How Does an IP PBX System Work?

As a customer you can take advantage of VoIP very easily. There are a lot of providers which offer hosted VoIP services and a lot of people can still continue to use their old number along with new internet calls. A number of providers offer business plans for freelancers and contractors that are usually adequate for small businesses with 1 to 5 people. However as a business expands, it requires a lot more sophisticated technology to manage its voice communication. With Plain Old Telephone Service (POTS), it usually meant buying and installing a PBX system. A lot of us know that with these enterprise technologies which let businesses share lines resourcefully. Staff can call each other just by dialing a three or four digit extension and there is no need for the company to have one external line for every employee. Normally every telephone within the company is linked to the PBX through wires, which is then connected to the external PSTN to route calls.

What is IP PBX?

As VoIP calling offers enhanced features at lesser prices, IP PBX systems have gained market share at the cost of older technology. An IP PBX comprises of a server and a number of SIP endpoints that are registered on it. These endpoints can be physical phones, laptops, softphone applications on mobile devices with SIP/VoIP apps. The server has a database of every endpoint, with locations and additional details that are used to set up connections.

How IP PBX systems work

ip pbx system

Generally speaking, internal calls are routed straight to the SIP address of the destination party. The call doesn’t have to pass through the IP PBX server once the initial connection establishes.

This means that the complete voice traffic travels straight between the two endpoints, making sure that the server will not become overloaded as the number of simultaneous calls increase. The External calls are redirected to the gateway of VoIP that connects the IP based system to the external PSTN. These gateways can be integrated into the PBX and the business can maintain them or they might use one that is provided by an external provider. The VoIP gateway itself can take a lot of forms; it can be a separate piece of hardware or it can be an extension card that can just be plugged into the server. Actually, the IP PBX itself doesn’t need to be a standalone physical device. A lot of companies use IP PBX software to make a virtual server on an existing computer. There are more than a few proprietary solutions and open source applications that permit enterprises to take advantage of VoIP calling without needing a lot in the way of equipment. This makes it extremely simple to test VoIP calls. Over the long-term, organizations can then improve their systems gradually for enhanced reliability and integrity.

Hosted IP PBX systems

As the IP PBX systems do not have to be a physical device or even be in the same location as the company, a latest model of deployment has become famous. A majority of organizations are not experts at maintaining their own phone systems or would like to remove the hassle of doing so. Rather than the IP PBX being a virtual one that is nonetheless still installed on a computer on the location, hosted IP PBX services have gained fame. Under this model, the IP PBX is owned, operated and located at the provider’s location, rather than that of the buyer. Every PBX services associated with call route, provisioning new lines are given online, through the cloud. The condition provides advantages for both customers and the VoIP service providers. Hence, organizations are able to focus better on their own business rather than having to manage the phone system. Providers in contrast are able to take benefit of cloud architecture and economies of scale to give phone services inexpensively to a number of clients at once.

On-site versus hosted IP PBX

This is a regular question that organizations face in considering to promote to VoIP. Sadly there is no obvious winner since every choice has its own pros and cons. The majority of experts recommend that smaller businesses must choose hosted services and larger organizations can handle on premise systems. However this is absolutely not a hard and fast rule. If a small business organization wants the control and need customizability of their own IP PBX or a big business just likes the hassle free choice of cloud VoIP, those choices can also work well. If an enterprise can afford the investment, on location systems are usually an improved solution as they decrease the rate per call. Over the long-term, it is a lot cheaper than constantly having to pay external providers for access to their services. It is a particularly an excellent option if the business handles huge call volumes on a regular basis. On the other hand it does need time, financial resources and the availability of in-house expertise (instead the ability to hire experts and administer them). Therefore it is not surprising that a lot of businesses are selecting the hosted IP PBX model instead.

To the end-user, an IP PBX system appears similar to a more conventional PBX box. With both these systems, a member of staff can just pick up the phone to make or get calls. However what goes on behind the scenes to enable the call management functions is totally different. IP PBX boxes are based on modern, digital standards and are a lot like the way the Internet functions. They are better associated with the way companies function and workforce work in today’s economic environment.