Getting an appropriate phone system is not as easy as you may think. Although the most common objective is to make and receive phone calls, there is much more a business owner can get. Let’s take a look at VoIP and PBX – two of the most reliable phone systems available in the marketplace today.

To avoid confusion between the two and which one has a better service to offer, we put their details down in a specific manner so you’ll get a more precise information. Let’s start.

What is VoIP?

Let us tackle VoIP first. Voice over Internet Protocol or VoIP as it is generally known is an Internet-based service. VoIP can be referred to as a virtual phone number as well since it can be part of a hosted cloud service.

As with the conventional phone service, VoIP functions the same. The only major distinction is that all your calls are conveyed via the Internet rather than physical wires. Location-wise, VoIP has the enormous flexibility that outdated phone service cannot offer.

What is PBX?

Private Branch Exchange or PBX links all office phones within the same network. It also allows your company to make free international calls. PBX provides a company the option to acquire more phones. It utilizes extensions rather of the physical lines to reroute inbound calls to the company’s number.

What is the Difference Between VoIP and PBX?

To give vivid details about the dissimilarities between the two systems, we brought together below their distinction between each other.

Equipment choices

Perhaps this is one of the most significant distinctions between the two – the type of equipment you’ll be using to make calls. With a conventional PBX, you cannot utilize the service of smartphones. On the other hand, cellphones can be used along with computers, tablets, and other devices.


If you compare the two, you’ll find that VoIP is less expensive when it comes to price. With just a little upfront cost associated with the adaption of the VoIP system to your enterprise, VoIP is indeed a way cheaper compared to PBX. All it requires is strong Internet connectivity and VoIP-enabled devices and then you can start enjoying the service. Also, monthly charges are lower in VoIP since your company doesn’t need to pay for separate phones and other maintenance if there’s any.


One of the major advantages of VoIP systems is flexibility. It has many flexible characteristics including the ability to integrate with other advanced technologies. The fact that VoIP calls are manageable on cell phones is another distinctive feature of VoIP’s flexibility.

Call forwarding

With a VoIP system, you can set up an incoming call to ring various destinations simultaneously – call forwarding (see prices at The advantage here is that you can choose the readiest to answer the call first.


Speaking of configuration, VoIP has more choices than PBX. It is quite easy to manage in VoIP since it can be controlled from a computer that allows you easy reprogramming. Furthermore, VoIP systems can be adjusted to redirect calls to various numbers or departments. Although a PBX system has the same capacity to reroute calls to defined numbers, it misses the manageability that a VoIP system has.


When it comes to dependability, PBX is more reliable than VoIP system, only if it is installed properly. The only thing that most concerned is the expertise of the IT personnel to deal with troubleshooting issues. To get the most out of VoIP service, an organization should have a very consistent source of online connection. If you have high-speed connectivity with the Internet, you will experience high-quality voice calls.


With VoIP, you can manage different calls through the device of your choice. Furthermore, your staff can manage calls beyond office hours and outside the premises. VoIP allows individuals to work directly from home or even if they’re on vacation in their favorite destinations. On the other hand, on-premise PBX greatly depends on an Internet data network for phone connectivity. This means that you can’t use any devices beyond your work location.


The reason why you can’t use any device beyond your work premises with a PBX system is that it’s physically attached through an exchange network. In contrast to VoIP service that employs Internet connectivity, you can take calls wherever you are.

Final Words

Whether you choose a PBX or a VoIP system, it will still rely upon your thorough analysis of your communication needs, plus the overall budget in the long run. What is essential is to have the proper knowledge on how to assess your company’s communication system without hurting your funds.

If it seems too overwhelming, we strongly recommend seeking guidance from reliable service providers such as Telnum to avoid inconveniences in the future. Telnum will help you set up the best without hurting your pocket.