A virtual/hosted pax is a  private branch exchange(PBX) phone system that’s delivered as a hosted service, typically by one of the major telephone companies. A virtual/hosted PBX can free companies from having to invest in the costly equipment of a complex  business phone system, while still enabling the company to utilize telephony features like voicemail, faxing, automated greetings, touchtone menus, conference calling, call auditing and calling logs, and more.

Hosted PBX companies handle call routing, or switching, at their own location and are responsible for managing all of the PBX equipment and software involved in the virtual PBX service. Hosted PBX services can function over the Public Switched Telephone Network (PSTN) over the Internet (hosted IP PBX via  internet telephony, or  VOIP), or over a combination of the two.

Rather than the traditional PBX, the only equipment that is needed on-premise are the phones and any dedicated routing equipment. Since there is no need for expensive on-site equipment to purchase and maintain, the systems are much less expensive and easier to install, manage and scale. New features and users can also be added or removed without changing existing equipment.

This makes a hosted PBX the best telephony solution for both small and medium-sized businesses. Larger businesses that have many remote users or that operate in dynamic environments can also benefit from a Hosted PBX.

The benefits of a Hosted PBX over traditional phone systems or PBXs

The benefits of a Hosted PBX over a premise-based enterprise PBX system are similar to the benefits of a VoIP system in general. Aside from the significant cost-savings and infrastructural benefits, many Hosted PBX systems provide enhanced features and services that are only available on a hosted system. These are;

  • Lower operating costs
  • Improved scalability
  • Simple infrastructure
  • Improved features and services