The Top Advantages and Disadvantages of Cloud Hosted PBX Systems

Over the past few years, more and more businesses have implemented the cloud hosted PBX system. They are a cost-efficient solution that enables businesses to have seamless communication and better connectivity. Cloud hosted PBX system is an online communication system that allows companies to save their data on the internet instead of saving it on hard drives or computers.

Given below are some of the top advantages and disadvantages of using a cloud hosted PBX system


There are a number of advantages of a Hosted PBX and this is exactly why more and more companies are adopting this technology.

• Lower Cost

The cloud hosted PBX solution is very cheap compared to a traditional telephony system. You don’t have to spend a lot of money on additional hardware. For example, with on-premises PBX, companies are required to have a separate server along with the interface cards. But in case of cloud hosted PBX, they just need to have IP phones. The rest of the infrastructure is managed and owned by service providers.

• Device Integration

Cloud hosted PBX has made it possible for employees to manage the work from different locations and on any device they want. It allows businesses to integrate multiple devices on a single network, enabling workers to operate from any location regardless of where they are.

• Enable Real-time Analysis and Costing

The cloud hosted PBX system allow businesses to do real-time costing by using the data. They can compare the allocated cost with actual cost and can also detect fraud in real-time. With this technology, companies can also do trend reporting by evaluating the unused, over or under used assets.

• Scalability

You can easily upgrade your communication system when your business experiences growth. Cloud hosted PBX allows you to increase or decrease the phone lines according to the business requirement. You don’t have to make any investment to upgrade the system; in fact, you just pay for the services you ask for. Simply contact the service providers and they will add the phone lines to help you satisfy your business needs.

• Quality

The cloud hosted PBX system offers outstanding voice quality and uninterrupted communication. However, make sure you improve your broadband infrastructure and have a business-level internet connection to avoid any hiccups.

• Protect Privacy of Employees

In many cases, company employees have to share their personal numbers with the clients to ensure smooth communication. But with the cloud hosted PBX, they don’t have to share their personal contact details anymore. It combines the company and personal lines on a single device, enabling employees to use the business number on their personal device

Disaster Recovery

In case of any natural calamity like earthquakes or a flood, the business functions get disrupted. But with the cloud hosted PBX, the communication system runs smoothly on the internet. Even if the business activities stop for a while, employees can still contact the customers and take their queries without any interruption.

Moreover, it has an authorization feature that enables companies to make international calls at a much cheaper rate.

Other Features

Unlike traditional telephony system, the cloud hosted PBX system offers a number of features, including voice messaging, auto attendant, directory, management of a remote call, email, voicemail, presence, IM, and more. The availability of these features makes it possible for companies to provide effective, reliable, and fast services to their clients.


However, there are certain things you have to consider when purchasing this technology

• There are some VoIP service providers that send you the IP phones via shipment. They don’t send their staff to set up or install the system on your premises. It means that your company has to take care of all the installation and maintenance, and also take responsibility for staff training.

• There are so many service providers that do not offer any local customer service to its clients, making it harder for you to reach out in case of any issues

• If the vendors do not manage the services properly, it can affect the quality of your calls and your business might have to face unnecessary interruption that can be easily avoided with proper management.

If you manage to control these factors, it will enable you to have a great communication experience with better connectivity

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