms of overall reliability, VoIP service providers offer a minimum uptime of 99.9% (99.999% is the standard standard). This reliability is based on VoIP’s reliance on carrier-grade networks, including non-geographic data terminals.

VoIP offers more mobility than a PBX because it is not tied to a single location or device. Adding a PBX system means installing more lines, which is a time-consuming and expensive task, and can’t be pulled out of the office.

In addition to the lengthy installation process, adding a new line to a basic PBX system quickly becomes costly.

Extending phone service will require installing additional cables, purchasing a new landline phone, and hiring a technician to handle it.

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