The Key Differences Between Voip And Pbx Phone Services

Technology is changing all of the time, and this is true for telephonic communications

. Two of the newest developments and most frequently confused ones are VoIP and PBX. If you run a small office and are looking for alternate sources of phone service, either a VoIP or PBX phone system is your best choice. Both provide normal phone service with extra features for significantly less than a traditional phone system. To help you decide between a VoIP or PBX phone system, the descriptions will serve to highlight their differences:

VoIP System

VoIP is short for Voice over Internet Protocol. It passes digitized voice data from one point to another over packet switched network. More conversations in the same amount of bandwidth allowed by VoIP is a major draw for telecommunications companies. Another huge advantage of VoIP services is how cheap long distance calls are. In addition, VoIP set-up differs from PBX set-up because the VoIP systems are set up by the users themselves, instead of being setup by the company like most PBX companies do.

PBX System

PBX is an acronym for Public Branch Exchange. Basically, it is a localized telephone network set to share phone lines between each extension and to route incoming call to the appropriate extension. Many companies choose to use a PBX phone system because of the great features included with the service which include: automated greetings for callers, dialing menus, connections to voicemail, teleconferencing and other such options. Moreover, it is cheaper because each extension does not need its own phone line. This lowers the number of phone lines a company has to pay for without sacrificing the number of phones it can have.

Calls within the building are routed internally, while outside calls are routed to any available external lines. Several more perks of PBX phone systems is the fact that they can evenly distribute calls to a department among available employees, conference multiple incoming calls, and when on hold, play music for the customer. A PBX system in your small office can truly demonstrate that your company is professional and polished before you even answer the phone.

IP PBX System: The new addition to PBX technology

With further advancements in technology, many PBX systems are capable of handling VoIP calls, which is referred to as IP PBX. Using VoIP in a PBX phone system can really benefit a company's communication systems because it allows users to make use of only one phone to dial outside numbers and make long-distance calls. A computer program like an IP PBX system can take advantage of the processing power of a computer and Windows. The easy roaming of users is another utterly convenient feature that IP PBX allows. The SIP protocol characteristics all calls to be taken anywhere in the world.

by: David Maslow

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