What is cloud PBX?




23 Jul, 2019



Cloud PBX (Private Branch eXchange) is a business phone system which provides secure and reliable internet calls and is hosted entirely in off-site data centres. Many industry experts see cloud PBX as the way forward and a large number of telephony providers now promote it over traditional onsite systems.

One of the main advantages of cloud PBX is that all of the services, features and functionality of the phone system are accessed via the internet rather than from a complex set of onsite technology. Any new upgrades and feature releases are added to your phone system immediately as well, meaning you always have the most up-to-date version of your phone system and its simple to manage.

To help you work out whether cloud PBX is the best choice for you, we have created a quick guide to explain the latest technology and how it differs from other PBX systems.

What are the types of PBX systems?

There are two main types of PBX systems:

  1. Cloud PBX – a cloud-based phone system which is hosted offsite over the internet
  2. Onsite / traditional PBX – all the hardware is run and managed on-site

What are the advantages of cloud PBX?

  • Lower cost– the cost of installing Cloud PBX is lower because it is hosted offsite; meaning that you can avoid having to purchase costly equipment. You’re charged on a usage basis and only pay for the hosting space and bandwidth that you require, so service costs are typically much lower.
  • Automatic software updates – get the latest phone system features without having to deal with complicated, costly and time intensive hardware updates.
  • Flexibility – Users can access all the features of a fully functioning business phone system even when working remotely.
  • Scalability – Cloud PBX grows with your business, as it allows you to add or remove users instantly.

What are the possible disadvantages of cloud PBX?

  • Call quality – Underlying network conditions can have adverse effects no matter what PBX system you choose. Making and receiving calls through Cloud PBX relies on your internet connection, so if your internet is slow or unreliable there is a chance it can impact your calls. This can be easily resolved by ensuring your network and internet connection is configured correctly. Modern Cloud PBX solutions should deliver the same high level of call quality as onsite PBX, so if you receive anything less you should seek assistance from the service provider.
Man on phone makes notes

What are the advantages of onsite PBX?

  • Control - Having a traditional PBX allows a company to have control over every part of the system and personalise it to match business needs.
  • Security - Traditional PBX transfers data through the Public Switched Telephone Network, similar to a landline system which helps to reduce the likelihood of hacking or security breaches.

What are the disadvantages of Onsite PBX?

  • Lack of flexibility – Additional equipment must be purchased and installed, which can be costly and time consuming.
  • Maintenance – Any updates must be performed manually and possibly per device; taking up valuable time and resources.
  • Aging technology – As with all technology, updates happen frequently and, if they're not automated or easy to implement, you can quickly find your system becomes outdated.

What are the features of cloud PBX?

Cloud PBX has a variety of features which can include: 

  • HD voice and video
  • Anywhere/ any device
  • Messaging and presence
  • Collaboration
  • File exchange
  • Desktop sharing

Advanced features to keep an eye out for 

Modern cloud PBX systems are designed to provide you with an advanced feature set which can be used to deliver valuable insights. In many cases advanced analytics, reporting and Artificial Intelligence (AI) have been introduced and used to provide important information and business intelligence to users and administrators. These feature help to improve the efficiency of the system, enhance customer interactions and generate new business opportunities.

Features include:

  • People/ user insights
  • Detailed profile information
  • Facial recognition
  • Intelligent virtual assistants
  • Natural language processing and conversational interfaces
  • Noise detection and suppression
  • Conversational bots
  • Dynamic document sharing
  • Real-time meeting analytics
Man talks on telephone

Why choose cloud PBX?

Cloud PBX provides a reliable system which offers the flexibility and scalability your business needs while simultaneously maintaining lower costs. Best of all, cloud based communication and collaboration tools provide the foundation for enabling today’s must-have collaboration apps and services. Aging communications technology can seriously damage or hold your organisation back. With cloud PBX you can rest assured knowing you always have the latest version of your chosen phone system, meaning you can spend more time focusing on the advantages your business gains every day by working smarter.

Prodec Networks is a leading provider of business communication and collaboration technology and has a highly experienced team dedicated to these technologies. If you are looking to upgrade your phone system and require assistance, please do not hesitate to contact Prodec today.