Today, traditional telephone services have been largely supplanted by VoIP (Voice over Internet Protocol) at most organisations. Though many businesses and government offices still maintain landlines, VoIP’s cost efficiency, straightforward scalability, and advanced features have seen it become the preferred communications technology in organisations of all sizes.
VoIP can be implemented in a few ways, but most organisations only have to concern themselves with two major approaches: hosted PBX (Private Branch eXchange) and SIP (Session Initiation Protocol) trunking. Broadly speaking, these approaches accomplish the same things. Both of these technologies transfer call data over the internet instead of over the phone network of the local service provider, so they are quite similar from a single user’s perspective. However, hosted PBX and SIP trunking each have specific features that allow each one to excel in certain situations. Let’s take a closer look at each of these VoIP technologies so we can better understand the potential benefits for your organisation.
What Is Hosted PBX?
These systems provide a range of traditional and advanced telephony features without the need to purchase or rent any specialised equipment, other than IP hardphones, in some isolated cases. These solutions are typically hosted on cloud networks, distinguishing them from traditional PBX systems that require onsite equipment. Indeed, any modern office with reasonably up-to-date computers already has all the hardware necessary to run a hosted PBX.
Network Edge's Cloud PBX is a comprehensive business-focused PBX hosted entirely in the cloud. There’s no need to buy or lease expensive hardware, reducing maintenance costs and IT issues. Unlike traditional PBX solutions, our Cloud PBX can seamlessly integrate with any device or workflow, giving your team a communications solution that truly works for them.
What Is SIP Trunking?
SIP trunking solutions permit organisations with existing PBX and phone hardware to use these for VoIP communications. A SIP trunk is a digital alternative to a traditional phone trunk, providing a way to connect to public telephone networks without using conventional lines. In the right situations, SIP trunking can expand the data capacity and versatility of an existing phone system while also bringing down the cost of maintenance.
If the organisation already has PBX hardware, SIP trunks can be a practical solution for consolidating voice and data systems, minimising the number of lines that have to be installed. Also, they typically allow the organisation to maintain whatever features of their PBX that they like, potentially minimising the disruptions that can happen when transitioning to new systems.
Main Differences Between Hosted PBX vs SIP Trunking
Though they provide similar results for end users, hosted PBXs and SIP trunks are fundamentally different in their infrastructure, creating some implications in maintenance and scalability.
Who Are Hosted PBXs For?
Hosted PBX solutions like Network Edge's Cloud PBX are the clear winner for smaller organisations that have not yet adopted a PBX solution. Since there’s no need to add, set up, or maintain additional hardware, you can effectively sidestep many of the challenges associated with transitioning to VoIP systems.
Network Edge’s offer is especially compelling as it offers effortless scalability that sets it apart from previous-generation hosted PBXs. It even supports access from smartphones and other mobile devices, making it a perfect fit for fast-moving modern workplaces. The Cloud PBX by Network Edge is also hosted in secure, decentralised data centres to guarantee full continuity in your business’s communications.
Who Are SIP Trunks For?
Larger organisations that have already invested in traditional PBX infrastructure can see maintenance and system expansion costs go down once they adopt an SIP trunk. Because organisations will be retaining most of the capabilities offered by their hardware, transitioning to an SIP may be less disruptive on their operations compared to going all-in on a hosted PBX.
SIP trunking may also be preferable for organisations that need lots of shared phones. Factory production floors, hotels, and hospitals, for instance, need shared telephones that provide instant communications between various on-site locations. However, there are now hosted PBX solutions that can accommodate traditional desk phones, so the choice to integrate an SIP trunk is no longer that straightforward.
Cloud PBX: The Smart Choice for Modern Organisations
For many organisations, hosted PBX solutions like Network Edge's Cloud PBX are the clear choice. As hosted PBXs continue to develop further, the specific advantages of SIP trunks will only be relevant to a small handful of organisations in the future.
That being said, integrating SIP trunking with hosted PBX solutions like CloudPBX can still presently offer many businesses the cost efficiency they desire when optimising their PBX investments. Combining these technologies means that businesses will be able to retain their current PBX hardware while accessing the advantages of next-generation telephony afforded by hosted PBX. Network Edge’s Cloud PBX is designed to work seamlessly with SIP trunking, which is advantageous for organisations wanting to consolidate voice and data communications into a single, cost-effective solution. Needless to say, this hybrid approach can help businesses avoid the costs of sweeping infrastructure upgrades.
In any case, we’re ready to help bring your communications capabilities to the next level. Contact us today to discuss whether Cloud PBX is right for your organisation.
