What is Private Branch Exchange (PBX)?


PBX represents private branch exchange. It is a private mobile network used within an enterprise. It is a business-oriented phone system created to supply effective voice communications among the users of an organization.

It is performing as the phone company’s central office within an organization, a PBX facilitates as the exchange point and point for routing calls.

PBX enables users to generate their own telephone network inside a company or organisation. With this system, employees can connect internally for collaboration objectives and externally, with users, shareholders, and several contacts using channels such as VoIP or ISDN.

Every device linked to the PBX, from mobiles and laptops modems to fax devices, is an “extension” with a designated extension number.

When the PBX occurred, it supported businesses the benefit of value savings on internal phone calls, by handling circuit switching via central office lines. As PBX systems increase in popularity, they also start to take on new features.

A current digital PBX can manage information, fax, and several forms of traffic including voice traffic. Telephones and other devices are linked by single circuits directly to the PBX unit, while trunk lines appearing in from the outside remove at a multi trunk channel band (MCB) unit.

The MCB connects with the main distribution frame (MDF), which supports the single circuits that link the outside globe to the PBX unit.

The higher circuits that the MDF generates from the trunk lines, the more simultaneous outgoing calls can be created and received by customers of the PBX system.

The benefit of the IP PBX system for multiple companies was the appearance of new virtual hosting space.

With the IP environment, there was no longer a requirement to rent, support, and update computerized switchboards inside the business environment. Rather than, companies can easily use an internet connection to process and share their data.

IP PBX, it is produced to support same functionality to that of traditional PSTN-based PBX systems. IP PBX, it can be constructed or supported by a telecom function, a third-party Internet service provider or it can be hosted in-house. Unlike PSTN PBX, IP PBX has the capability to switch, forward and route the calls among VoIP networks to PSTN and PSTN to VoIP. IP PBX services are hugely delivered and handled through purpose-built application with providing switches and network devices. Hosted PBX and virtual PBX are between the deliveries modes of IP PBX system.

A traditional PBX linked to mobiles through dedicated hardware, generally a switching console. All connections are wired, making a physical voice network independent from the business’s data network. While several traditional PBX systems are in operation, they are flattering obsolete as cloud-based options with new features become available.

Types of PBX System

There are two types of PBX System which are as follows −

  • On-Premises PBX − An on-premises PBX is becoming a little antiquated in the current digital age, but it’s still something that some companies choose to invest in. On-premises solutions provide you an on-site environment where it can manage all of our PBX required.

  • Hosted PBX − A Hosted PBX is basically the “new era” of PBX technology. Internet-based PBX solutions enable us to handle our employees’ mobiles and technology from our web browser.

Updated on: 22-Nov-2021

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