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.
What Is a PBX Phone System_OnSIP Offerings Screenshot
Hosted PBX phone system services reduce costs by maintaining all the phone system hardware offsite
The hallmark of this approach is low upfront capital expenditure, making it often the best fit for small and medium sized businesses. Most hosted PBX providers do not require customers to purchase any equipment beyond IP phones. In case you were wondering, the SIP Trunking service (connectivity to the PSTN) is also handled by the hosted PBX provideró If you make a phone call via a hosted PBX provider, the call will travel over the Internet to the provider, and then back out to the PSTN.
Many hosted PBX providers offer browser-based administrative portals that give account owners full control over how the phone service is used in the office. Customers can add phones, extensions, users, and applications (such as Music on Hold and ACD queues) easily with a few mouse clicks.