PBX stands for Private Branch Exchange. It refers to the telephonic switching system or telephonic switchboard hardware where an incoming call can be routed to different extensions. Similarly, IP PBX stands for Internet Protocol, Private branch exchange and can be defined as a private branch exchange that switches incoming calls between VoIP (voice over Internet Protocol) users on local lines while allowing all other users to share a certain number of external phone lines. It can also switch calls between a regular telephone user and a VoIP user or between two regular telephone users. It can also switch a call to any mobile user.
IP PBX systems are fully web based and there is no requirement of any additional hardware to initialize them. By using this phone network, companies can set up their offices in different locations without changing their existing phone numbers. These offices can switch over to IP PBX systems using their existing broadband connection and telephone lines.
IP PBX adds various features in it. One of them is that it offers great flexibility. Incoming calls can be efficiently redirected to mobile phones, landline numbers or any other given personal numbers if urgent. More than one person can attend the different incoming calls at the same time. The phone system can be easily configurable to create group conferencing, call queues, view call details and billing information, record, hold, listen to and delete voicemails. This system has advanced features like voice mail, auto attendants, fax mail, automatic answering, automatic call distribution etc.
Similarly, Hosted PBX is a phone system whereby the user does not need to place much hardware in his office or home. As the VoIP provider manages all the hardware, equipments and other technologies that supporting the whole system within their own site. In other words, it manages everything that makes the whole system work. The equipments that user required while setting up of hosted PBX are router and IP phones. These IP phones are plug in to the router in their office while all calls, connections and features are managed by in-house IP PBX server. Users are normally charged on a monthly basis for the services providing by the VoIP provider.