Virtual PBX vs Self-Hosted PBX Systems

PBX Systems allow you to set up extensions,- "We have 4 different numbers, with 'x' number of
customer management systems, auto-attendants, callstaff handling 'x' simultaneous calls at each number?"
redirects and more to route calls within your- "How do you handle, and what is charged to port
organization. These operations are handled through anumbers in and out of your system?"
private branch exchange server (PBX). Virtual PBXBottomline: If you need over 25 simultaneous calls
services will setup, maintain, and host your exchange(over 75 employees), consider a self-hosted PBX
server off-site and you simply buy IP phones and ansystem. If you are unfamiliar with PBX systems, spend
internet connection to interact with a web-basedat least 1 month researching your options before
administration panel. Self-Hosted PBX brings thepurchasing equipment and services (ensure
exchange server in-house (on premise). The benefitscompatibility and features). You will need compatible
and trade-offs vary, but generally, virtual PBX servicesphones, server/software, firewall, data/voice internet
are for small businesses, and Self-Hosted PBXservice, and SIP/DID providers.
Systems are for medium and large businesses withHardware
heavy phone volume. You can use either analogMany tout that self-hosted PBX hardware can cost as
phone lines or digital VoIP with Self-Host PBX. Virtualmuch as $60,000. However, research what your
PBX services are limited to VoIP. PBXSystems.orgcompany needs, as many hardware providers can sell
focuses solely on the cost savings (typically 50%)a complete PBX setup (compatible phones &
associated with business-grade VoIP communications.server/software installed) for smaller businesses in the
Pricingarea of $2500.
The general consensus is that Virtual PBX servicesDepending on your needs and volume, a
are ideal for small businesses with only 1-10 employees.business-grade pipeline may be as high as $600
With virtual PBX, you are sharing the 3rd partymonth. For the most part, simultaneous calls are limited
exchange server with other people, thereby, sharingto your bandwidth (say 23 simultaneous channels/T1).
hardware & maintenance costs. You must pinAdditionally, some SIP providers will require a static IP.
point your needs and carefully research your preferredWith virtual PBX, companies may use a standard data
virtual PBX provider. Costs are generally betweeninternet connection which may not be practical for
$30-120/month for complete packages (minuteslarge support/sales centers. However, both IP-PBX
included). Extensions, may or may not be freesystems allow you to share the same bandwidth for
depending on the provider. Your marginal cost willboth data and voice. Be sure to adjust your QoS
increase compared to self-hosted PBX systems as(Quality of Service) settings to prioritize voice to avoid
you add more users.dropped calls and poor sound quality.
Virtual PBX systems will also provide you with SIPFor both systems you may use SIP enabled IP phones
trunks & DIDs as opposed to securing your own.or softphones. You may also use a traditional phone,
However, they may limit the number or channels orbut you will need an ATA adapter or a gateway for
simultaneous calls your phone number can achieveVoIP service (check interoperability closely).
(services vary).Self-hosted systems may require an SIP firewall.
For Self-Hosted PBX systems, you will need a serverOther
(with a PCI data port), configuration software (openWith virtual PBX, you are using a server and service
source available), broadband connection (t1 handles 30that is outside your control and you are committing
simultaneous calls), and potentially a firewall oryourself to security and reliability risk.
gateway. VoIP rate plans are provided through ITSPsWith self-hosted PBX, you select your ITSP (Internet
(Internet Telephony Service Providers) and will chargeTelephony Service Provider) for SIP trunks. You are
at least $15/SIP Trunk per month and $1/DID pernot limited to one provider. You can setup up rules
month (rate plans and bundles will vary by provider).within Asterisk for example, to send certain calls to
As a general rule you should reserve channels (DIDsone ITSP, and other calls to another (maximize
etc.) for 1/3 of your employees. If you have 300benefits of individual providers). Additionally, you can
employees, not all of them will be on the phone at allhave back-up ITSPs in case one SIP provider goes
times. Figure out a safe medium of simultaneous callsdown (you can set automatic error handling rules for
needed. Each service provider will handle terminologythis as well). Virtual PBX providers do not allow such
(SIPs, DID, Channels etc.) differently. Contact theirconfigurability, although one would assume their internal
support department with specific requirementsbackend processes have such backup mechanisms in
questions such as:place.
- "We need 20 simultaneous inbound calls to our tollMany, not all, virtual PBX systems will limit the
free number and 2 simultaneous calls to our localsimultaneous calls per number. What is your technical
number?"ability? Do you have the time and ability to maintain a
- "We need roughly 5000 inbound minutes to our tollself-hosted PBX system? If you do, even with fewer
free number, 1000 outbound minutes to Australia, andusers, a self-hosted PBX system could have cost
1200 outbound minutes our satellite office insavings. However, if you do not have time, use virtual
Germany?"PBX in the meantime according to a strict profit
- "If our phone systems go down, can we redirectsavings analysis.
incoming traffic to another phone?"