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Hosted PBX vs. On-Premise PBX

Hosted PBX and On Premise PBX phone systems are different types of ‘private branch exchange’ systems. Both of these systems provide their own benefits for businesses and there is one main difference between them both. On Premise PBX systems require hardware to be installed at a premise, whereas hosted PBX does not require an installation at a premise.

If you are upgrading from an older phone system onto either one of the IP-PBX phone systems, then it would be beneficial regardless. However, some businesses may benefit more from hosted PBX systems, whereas other businesses might benefit from having an On Premise PBX system.


What are Hosted PBX Phone Systems? 

Hosted PBX is a service where the phone system and the PBX features are remotely hosted by your provider at their location. You and your employees can then connect to the hosted phone system through an IP network. Hosted systems are internet-based technologies which provide businesses of all sizes with comprehensive and intuitive phone systems, whilst minimizing costs and overheads. A hosted PBX phone system allows your employees to work from multiple locations or devices whilst being connected to the same telephone system. 

Advantages of Hosted PBX Phone Systems

With the ISDN network being switched off in the near future by BT Openreach, virtual phone systems are now more important than ever. Millions of companies are still using ISDN telephone systems and it’s vital that they consider switching to a more sophisticated virtual system, such as PBX in order to stay competitive. Hosted PBX offers a highly sophisticated phone system that provides many more benefits than the traditional ISDN system.

Here are a few advantages of switching to a Hosted PBX phone system:

  • Scalability – One of the biggest advantages of using this phone system is the sheer flexibility that it offers in terms of scaling. Whether you are a small business or a large enterprise, virtual systems such as hosted PBX, can expand and grow with your business.
  • Mobility – With a virtual phone system, you can effectively mobilize your workforce and increase productivity. Employees are able to work from anywhere from any device, as long as they have internet connectivity.
  • Cost-Effective – Hosted PBX systems are extremely cost-effective which means that even small businesses can utilise and benefit from this system. There are lower initial setup costs and there is no need for maintenance as the phone system is hosted by your provider.


What are On Premise PBX Phone Systems? 

On Premise PBX phone systems are PBX hardware that are not hosted, but physically installed at your premise. An On Premise PBX phone system provides the same functionality as a hosted PBX system would, except that it is not hosted through the internet.

Advantages of On Premise PBX

On Premises PBX phone systems provide a range of benefits which may be more beneficial for larger businesses.

  • Greater Control – By installing the hardware at your premises, you will have full control over the phone system and be able to add or remove users as needed.
  • Long-Term Cost Savings – As the hardware is not hosted, but installed at your premises, you won’t need to pay for the monthly hosting which can lead to long-term savings.
  • Ideal for Large Organisations – For organisations that already have the infrastructure and network required for hosting their own PBX phone systems, it will be much easier to transition from a traditional phone system to a virtual phone system.


Contact Mint Telecom for Hosted PBX Phone Systems in Stourbridge, Birmingham

With the Openreach switching off ISDN in the future, your business should consider switching to a more reliable phone system. If you need to upgrade your telephone system, then take a look at our range of PBX phone systems. Our IT & Telecoms professionals serve in Birmingham and the West Midlands. We can recommend the most suitable solution for your business.

Contact us on 01384 887733 or email us at sales@Mint


Hosted PBX, On Premise PBX, Virtual Phone Systems