Difference Between PBX and VoIP


PBX (Private Branch Exchange) and VoIP (Voice over Internet Protocol) systems are used in organizations to manage telephone calls. A PBX (private branch exchange) is a phone system that is used within organizations to manage and route internal and external calls. VoIP (Voice over Internet Protocol) is a voice communication technology that allows for voice communication through the internet or IP networks

Read this article to find out more about PBX and VoIP and how they are different from each other.

What is PBX?

A PBX (private branch exchange) is a phone system that is used within organizations to manage and route internal and external calls. It acts as a central hub for internal telephonic communication, allowing employees to make and receive calls, transfer calls, and use numerous calling capabilities.

Key components and functionalities of a PBX system:

  • Hardware: A classic PBX system consists of physical components such as a switchboard or control unit, telephone lines, and extension modules. The switchboard serves as the system's central nervous system, managing call routing and connecting various phone lines and extensions.

  • Extensions: Individual telephone lines or numbers are assigned to employees within an organization through extensions. Each extension can have its own unique number or extension code, allowing employees to call each other internally using these numbers

  • Telephone Lines: Telephone lines connect PBX systems to the public switched telephone network (PSTN). These lines allow the organization to make and receive external calls. PBX systems can contain several Telephone lines connect PBX systems to the public switched telephone network (PSTN). These lines allow the organization to make and receive external calls. PBX systems can contain several

  • Call Routing: Incoming and outgoing calls are routed by PBX systems according to predefined rules and parameters. When a call is received, the PBX determines where the call should be routed depending on the dialed number or extension. Calls can be routed to different extensions, departments, or even external phone lines

  • Internal Call Features: For internal calls within the organization, PBX systems provide a number of features. Call transfer, call forwarding, call hold, conference calling, and intercom capabilities are examples of such features. Employees can quickly transfer calls to different extensions, hold calls while attending to other matters, or start conference calls with many participants.

What is VoIP?

VoIP (Voice over Internet Protocol) is a voice communication technology that allows for voice communication through the internet or IP networks. It turns analogue speech signals into digital data packets and transfers them over IP networks, allowing users to make calls over the internet rather than traditional phone lines

Here are the essential features and functions of VoIP:

  • Packetization and Transmission: VoIP converts voice impulses into small data packets that are then transmitted over IP networks. These packets contain compressed voice data as well as routing and control data. At the destination, the packets are reassembled to restore the original voice signal.

  • Internet Connectivity: To transmit voice calls, VoIP uses internet connectivity. It can use a variety of internet connections, such as broadband, Wi-Fi, or mobile data networks. VoIP calls can be made from any location with internet access as long as there is a steady and consistent internet connection.

  • Codecs: Algorithms used to compress and decompress voice signals for efficient transmission over IP networks are known as codecs. They convert analogue voice signals to digital formats and compress them to save bandwidth. G.711 (uncompressed), G.729 (compressed), and Opus (optimised for internet transmission) are common VoIP codecs.

  • VoIP Phones: VoIP phones, often known as IP phones, are specialised devices that allow users to make and receive VoIP calls. They look like ordinary phones but feature built-in network interfaces for connecting to IP networks. VoIP phones can be either hardware-based or software-based (also known as softphones), which are applications that are installed on computers or mobile devices

  • Call Quality: The quality of VoIP calls can vary based on a number of factors, including internet connection speed, network congestion, and the codec used. In general, high-speed broadband connections with sufficient bandwidth improve call quality. Poor internet connections or high network traffic might cause latency, jitter, or packet loss, affecting call clarity and reliability.

Difference between PBX and VoIP

The following table highlights the major differences between PBX and VoIP:

Characteristics

PBX

VoIP

VoIP

Traditional telephony system

Voice over Internet Protocol (VoIP)

Call Routing

Circuit-switched connections

Packet-switched connections over IP networks

Cost

High Cost

High Cost

Features

Standard calling features

Advanced features and integration capabilities

Flexibility

Limited flexibility in remote work updates required

Facilitates remote work and telecommuting handle maintenance

Call Quality

Dependence on phone line quality

Dependent on internet connection and network conditions

Future-proofing

Limited scalability for future growth

Flexible and adaptable to changing needs

Conclusion

In conclusion, PBX and VoIP differ in terms of underlying technology, infrastructure requirements, call routing mechanisms, cost structures, and services available.

While PBX is based on physical hardware and circuit-switched connections, VoIP is based on internet-based communication and packet-switched networks, providing modern enterprises with greater flexibility, scalability, and cost-effectiveness.

Updated on: 13-Jul-2023

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