IP PBX
What does IP PBX stand for?
The industry just had to come up with another strange acronym for something you’ve essentially, right?
The acronym IP PBX stands for Internet Protocol Private Branch Exchange. While at first glance the term is quite a mouth full, when you break an IP PBX into its two distinct parts (IP and PBX), you will actually be surprised how much you will learn about what an IP PBX is and what it does.
What is the Internet Protocol?
Internet Protocol (which going forward will be referred to as IP) is a method of transporting packets across your Local Area Network (LAN) or a Wide Area Network (WAN), which most people call the Internet. In the context of an IP PBX system, IP denotes the method by which the system sends and receives packets (information) – whether those packets happen to be voice or data.
This is where the term VoIP comes from. VoIP stands for Voice over Internet Protocol and the widely recognized term associated with the sending over voice over a network.
What is a Private Branch Exchange?
A Private Branch Exchange (which going forward will be referred to as a PBX) is a telecommunications system that handles the call control functionality of your telephones and your fax machine, while simultaneously managing your connection to the PSTN (Publicly Switched Telephone Network). In other words, PBX is a term that is used to describe what you call your phone system.
Now in the context of the term IP PBX system, PBX denotes basic phone system functionality, but as you will see in a second, an IP PBX is very different than a traditional PBX.
What is an IP PBX?
Sure, you could just say that an IP PBX is a phone system that utilizes IP, but that would be too easy (and simple). An IP PBX, like a traditional PBX is responsible for handling your call control and managing your connection to your telephone service provider, but it does this in a different manner.
Where as a traditional PBX has its own closed network that interconnects your desktop telephones, PBX hardware and connection to the PSTN, an IP PBX uses your LAN to connect to your desktop telephones (IP Phones) and to the WAN (for a connection to the Internet and a VoIP service provider).
To recap, an IP PBX is a phone system that is connected to your Local Area Network and uses the Internet Protocol to handle the call control of your desktop telephone (IP Phones) and manages your connection to the Wide Area Network over which your VoIP service comes.
It is also worth noting that most IP PBX’s also have the capability to connect to the PSTN, so even if you were unsure about using VoIP for your calling, you can still use an IP PBX (and realize all of the benefits of owning one).