Difference Between PBX and VoIP

PBX vs VoIP

VoIP (Voice over Internet Protocol) is a quite recent advancement in telephony systems. It uses a packet switched network, like the internet, to pass digitized voice data from one point to another. This allows telecommunications companies to squeeze more conversations in the same amount of bandwidth. Even home users can use VoIP handsets, or through computers via software, to call other people who are online for free.

PBX (Public Branch Exchange) is a miniature telephone network that is set to work within a company while providing several lines to an external phone company where calls can go in or out. Companies utilize a PBX in order to minimize cost. Instead of having a single telephone line for every office or department which are only used for a fraction of the time, the company can reduce this to a few lines with the use of PBX while still having a telephone unit in each office. All internal calls are routed internally while calls to the outside take any of the available outside lines.

Most PBX systems are not equipped to handle VoIP calls because they were created and perfected before the advent of VoIP. But the advantages of implementing VoIP services in a PBX system has motivated companies and manufacturers to develop IP PBX systems.

Utilizing VoIP in a PBX system can result in a seamless integration where users can use the same phone to dial outside numbers or call a branch office in another country via VoIP. An advanced PBX system can lessen the phone bill of a company by such a huge margin that most companies who needs to replace their older PBX systems have opted to add VoIP support by purchasing and installing an IP PBX system.

VoIP is the future of PBX systems and the companies who utilize them. It comes with a lot of advantages with no real drawback. The cost reduction alone is more than enough to sway even the most hesitant consumer.

Summary:
1. PBX is a small telephone network that companies can use while VoIP is a new telephony system that is beginning to gain widespread acceptance
2. Most older PBX systems do not have VoIP support while some of the newer ones, called IP PBX, supports VoIP
3. VoIP when implemented in a PBX system can result in a seamless integration

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