Difference Between PBX And VoIP

Solid communication is the foundation of every successful business venture. And to ace that, you’ve got to think twice about the telecommunication system in your office.


We’ve come a long way from the experimental late 1900s. Over the years, the telecom system has evolved multifold. Today, you can switch between different contact channels, decide the quality of your call, and even collect and analyze your call data!


With so many features on the table, choosing the right phone infrastructure becomes a tad bit tricky. But to ease it off, the answer narrows down to PBX and VoIP.


This blog focuses on the difference between PBX and VoIP so that you can get off the fence and make the right decision.

PBX and VoIP: Getting The Basics Right

PBX stands for Private Branch Exchange. It is a technology that acts as a hub for all the telephones in your office, connecting them internally and even to external phone lines.


VoIP, on the other hand, means Voice Over Internet Protocol. Thus, the calls are transferred via the internet by converting your voice into data and sending it across to the receiver.

PBX and VoIP: Getting The Basics Right | Voprotel

Difference Between PBX And VoIP

Below are the key differences between PBX and VoIP:

Setup & Initial Costs

As you might have guessed from the definition above, PBX requires a more extensive infrastructure plan. Copper phone lines have to be laid down along with circuit switching and other equipment to connect the calls. Not to forget, this excludes technician charges!


All of this becomes a cumbersome task in today’s age, especially when you have options like VoIP where the entire network only requires a stable internet connection, router, phones, and a computer call software.


Thus, the upfront investment in PBX systems is much higher than in VoIP.


Upgrading VoIP is no toughie. All you have to do is purchase a better subscription plan, maybe even add more phones to the system, and upgrade your router machine. 


However, scaling up a PBX network is no less than chess. If you are extending your office, you’ll have to build new lines and get new hardware. Worse if you are shifting to a new place because then you’ll be back at square one.

Quality Of The Calls

While setting up a VoIP is easy and cheaper, you’ll have to take away some points when it comes to the call quality.


Unstable internet and a badly configured router can easily affect your calls. Plus, the headsets and call software can also lead to poor call quality.


Compared to these factors, a PBX system is highly stable when installed appropriately. So, you won’t have to call a technician or stress yourself out finding what’s wrong every time your VoIP call fails.

Service Charges

Besides the one-time installation costs, you must also factor in maintenance expenses. 


If you’re looking for an affordable and reasonable option, VoIP should be your first choice. It usually comes with a subscription plan. So, excluding the installation, you’ll be paying a decent amount every month depending on your provider and the plan you select.


When it comes to PBX, service charges can be a real dealbreaker (unless your business can afford it). These include your monthly phone bills, software licenses and fees, maintenance charges, and upgrade costs. 


The scale weighs more on the PBX side in terms of reliability and security concerns. With the internet out of the picture, there’s no window for hackers to break into your system and steal any data. 


Moreover, a traditional PBX network is independent of electric power. So, even if there’s a power outage, your phones will be up and running. The only drawback is the downtime faced when any technical problem arises in the infrastructure, which is rare if you’ve invested in its quality.


VoIP systems are highly prone to hacking and downtime during blackouts since they operate on electricity. Plus, the internet speed can also affect the quality of your call. 


Team mobility is a crucial factor that helps decide how beneficial a telecom system actually is for your business. 


For instance, traditional PBX does not support remote calling, thus restricting your employees to the office premises and offering no flexibility at all. In addition to that, a PBX system is vendor-exclusive, which means if you’re planning to change your vendor, you’ll probably have to build a new PBX network from scratch!


VoIP allows remote work since all the calls are handled through the Internet. In fact, your employees can also make calls on their personal smartphones as long as their devices support VoIP calling.


While PBX only supports voice calling, VoIP provides additional features like SMS texting, video calling, team collaboration, and third-party integrations. It also comes with visual voicemail, call analytics, automated callback, and call transcription.


You can further customize your VoIP plan to avail the specific services you need within minutes. PBX customization is hardware-based, and it requires an expert technician to employ changes on-site, (read “downtime for your business”).

What Is Hosted PBX? How Is It Different From VoIP?

There’s no doubt VoIP steals the spotlight when compared with PBX solutions. However, there’s one more term you need to know to get your telecom needs sorted out correctly — Hosted PBX.


Hosted PBX makes use of cloud storage to provide hosting infrastructure for all your calls. Hence, there’s no need to lay down hardware or to have an on-site box that’s connected to all the phones. Plus, it employs VoIP technology to transmit calls over the internet, thus offering you the best of both worlds.


Vopro is a leading telecom company that provides robust feature-rich hosted PBX solutions. As a result, you can effectively reduce your long-distance call charges, avail remote connectivity with the help of softphones, and rest back with scalable and secure solutions.

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