Many people have the misconception that their business phone is just a “phone”. In reality, there is so much more going on behind the scenes to ensure that the billions of office phones around the world are functioning properly and reaching their call destinations. 

One of the variables in this process is the phone system that your business telephones are using. It is not simply a box hanging on the back wall of your office. 

There are three main types of business phone systems. These are:

• On-Premise PBX 
• VoIP PBX
• Hosted VoIP Phone System 

Let’s talk about what each of these three business phone systems do and how they differ.

On-Premise PBX

When you break it down, the PBX is quite simple in how it functions. This is the original version of the business telephony and has been used for many centuries now. This system is the phone box that is located within the company’s walls and takes all of your incoming lines, and all of the calls on those lines, and serves them up to the correct extension.

Now, there are many other features included in the On-Premise PBX system, but at the core of the system, a traditional PBX controls your businesses’ telephone calls.

The traditional system is fast being replaced by its more modern, younger counterpart: The VoIP PBX

VoIP PBX

The VoIP PBX or VoIP telephone system is an updated version of the traditional telephone system. 

So, you might be asking, “what’s the difference?” You will find that the main difference between a traditional business phone system and the VoIP PBX system is how they function and the different technology they use.

The On-Premise PBX uses analog or digital lines, called ISDN, whereas a VoIP PBX uses your broadband or data connection to make and receive calls. This can be substantially cheaper than the alternative. 

The benefits of using a VoIP PBX over the alternative PBX includes higher quality voice calls, free calls between users, and the ability to use one system for multiple sites.

Hosted VoIP Phone Systems

This leads us to the last, but definitely not least, business telephone system. The hosted VoIP phone system is the most modern, flexible type of telephone system. This model removes the box on the wall of the office and takes all of your calls to the cloud. This model takes your phone calls, turns them into digital bytes, transports them to the cloud, then sends them on their merry way to the other end of the call within milliseconds. 

Advantages to this system over the On-Premise and VoIP PBX include lower costs, higher quality audio and video calls, greater flexibility for users, and low maintenance and installation costs. 

Contact us today for a free quote on switching to the Cloud Service Network’s hosted VoIP phone systems.