What is PBX system? What you need to know

When searching for a perfect telecom choice it is really hard to bring a perfect decision. Today, you have more choices than ever before, and every option has its prons and cons. One of the most used today (with a reason for sure) is PBX. Today, more than ever it is quite crucial that you have perfect communication methods, because information needs to be transferred literally in seconds, life is fast and work is even faster. It is necessary for teams to have tools that will facilitate their daily work, and that will enable them to find concrete solutions and answers to problems. How to find the perfect solutions, and what is PBX? Find out in this blog. We will cover how these systems function and whether they represent a good fit for modern office workflows.

What Is a PBX Phone System?

PBX = Private Branch Exchange.
PBX system is a private telephone network system used within a company or organization, but also for external communication. PBX phone systems connect multiple extensions within an office to each other—effectively consolidating multiple phone lines into one—as well as to a small number of outside lines. PBX system helps increase productivity and gives your business a professional voice when communicating with customers, colleagues, and partners.
Most people are already familiar with many of the features that PBX phone systems offer:

  • Call Recordings Call recording software records telephone conversations over PSTN or VoIP in a digital audio file format.
  • Voicemail from Phone, Email, Web – (also known as voice message or voice bank) Access, manage, receive and record voicemail anytime, anywhere, from any device.
  • Collaboration – Hosted Collaboration is a newer term used to describe high-tech communication over a variety of mediums. These may include telephone conferencing, web and video conferencing, instant messaging, presence…
  • Call queues – Nobody likes being kept on hold, but it’s nice to know how long you’re likely to wait. Call Queues are an indispensable component of a business telephone system. They are great ways to manage large call volumes.
  • Voicemail-to-Email – With an internet-enabled PBX phone system, users can set the system to divert incoming voicemails directly to users’ email addresses. This unifies communication across multiple platforms and helps users gain access to important messages faster.
  • Virtual Extensions – A virtual extension, also called a virtual number, is a phone number that forwards to another phone number.

PBX phone systems are available as hosted or virtual solutions and as on-premise solutions to be run on your own hardware.


How Does a PBX Phone System Work?

PBX systems operate by using either VoIP (Voice Over Internet Protocol) or via analog or digital phone lines. With a PBX phone system, the physical phone line coming into your business can be split into multiple lines, allowing you to support more telephones. Better yet, calls between users are free.

The users of the PBX phone system can communicate internally (within their company) and externally (with the outside world), using different communication channels like Voice over IP, ISDN or analog.

So, PBX or Private branch eXchange is telephone system within a company that switches calls between users on local lines, while enabling all users to share a certain number of external phone lines.

Can a small and medium business benefit from a PBX system?

Absolutely. We will metion 4 basic PBX system adventages:

  • better security,
  • lower cost (to install and maintain),
  • wider use,
  • flexibility