A lot of talk is on about internet and the carriers and service providers and a lot of this jargon is very difficult to understand if you are new to this part of the world. The PBX is one such abbreviation that we get to hear a lot nowadays but very few people really know what it is. PBX is short for Private Branch Exchange.
The system is used in communicating between telephone lines and extensions within a company or office. The system then links this network to the PSTN or Public Switched Telephone service. With VoIP which is based on IP coming a long way from just calls to other applications like email and instant messaging PBX manufacturers are also going the IP way. They are now using procedures that can communicate and fit in with other applications which are already present. These are called IP PBX or Internet Protocol PBX because they use Internet Protocol for their signals. IP PBX seems to be replacing the traditional PBX more quickly than it was expected to as it has a lot of advantages over traditional PBX and the speed and connectivity is also extremely fast.
To define IP PBX properly, it’s actually a phone system that uses internet protocol data networks to manage a variety of facilities like call switching, handle messaging and rout calls. It also gives out easy feature like voicemail to email, and the ability to connect to the traditional PSTN phone lines. This means that we need not connect to and keep changing to different carriers. The IP PBX arrangement can be set up with one or more than one IP based phones, an IP PBX server and a VoIP gateway to link to already existing PSTN lines if needed.
The functionality of an IP PBX is very similar to VoIP hosted proxy server but unlike the VoIP server this stays in the premises as it needs to connect to the SIP clientele which might either be hardware based IP phones or the normal soft phones. The way this IP PBX works is that it creates a directory of listed IP phones and their matching SIP addresses and then connects to the local area network or LAN calls or creates a pathway for outgoing calls either to a VoIP gateway or to the VoIP service provider.