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What is a Hosted PBX Phone System?
July 9, 2019

What is a Hosted PBX Phone System?

A hosted phone system is a flexible, cost-saving alternative to a traditional 'on-the-wall' PBX telephone system. Where traditional phone systems require physical hardware on-site, a hosted phone system uses cloud technology to power your businesses telephony.

Hosted phone systems, often referred to as 'hosted', use your existing broadband connection to make and receive calls, rather than individual telephone lines. This makes better use of your existing broadband and data connection and reduces costs by eliminating the need for multiple phone lines.

Accessing the cloud

To access the cloud, hosted uses a technology called VoIP. VoIP is a method for making and receiving a voice call using a broadband connection. This means that, to have a hosted phone system, all you require is a 'decent' broadband speed (we'd recommend no less than 30Mbps download) and a compatible device.

You can use multiple different devices with hosted. These include:

  • IP Desk phone (free with selected packages)
  • Smartphone
  • Tablet
  • PC/Mac computer

VoIP desk phones
A selection of our desk phones

Cloud technology

Cloud technology is nothing new, we've all heard of the cloud. Most modern technologies make use of the cloud in one way or another, and hosted is no different. Instead of buying (or leasing) a costly PBX to sit in your office, you can just pay for monthly access to a phone system that sits in the cloud.

With multiple packages and bolt-ons, you can fully customise your phone system to fit your requirements. Prices for our hosted cloud start as low as £10 a month, making hosted a cost-effective alternative to the alternative 'on-premise' phone system.

How does a hosted phone system work?

Let's get technical - with a diagram.

Hosted phone system diagram
A diagram of a hosted  PBX phone system

Hopefully that diagram gives you a good idea as to how a hosted phone system works and what it is. You can see that your offices (whether that's one or 100) connect to the same cloud telephone system. Hosted also allows smartphones and mobile users to directly to the same phone system, from wherever they are; as long as they have an internet connection.

This system sits neatly in the cloud, away from your offices. Hosted provides your business with a totally unified cloud solution, keeping your business connected for as little as £10 per month.

Would it be right for my business?

Well, that all depends. If we're honest, most businesses would benefit from a hosted phone system. However, there are some questions you should ask yourself before investing in hosted:

  • Is my broadband speed below 30Mbps download?
  • Does my business have over 100 users on one site?
  • Does my business make lots of calls simultaneously?

If you answered any of these questions with a yes, then you may be better off with an on-premise PBX solution. However, if those questions were all answered with a no, then a hosted phone system would be an ideal fit for your business. It may help you dramatically cut costs and improve collaborative working efforts and streamline your workflow.

In summary

To summarise, a hosted PBX phone system is a cloud based telephone system that uses VoIP to connect your business. Hosted sits in the cloud and has all the features of an on-premise PBX. It can help reduce a businesses running costs and improve your efficiency.

For more information about hosted, give our team a call on 01934 882200 for a free, no obligations chat or email

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