Quite a few enterprises use on premise IP PBX systems. But beyond the office’s PBX and LAN, there’s one more component to make the phones work: Primary Rate Interfaces (PRIs) or SIP Trunking service. These are services a business can buy to connect their on premise IP PBX to the Public Switched Telephone Network. That way, the business can make calls to and from their office to the outside world.
If you haven’t gathered yet, to maintain an on-premise IP PBX, you will need the help of an IT professional. The costs associated to an on-premise IP PBX include: equipment (PBX and phones), SIP Trunking or PRI service, and the IT professional’s time to deploy and maintain the phone system.
Hosted PBX or “Cloud Phone System”
A hosted PBX (or Virtual PBX) service takes the phone system out of your telecom closet and puts it “in the cloud.” In other words, hosted PBX is a VoIP-based PBX that is maintained by a service provider and allows businesses to connect to it over the public Internet. For the customer, this eliminates PBX maintenance costs, the hassle of upgrading PBX software, and service downtime, because all these issues are handled by the service provider.
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