What Is A PBX Phone System? How Does It Work?


Are you familiar with a PBX phone system? In this blog post, I will tell you everything you need to know about a PBX phone system.

What Is A PBX Phone System?


PBX is an acronym for Private Branch Exchange, it’s a private telephone network that’s used within an organization or company.


People who use the PBX phone system can communicate internally, within their company. Or externally with people outside their company using different communication channels such as ISDN, analog, or Voice over IP.


A PBX makes it possible for you to have more phones than physical phone lines (PTSN) and users will have the ability to make free calls among themselves.


A PBX also provides features such as voicemail, transfer calls, call recording, interactive voice menus (IVRs) and call queues.


Traditional PBX Phone System:


The traditional PBXs had their own phones exclusively, and there were ways to re-use the phones with different systems.


Sometimes there were system-lock-in which meant that the users were locked-in to the same system because changing systems also meant changing phones.


Doing that would have been extremely expensive, this forced users to stay with the same vendor because the phones could only be used with systems from the same vendor, sometimes it would only be limited to a particular range of systems.


A PBX Phone System Today Is Different:


A PBX Phone System Today Is Different

As a result of some major technological advancements, things have changed. The Open-Standards-based IP PBX has become extremely popular.


This is a new era in which telephone calls are delivered via the Internet Protocol.


As a result of this, PBX phone systems are offered as hosted or virtual solutions. These solutions can work in conjunction with your own hardware.


A PBX Phone System Today Is Different:


The photo above shows what an IP PBX system offers in terms of connectivity.


With a traditional PBX, users were limited to a particular number of outside telephone lines (trunks) as well as a particular number for internal telephone devices or extensions.


All the users of the PBX phone system shared the outside telephone lines for making external calls.


For anyone who is still using a traditional PBX, switching to an IP PBX offers some great benefits in terms of features and growth.


An IP PBX is great because it offers so much in regards to extensions and trucks, as well as more complex features that are more expensive and harder to implement via a traditional PBX.


Some of these features include:


  • Voicemail
  • Ring Groups
  • Reporting
  • Queues
  • Digital Receptionists


Now you know everything there is to know about PBX phone systems and how they work. If you have any comments or questions about this information, please feel free to share them in the comment section below.



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