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What Is a Cloud PBX?

what is a cloud pbx

So what is Cloud PBX? If you're looking into phone solutions for your business, you've probably seen this term before. We want you to find the best phone system that fits your business, so we've created this quick guide on Cloud PBX technology. In this article, we'll cover:

According to Techopedia, a Cloud (or Hosted) Private Branch Exchange (PBX) is "a telephone exchange system built, delivered and managed by a third-party service provider. Hosted PBX is an IP-based telephony solution provisioned and accessed entirely through the Internet."

There's a variety of similar definitions all over the internet, but to keep it simple: Cloud PBX is a virtual phone system that provides secure and reliable business phone system through the internet.

Related: Cloud-based call center software

What Are The Types of PBX Systems?

You’ve probably heard of all different types of PBX systems and their various names. The variety of terms can get confusing, so let’s go over the main types:

  • Cloud PBX: Also known as Hosted PBX, a Cloud PBX is not physically onsite of the business. A Cloud-based phone system is hosted offsite over the internet and requires no additional equipment.
  • Onsite / On Premise / Traditional PBX: Onsite PBX refers to a PBX system where all hardware is run on-premise through the business's server.

Cloud PBX Advantages & Disadvantages

Cloud PBX systems are the newest systems in PBX technology. We recommend Cloud PBX for businesses that value a lower overall cost and flexibility. Cloud PBX systems have their own advantages and disadvantages when compared to hosted PBX phone systems. Let's take a look at those advantages and disadvantages:

Cloud PBX Advantages

  • Scalability: Naturally, businesses want to grow. Having a Cloud PBX allows businesses to have a phone system that will scale with them.
  • Lower Cost: Overall, cloud-based technology is highly cost effective because it allows businesses to avoid the high costs of in-house installations, and regular maintenance.
  • Flexibility: Cloud PBX gives businesses the flexibility they need to be able get the latest phone system features without dealing with hardware updates. Businesses can add or remove users instantaneously and get integrate existing phone hardware with the Cloud PBX.
  • Extended Presence: With a cloud-based PBX system, there is little hassle for businesses that want to create and manage virtual offices, which gives them opportunities in creating a local, nationwide, or even global presence.

Cloud PBX Disadvantages

  • Security: Due to the nature of being hosted over the internet, its possible for Cloud PBX systems to be less secure than onsite PBX systems. When looking for Cloud PBX provider, we recommend to do research to ensure the business you choose is reputable and highly secure.
  • Call Quality: Making and receiving calls with a Cloud PBX relies on your business's internet. If your business has a slow or unreliable internet connection, there is a chance your calls will be dropped or have low quality.

Onsite PBX Advantages & Disadvantages

Onsite (or Traditional) PBX systems have been used by businesses for many years-- we recommend this for business that can front high start up and IT maintenance costs that want complete control over their PBX system. Here are the advantages and disadvantages of Onsite PBX systems:

Onsite PBX Advantages

  • Control: Having a traditional PBX allows a company to have control over every facet of the system and personalize the system to match business needs in every detail.
  • Security: Traditional PBX transfer data through the PSTN, similar to a landline system--this greatly reduces the likelihood of hacking or security breaches.

Onsite PBX Disadvantages

  • Lack of Flexibility: Although Onsite PBX allows companies to have control over each detail, this means that the company will have to exhaust IT resources and budget to make any changes to a system that can be very complex.
  • Maintenance: Onsite PBX requires maintenance and updates that will need to be done by IT staff, taking away IT resources from other important projects or tasks.

Cloud PBX Overview

Want to learn more about Cloud PBX and what it can do for your business? Learn more about Cloud PBX features, setup, and costs below!

Cloud PBX Features

Cloud PBX have a variety of features, which can include:

  • Call Recording
  • Virtual Attendant (IVR)
  • Call Groups
  • Voicemail Transcription
  • Reporting and Analytics
  • Online User-Interface
  • Call Queues
  • Live Call Monitoring
  • Call Whisper
  • Call Barge
  • Automated Call Distribution
  • And more!

How to Set Up Cloud PBX

Setting up a Cloud PBX is generally simple and quick. With AVOXI Genius, set up takes less than 1 business day-- in fact, most customers are active within a matter of hours! After sign up, businesses can instantly add new users, phone numbers, and much more from their own personal interface.

AVOXI Genius (or any Cloud PBX) can be used anywhere in the world as long as there is a stable internet connection (150 kps per call recommended) and a supported operating system (Windows 7 or later or Mac OS Yosemite 10.10 or later).

Cloud PBX Cost

Cloud PBX typically costs around $15 per month per user, and costs typically increase with more capabilities. AVOXI's Cloud PBX system AVOXI Genius starts as low as $4.99/month. For even more features, businesses can upgrade for $24.99/month!

top cloud pbx

Why Choose Cloud PBX?

As technology evolves, Cloud PBX provides the flexibility and scalability businesses need while also maintaining low costs. Cloud PBX systems are the future of telecom, and we highly recommend this system to help your business. We hope this guide was helpful to you as you learn more about PBX systems.

Related: Interested in making the switch to an effective and affordable PBX system?