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10 advantages of IP PBX over traditional PBX

Office Telephone Systems or popularly known as EPABX Systems are in use since last three decades in India. First indigenously designed EPABX was launched by C-DOT in 1986, thanks to the father of telecom revolution in India, Dr. Sam Pitroda. Various generations of EPABX systems are around since then and with rapid advancements in technologies, EPABXes are also now transforming themselves into a new generation of IP based systems, known as IP PBX. As with any new technology, the traditional EPABX market is being interrupted by this new entrant IP PBX. IP PBX itself has different variants, such as Hosted PBX, Cloud-based PBX, Mobile application etc. Let’s see how the new product is revolutionizing the modern office with its distinct features.

1. It uses your LAN

An IP-PBX business phone system will reside on your network using your existing LAN. The PBX server is only a short distance away, so signaling distance and time (latency) is very short and does not depend on traveling over the Internet and other networks. It avoids duplication of cabling for telephones.

2. Lower operational costs over time

In addition to taking advantage of lower cost VoIP routing, purchasing your own IP-PBX lowers costs over time. When using hosted VoIP the initial costs are most likely lower, but monthly subscription costs are ongoing and higher over time when compared to premise-based IP-PBX. The IP-PBX will usually result in lower averaged monthly operating costs especially for systems with a higher number of users.

3. Easier to configure and install than proprietary phone systems

Proprietary phone systems can be cumbersome and difficult to navigate through their software to configure and install. An IP-PBX system will be much more familiar to computer savvy people, especially someone who has experience with networks. This can be especially true for Asterisk-based systems that have a front-end GUI such as FreePBX.

4. Simpler Management

The GUI of an IP-PBX will be much more user friendly than traditional PBXs. This allows for easier changes and additions. Even the PC based Operator Console has many advanced features with simple user interface.

5. Easy to move phones

Because phones are IP based, they are like PCs, move them from one connection to another and they find a home and connect right back up to the PBX server. No longer are the days when a simple phone move needs to have cross-connects changed and a phone technician making a billable service calls.

6. Unified Messaging

IP PBX has the ability to receive and sending voice messages and facility to listen to your messages remotely from your Outlook inbox, along with PDFs of faxes increases communication and productivity. Integration with work applications, such a CRM packages and generating necessary reports improves business performance. Email and SMS integration truly makes it unified messaging platform.

7. Branch offices

Multiple offices can be added to an existing system and connected through an Internet connection. Communication between various branch offices will be almost free. This is especially useful for businesses having multiple offices in a country with a high volume of interoffice communication. And with continuous reduction in the prices of IP-phones in recent times, acquiring an IP PBX is cost effective for any business.

8. Remote Extensions

Employees can plug in a compatible IP- Phone at home to their Internet connection and always available on their office extension. The explosion of smartphone users with 3G or 4G connectivity in our country is making the VoIP revolution reach grass root level.

9. Cost savings by connecting to VoIP providers via SIP trunking

Using SIP trunking with an in house IP-PBX can connect to lower cost VoIP providers; reducing phone bills, especially long distance and International calls.

10. More choices

Major companies that have built PBXs are now focused on IP connectivity, but even better are all the upstart companies that are building Asterisk IP-PBX with lower prices and vendor-neutral hardware.


Thus it proves beyond doubt that the new technology will equalize the level playing field for large as well as small businesses. The term Unified Communications has taken different meaning with Computer Telephony Integration that is happening with VoIP. The hardware has become standard product and software is becoming so flexible and user-friendly that it could be customized for each client. This is just a beginning of next revolution for business communication systems.