What is the difference between VOIP service and PBX?
For old PBX systems analog switchboards were used like the public switched telephone network (PSTN). In most current PBX systems digital networking protocols (IP) are used for internal calls. IP PBX installations convert the digital signals on-site and use phone lines connected directly to the PSTN.
VoIP is the option when calls are transferred over the internet. The process is that the phone sends digital call data to the VoIP provider, then data centers translate the signals to analog and send them to the PSTN.
Usually, with VoIP the hardware is maintained by your service provider. An IP PBX must be maintained on-site.
Pros and cons of VOIP service
VoIP service has its advantages and disadvantages. A VoIP system is less costly than a traditional PBX because you can add new lines or devices without adding to your physical infrastructure on-site to adjust the growth. So the VoIP service is more flexible.
The only major downside to a VoIP service is not the system itself, but the delivery method. As VoIP works through the Internet, if there will be bad network connection, the phones will not work, you can lose calls or experience bad voice quality.
Pros and cons of PBX solution
A traditional PBX solution has more reliability due to the fact that it works based on physical network. A call placed on a PBX system is routed along physical lines that connect phones in your office to the PBX box, and the PBX box to the local phone grid. So with PBX there is a minor advantage speaking of voice quality.
On the other hand, PBX solution is not so flexible in terms of your growing business needs. Adding new lines to your office requires the physical addition of new telephone wires and the installation of new wall jacks to support connectivity. Clearly, it will lead to additional expenses.
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