Since it seems that everyone is jumping on the VoIP bandwagon, I thought this was a good opportunity to compare the new VoIP system with the traditional PBX system.When comparing the two services, one may find that there is no single defining factor that sets one apart from the other. Traditional PBX system has been around for quite some time. PBX is short for Private Branch Exchange.

An ‘Old School’ PBX system is a private telephone switch that is installed in a business location to allow for effective communication amongst people inside a company while allowing access to adequate external telephone lines.

One edge that the traditional phone system has is the excellent voice quality. But the new business VoIP system does not guarantee an absolutely clear voice quality. Don’t worry though. It’s not too difficult to find a business VoIP provider that provides a quality of service guarantee.

Another key element when choosing this very important communication is the number of dropped calls. The traditional PBX system rarely has instances of dropped calls. When using a business VoIP system, dropped calls are isolated, but rare. Additionally, there are more chances of loss of data when there is excessive usage of the service across the network.

Thankfully both systems provide for worldwide coverage, making both effective tools for business.

One aspect which really differentiates the two communication tools is the disparity in bandwidth usage- the traditional PBX system is highly inefficient in comparison to the business VoIP system.

In addition to more efficient use of bandwidth, the business VoIP system has an edge over the traditional PBX system in terms of long distance rates. As opposed to the ‘old school’ system which can lead to substantially large long distance bill, the new business VoIP system can even mean free long distance calls if within network.

Now if you look at maintenance, you’ll notice that it’s incredibly costly to maintain an ‘old school’ PBX system. Due to the cost of copper, the heavy equipment needed, and aging infrastructure it’s not easy keeping the traditional PBX system in prime condition. In contrast, the hosted PBX is relatively easy to maintain since there is very little equipment needed to run the system.

And last but not least, the scalability of any communication service is a key decision driver. Every business starts off small but plans to expand. Even if a company plans to expand to certain size, there is no way of determining how fast or slow that may happen. With a traditional PBX system that would mean one would have to invest a huge chunk of money in order to accommodate for forecast-ed growth. If one is using a business VoIP system, this situation does not occur as one can expand usage with time.

It’s not difficult to see that the business VoIP system is a much cheaper option to utilize for any business that foresees itself growing and communicating with clients worldwide.

Mehndi Rao is a passionate writer. She writes about just about anything that pops into her mind. Her current topic of interest is the oh-so-dynamic business VoIP provider and loves writing about business voip.