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Hosted Vs Cloud PBX. What’s the difference?

We’ve all heard the terms Hosted PBX and Cloud PBX before. And we’ve seen them being used interchangeably to describe the same things. However, is there a difference between a hosted PBX and a cloud PBX? And if so, what is the difference between the two? Read on to find out.

What’s a Hosted PBX?

A Hosted PBX is when the physical servers running the PBX itself are not at the user’s location. They’re hosted in a separate location by a third-party. Therefore, users access the service via a direct network connection. A hosted PBX provides users with complete functionality of all PBX services, the equipment and hardware, however, are located off the user’s premises.

What’s a Cloud PBX?

A cloud PBX broadly put, refers to hosted services delivered via the internet. Sounds almost identical to a hosted PBX. However, a cloud PBX offers more interoperability, flexibility and sustainability than a hosted PBX. In addition, the pricing between the two differs as well.

Pricing

A Hosted PBX pricing model is usually based on a pay-per-seat model; therefore, businesses end up paying for a certain capacity even if they end up not using it. A cloud PBX on the other hand allows users to pay based on what they actually use.

Which should you choose?

Businesses need to know the capacity and usage of the PBX before deciding which option to go for. If they’re unsure about the usage, a cloud PBX might be the better solution as they can scale up and down as the need arises. Hosted PBXs are better suited for large Enterprises who know the usage they’ll need and require uniform features.

3SIP Services can offer both Cloud and Hosted PBX solutions. Want to learn more?

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