Hosted Private Branch Exchange

What Does Hosted Private Branch Exchange Mean?

Hosted private branch exchange (hosted PBX) is a telephone exchange system built, delivered and managed by a third-party service provider. Hosted PBX is an IP-based telephony solution provisioned and accessed entirely through the Internet.

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Hosted PBX may also be referred to as cloud PBX or hosted voice.

Techopedia Explains Hosted Private Branch Exchange

Hosted PBX generally provides the same features and services as a traditional private branch exchange system, but hosted PBX eliminates the need for building and managing an in-house PBX system. The service provider, typically a telecommunications provider, Internet/cloud service provider builds and hosts the PBX system on its premises. The hosted PBX is connected with customer/client telephone systems through IP-based networks and/or the Internet. Once a call is received, the hosted PBX routes that call to the corresponding client. Similarly, the client/customer connects to the hosted PBX using IP-based phones in order to make a call.

Hosted PBX is often confused with virtual PBX but the former provides more call control features and services than the latter, particularly in the sense that it’s able to make both inbound and outbound calls.

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Margaret Rouse

Margaret Rouse is an award-winning technical writer and teacher known for her ability to explain complex technical subjects to a non-technical, business audience. Over the past twenty years her explanations have appeared on TechTarget websites and she's been cited as an authority in articles by the New York Times, Time Magazine, USA Today, ZDNet, PC Magazine and Discovery Magazine.Margaret's idea of a fun day is helping IT and business professionals learn to speak each other’s highly specialized languages. If you have a suggestion for a new definition or how to improve a technical explanation, please email Margaret or contact her…