As a CIO or IT Manager facing the need to update telecommunications technology, namely replacing the company’s outdated telecommunications machine (PABX), you will face one of the biggest choices: whether the telecommunications system to be used is hosted on-site (onpremise) or in the cloud (cloudpbx). In this article we want to explain the difference between onCloud PBX and onpremise PBX, the requirements, the advantages, and the possible disadvantages of implementing those two options.
On-Premise PBX Solution
The term “On-Premise” refers to installing the PBX inside the local network (LAN). In this case a software-based PBX such as 3CX is usually installed as software on a server or virtualized. Supporting devices such as phones, gateways, and softphones are usually placed in the same local network and interact directly with the PBX. Traditional phone lines such as (ISDN, Analog PSTN, GSM) or a SIP Trunk can be connected locally, and remote extensions can use a Public IP that can be connected over the internet to the local network through a Firewall.
The main advantages of an on-premise solution:
- Direct control of the Server to the PBX.
- Direct local connectivity using an Analog gateway, ISDN, or SIP Trunk
- Direct access to ERP, CRM, and Database applications inside the local network that are not prepared for a Cloud environment.
- If internet connectivity is lost because of a technical problem, the PBX keeps operating by using local backup routes (traditional lines).
- Voice traffic that goes through the Internet is limited only to SIP Trunk connections to the VoIP provider over the Internet or remote extensions.
- In the case of infrastructure with a significant number of extensions, especially where features such as call recording are used, an on-site solution usually ensures better efficiency.
Possible disadvantages of an on-premise solution
- Increased traffic on the internet data path to CRM applications located in the Cloud, or to remote extensions (softphones and remote physical phones).
- With the addition of backup/failover connection features, more additional devices will be needed and as a result the monthly costs for maintaining and upgrading the devices will be higher.
- The ISP provider and the routing and Firewall equipment must be chosen and evaluated periodically.
- Possible problems related to router / firewall equipment supplied by the ISP that does not match the SIP protocol specification or even blocks communication to the VoIP Provider over the internet.
PBX on Cloud Solution
With a cloud solution, the PBX software is located outside the company and hosted in a data center or hosting provider that already has redundancy up to a 99.9% monthly SLA. So the PBX is installed virtually in that data center and accessed over the general internet. In this case every outgoing and incoming call uses a 100% Internet connection, so the company’s data connectivity is the key factor.
The main advantages of a Cloud PBX solution
- The bandwidth available at the data center is higher, so data traffic to and from the PBX flows smoothly, whether from extensions or toward the VoIP Provider or toward cloud CRM applications for customer data.
- The company’s remote workers (WFH) or other branches and employees using smartphone clients connect directly to the cloud PBX using the data bandwidth available through the hosting provider. Therefore all “remote users” will not use the company’s Internet connection.
- Easier, better server maintenance because everything is done by experts in the data center.
- Fewer critical problems related to the choice of the company’s router / firewall equipment if the 3CX SBC is used.
- When using an SBC in the company network, the voice RTP data stream for internal calls (including internal calls physically located in the company) does not go into the Cloud PBX but goes directly through the local network between phones, saving company bandwidth for calls between extensions.
- An easy-to-use backup internet line can be used to reach the PBX in the cloud.
- A Cloud PBX usually comes as a service and the offer also includes routine maintenance services.
- Lower investment in infrastructure such as servers / equipment and zero risk of obsolescence
Important aspects that may be associated with a Cloud solution are:
- The data connectivity used in the company must be chosen very carefully because it is the fundamental means on which the PBX functions. It is important to pay attention to the MGB (Minimum Guaranteed Bandwidth) provided by the ISP.
- If there is an Internet connectivity problem or fault, the phones remain isolated and cannot communicate with the cloud PBX. In this case, it is recommended to always provide a backup Internet connection as failover.
- The choice of data center and hosting provider for your PBX is very important and must be assessed carefully.
- A cloud solution fits very well with a complete VoIP system where the connection to the public telephone network (SIP Trunk) is made through a cloud VoIP provider.
Choosing the best solution depends on many factors. The transition to cloud systems is more advanced in countries and regions where ultra-broadband connectivity is more widespread. This may be the first factor to consider: if you live in an area covered by ultra-broadband, then the cloud option is definitely one to consider. Conversely, if you are in an area with limited data coverage, it is advisable, and in some cases necessary, to adopt an on-premise system.
The size of the company is also an element to consider. Small and medium installations are definitely best suited to being hosted in the cloud. Large installations that rely on a very high number of phone extensions and still use many local PSTN lines should consider migrating to the cloud very carefully. It may be useful to consider a hybrid on-premise/cloud solution.
Modern software systems such as 3CX let you connect lines by creating a secure, protected, and encrypted bridge between the on-site PBX and the cloud, so you can take advantage of the combined strengths of both solutions.
If the bandwidth requirements mentioned earlier are met, an important deciding factor is the availability of IT administrators with the skills needed to manage the PBX. Cloud systems are generally provided and billed through a monthly fee that includes the management and administration of the PBX itself. The total cost can be much lower than either on-site infrastructure in the case of small and medium businesses that do not have in-house IT skills.
Why is 3CX the best choice?
Not all cloud PBXs are the same, a fact that is often overlooked. In choosing a cloud PBX, the main considerations are security, the ability to expand the system, the freedom to use your choice of devices and SIP trunk, and, no less important, the ability to migrate the system.
The Strengths of 3CX in the Cloud
- Security: 3CX is PBX software that pays special attention to security factors related to privacy and IT fraud prevention. All information that passes through the cloud is protected by the most advanced encryption system.
- Flexibility: all licenses can be upgraded. This means the PBX can grow gradually along with your business.
- Independence: A 3CX license is an investment with added value: portability. All 3CX licenses can be used interchangeably on-site and in the cloud. A company can then decide to adopt an on-site solution and later migrate to the cloud and vice versa. Also, if there is a need to change hosting provider or carrier, the license and the complete system configuration can easily be moved to another service provider.
- No proprietary hardware restrictions: 3CX works with the most common and popular phones and IP devices on the market. Therefore there is no obligation to use hardware of a particular brand.
source: 3cx.com
