What is an IP PBX?

 IP PBX is a complete phone system that provides phone calls over an IP data network. All conversations are sent in packets over the network.

This technology includes great communication skills as well as many carefree and powerful features. IP PBX can also be connected to traditional PSTN lines via an optional gateway  so it’s easy to upgrade modern business communications to state-of-the-art voice and Network data!

Businesses do not need to compromise their existing external communications and operations.

Businesses can keep their phones in active use by setting up an IP PBX. In this way, the IP Switchboard replaces the local phone calls on the data network in the institution and allows all users to share the same external phone.

How it works

An IP PBX or IP phone system consists of one or more SIP phones, an IP PBX server, and an optional VoIP gateway to connect to existing PSTN lines. The IP PBX server works like a proxy server. SIP clients (softphones or desk phones) register with the IP PBX server and when they want to call they ask the IP PBX to connect. IP PBX has a list of all phone numbers/users and their corresponding SIP addresses so that internal calls can be connected or external calls can be routed through the VoIP gateway or provide VoIP services.

An IP PBX runs as software on a computer and can leverage the advanced processing power of the computer and user interface as well as features. Anyone proficient in networking and computers can install and maintain an IP PBX. By contrast a proprietary phone system often requires an installer trained on that particular system!

An IP PBX can be managed via a web-based configuration interface or a GUI, allowing you to easily maintain and fine tune your phone system. Proprietary phone systems have difficult-to-use interfaces which are often designed to be used only by phone technicians.

With an IP PBX you can easily use a VOIP Provider for long distance and international calls. The monthly savings are significant. If you have branch offices, you can easily connect phone systems between branches and make free phone calls.

An IP Telephone system allows you to connect hardware IP phones directly to a standard computer network port (which it can share with the adjacent computer). Software phones can be installed directly on the PC. You can now eliminate the phone wiring and make adding or moving of extensions much easier. In new offices you can completely eliminate the need for wiring extra ports to be used by the office phone system!

IP PBXs are based on the open SIP standard. You can mix and match any SIP hardware or software phone with any SIP-based IP PBX, PSTN Gateway or VOIP provider. In contrast, a proprietary phone system often requires proprietary phones to use advanced features, and proprietary extension modules to add features.

Proprietary systems are easy to outgrow. Adding more phone lines or extensions often requires expensive hardware modules. In some cases you need an entirely new phone system. Not so with an IP PBX. A standard computer can easily handle a large number of phone lines and extensions – just add more phones to your network to expand!

With an IP PBX you can deliver better customer service and better productivity. Since the system is now computer-based, you can integrate phone functions with business applications. For example, bring up the customer record of the caller automatically when you receive his/her call, dramatically improving customer service and cutting costs by reducing time spent on each caller. Outbound calls can be placed directly from Outlook, removing the need for the user to type in the phone number.

Since an IP PBX is software-based, it is easier for developers to add and improve feature sets. Most VoIP phone systems come with a rich feature set, including auto attendant, voice mail, ring groups, and advanced reporting. Unified Communications features are included, to support presence, video and audio conferences and free calls via the data network. These options are often very expensive in proprietary systems.

Hot desking, the process of being able to easily move offices/desks based on the task at hand, has become very popular. Unfortunately traditional PBXs require extensions to be re-patched to the new location. With an IP PBX the user simply takes his phone to his new desk – No patching required!

Users can roam too – if an employee has to work from home, he/she can simply fire up their SIP software phone and are able to answer calls to their extension, just as they would in the office. Calls can be diverted anywhere in the world because of the SIP protocol characteristics!

Employees often struggle using advanced phone features. Setting up a conference, or transferring a call on an old PBX requires detailed instructions.

Not so with an IP PBX – all features are easily performed from a user friendly GUI. In addition, users get a better overview of the status of other extensions, of inbound calls, call queues, and presence via the apps. Proprietary systems often require expensive “system” phones to get an idea what is going on on your phone system and even then, status information is cryptic at best.