Hosted PBX vs. SIP Trunking & IP PBX – the best comparison between VoIP’s most popular products

This is it! You finally made the decision to drop your traditional landline and to embrace the new wonder of telecommunications that is VoIP. But…there’s another challenge before you get to enjoy all the advantages that a VoIP phone system can bring to your business: choosing a Hosted PBX or install your own PBX and get SIP Trunks to work with it.

We cannot tell you that one option is better than the other; a solution is best if it fits your business’ needs. What we can definitely do is to give you all the facts and help you make the correct decision so that your business benefits from your new communications system, whether that is a Hosted PBX or an IP PBX & SIP Trunking solution.

 Hosted PBXSIP Trunking & On-site IP PBXSIP Trunking & Software IP PBX>
 HostingThe entire business phone system is hosted by your VoIP service providerThe system is hosted by the business in the same location where service will be usedThe phone system can be hosted on an on-site server, or remotely in a datacenter
Deployment & MaintenanceThe VoIP provider will host the service, which is why it’s also called “Cloud PBX” or “Virtual PBX”You will require  internal or external IT support to install and maintain your IP PBX
ScalabilityA Hosted PBX system can be upgraded or downgraded at any timeThe on-site IP PBX will be limited to the number of users it can support, so you will need to ensure that size changes are taken into considerationSoftware IP PBX systems, just like the Hosted PBX ones, can be configured for more or less users, depending on the business’ needs
FlexibilityBeing hosted in the cloud, this office phone system can be accessed independently of locationThe users of this PBX have to be located in the same network, thus if you have multiple locations, each will require its PBXUsers can connect to a software IP PBX from any location, making it ideal for multi-office or on-the-road setups
Stability and availabilityAll business phone systems are as stable and reliable as the server that they are hosted on. The Cloud PBX is stored by your provider, so they will be in charge of providing a redundant connection and an adequate bandwidth, while with your own IP PBX you are responsible for ensuring the stability of your servers and network.
PriceA good Virtual PBX system will start at around $15.99/month/userIP PBX hardware can start at $250 and go up to a few thousands, depending on size. SIP Trunking services start at around $7.99/trunk/monthPBX software licenses start at $300/license, depending on calls allowed, in addition to SIP Trunking from $7.99/month/trunk. There are also providers who offer it as SaaS (software as a service)
FeaturesThe number of features and their level of complexity depends a lot on the quality and the price of your PBX, whether it’s a hosted phone system, and on-site hardware-based one, or a software
SecurityThe security is all in the hands of your business phone service providerYou will be responsible for deploying security solutions on your PBX dialplan, servers and network

A Hosted PBX is the solution for you if you are looking for a hassle-free business phone system. Your VoIP provider will handle all the elements of hosting, configuration and maintenance, while no upfront investment is needed. Having your own IP PBX means lower monthly fees, the possibility to have full control over your configuration, but also requires that you have knowledgeable IT staff who can install, configure and maintain your PBX.  Whatever your choice is, ensure that you have analyzed all options and you and your team are ready for the challenge that is a VoIP office phone system.  This thorough preparation will enable you to fully enjoy the opportunities your new phone system will bring your business.

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