What is a PBX phone system

Everything you need to know about a PBX phone system

PBX phone systems are a vital component of communication within businesses. In this detailed guide, we’ll talk about the most common kinds of PBX systems, what they do, and how you can simplify your business phone system with Swoop’s unlimited SIP trunk service.

What does PBX stand for?

Private branch exchange

PBX stands for private branch exchange and a PBX system is essentially a private telephone network used within an organisation. It allows for features like call forwarding, voicemail, conference calling, and extension dialing. 

Older PBX systems were hardware-based, consisting of a central unit that managed incoming and outgoing calls connected to a set of telephone lines, but modern PBX systems are usually software-based or hosted in the cloud.

On-site PBX systems

A phone system that is managed with hardware within the office.

In the past, PBX systems were kept on site and included gear like a central unit, phone lines and extension phones. This setup offered full control over setting up and managing the system, which made it a popular choice for big businesses with complicated communication needs.

On-site PBX systems have many useful features, such as automated attendants, messages, call routing, and conference calling. With settings that can be changed, organisations can make the system work better for them, which leads to more efficient communication.

In spite of their benefits, on-site PBX systems can cost a lot for equipment and upkeep. Also, scalability can be hard because it means adding more equipment, hardware,  and experts to help the business grow.

This is where Swoop can help, with everything you need to set up a hosted or cloud-based PBX phone system.

Hosted PBX phone system

A business phone system that is managed on the cloud.

Cloud technology has completely changed the phone business, making shared PBX phone systems possible. A hosted or cloud PBX is a PBX that is “hosted” by a service provider. It’s used by companies to make and receive phone calls via the internet. It is a popular alternative to traditional PBX, which uses copper wires and landline phones.

Hosted PBX systems are very flexible and scalable, which makes it easy for businesses to expand their communication infrastructure. Hosted PBX systems are a cheap option for businesses of all kinds because they don’t require any upfront hardware costs and don’t need much maintenance.

Aside from that, hosted PBX systems have many useful features, including more complex ones like mobile integration, analytics, and crisis recovery. Using cloud-based technology can help businesses communicate better while lowering the costs of running their business.

To run a hosted PBX phone system, you’ll need fast, reliable internet (find out more about our Enterprise Ethernet) and our SIP trunking service.

The good news is that Swoop SIP trunks are compatible with 95% of PABX systems.

Frequently asked questions

What does SIP trunking mean?

Swoop offers virtual phone lines that you can use to make phone calls over the internet.

Session initiation protocol (SIP) trunking is an important part of how PBX systems work. Voice, video and data can be sent over the internet with SIP trunking, which replaces physical phone lines with virtual ones.

Companies can make their communication systems more efficient by using SIP trunking to combine talk and data services on a single network. This not only cuts costs but also makes things more scalable and flexible, which lets businesses easily react to changing communication needs.

SIP trunking, which enables businesses to set up virtual offices all over the world without having to invest in real infrastructure, also makes geographic flexibility easier. SIP trunking lets businesses improve communication processes while keeping things simple by integrating smoothly with PBX systems.

If your existing PBX system is SIP trunk compatible, Swoop’s unlimited SIP trunking system will help you simplify your business phone system, and offer a range of benefits, including unlimited calling to local, national, 1300, mobile and international numbers.

What is VoIP?

A phone service that uses your internet connection instead of a wired landline.

VoIP stands for voice over internet protocol and it is a communications technology that lets you make phone calls using your internet connection instead of a landline service. 

VoIP goes hand-in-hand with hosted PBX systems. While VoIP technology is used to make the calls, a hosted PBX server connects those calls to other telephone networks.

Is PBX better than VoIP?

The best solution for your organisation depends on your budget, needs, and preferences. In general, VoIP systems tend to be more cost-effective, flexible and feature-rich than traditional PBX systems. However, modern hosted or cloud PBX systems run through Swoop’s fast, reliable internet can offer the best of both worlds.

Do people still use PBX?

While many traditional PBX systems are still in operation, they are becoming obsolete, as cloud-based options offer many new features, integrations, and other innovations not available from a traditional PBX. Instead, businesses are opting for cloud-based PBX systems.

Does PBX require internet?

Yes, a cloud-based PBX requires a fast, reliable internet connection.

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Need assistance? Speak to the experts

Need assistance? Speak to the experts. Swoop are supported by the Voice team at Seventeen Services, who are industry leaders.