What is a Virtual PBX?

September 16th, 2010




In the early days of telephone service, businesses generally had a single telephone. This was connected directly to the phone company operator. As businesses started to put multiple phones in their offices, the need arose for a way of connecting the phones to each other and to the outside phone lines. The PBX (private branch exchange) was the answer. A PBX was simply a switchboard on the company premises. You have probably seen pictures of prim young women sitting in front of a big panel with lots of cords and plugs and switches.

Any extension at any workplace could connect to the switchboard operator, who could then connect the call to another extension or to the outside phone system. Conversely, an inbound call was answered by the switchboard operator and the call was connected to one of the local extensions.

With the advent of electronics, the operator was gradually replaced by electronic switching circuits. The clumsy switchboard was replaced by a smaller electronic box, but still located on the business premises. This was the era of the familiar “dial 9 for an outside line” instruction.

When the internet came along, two major changes in the handling of business phone calls occurred. The first was VOIP (Voice Over Internet Protocol). VOIP allowed voice calls to be broken up into little packets which could be sent over the internet. At the receiving end, the packets were reassembled into an audio stream which was passed to a telephone.

For the user, there were advantages. First, because a dedicated circuit path was no longer needed to maintain a phone call, the distance penalty for “long distance” calls disappeared. Now a call going half way round the world had roughly the same cost as a call across town.

Secondly, the quality of the audio improved markedly. VOIP calls are truly high fidelity, whereas calls placed through the old public switched network had limited audio fidelity.

The second change brought about by the internet was the fact that computers anywhere on the internet had the same level of access that computers on your premises had. So there was no longer any need to put the electronic PBX on the business premises. It could be located anywhere on the internet. This was the birth of the “Virtual PBX”, an electronic switchboard with large capacity that could be located in a secure, highly redundant data center, and could be shared among a number of business customers. By sharing the cost of the switching equipment, the cost to the individual business was lowered again.

Virtual PBX’s had another advantage over premise based PBX’s: the extensions could be anywhere on the internet. So, no longer was your PBX limited to serving phones in your building. Now it could service employees working at home, those travelling, and those in branch offices around the world. As long as they were connected to the internet, to the Virtual PBX, they were all local.
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Virtual PBX – A Simple Definition

September 2nd, 2010



What is a virtual PBX? First of all, I’m not really fond of the term virtual PBX or Private Branch Exchange, even though it very accurately describes what a Virtual Phone System is. The reason I don’t like that term is because, even though I just spelled out what PBX stands for, if you are a typical small business owner much like myself, you still have no idea what it really is.

So a term that I prefer to use is, “virtual phone system”. It just makes much more sense, and I’ll break down why I think so:

virtual – an adjective that applies to things that really exist, however may not exist explicitly at a given location or site, but in reality are created or carried on by means of computers. Get all that? Ok, in other words, something that exists, but maybe isn’t really located right in the same location where you are sitting. phone system – basically a system that has all the functions and features requested/required by most small businesses today.

So in reality a virtual phone system is simply a business phone system that doesn’t physically exist in a closet somewhere in your home office, office building, or office suite, but rather it’s “hosted” at the service provider’s physical location. This means that all the hardware and software (except a web interface you use to mange your account) sits at the physical location(s) of whatever service provider you select. This benefit should not be underestimated, as the cost of that hardware and software can be extremely expensive, and in most cases cost prohibitive for very small and small businesses. Those systems also normally require someone on staff who knows what they are doing, to make changes whenever you add or change something in the system, or fix things when you have the occasional bump in the night. With virtual phone systems, you neither have the hardware and software investment or the staffing overhead.

Basically a caller places a call to your toll free number or local business phone number. When that happens the call is actually sent to, and received by, whatever service provider you select. At that point an auto-attendant answers with a greeting you’ve selected or recorded, and then routes the call based on how you have configured the system. Most systems now have integrated fax abilities as well, which means that the system automatically detects if the call coming in is from a human or a fax and routes the call correctly.

In a normal land based phone system, each extension would be assigned to a desk phone somewhere in the office where the phone system is installed. However with these virtual phone systems, you can assign that extension to any phone number anywhere in the world. As you can see from the diagram, these phone numbers can be associated to individual employees, branch offices, etc. Actually, you can even assign an extension to a set of numbers that it will cascade through until answered, and then if unanswered, ultimately to a voice mail box. Many systems also allow voice mails to be converted to emails so that you can easily manage all of your communications from one location.

This allows small businesses to have employees or offices located all over the country or even the world, that are all easily reachable by your customers and clients through a single phone system that’s easy to setup and now are very affordable. With these virtual phone systems, you can even easily transfer calls between extensions, even when those extensions are half way across the world from each other. Try that with a traditional PBX (phone) system.

The ability to enable distributed employees, distributed support centers, or distributed offices that are still seamlessly connected via phone, is one of the top differentiating factors between virtual phone systems and traditional phone systems.
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Virtual Fax – The Business Traveler’s Companion

July 24th, 2010



The phrase “it’s a small world” has never been more true than it is today. You can be in New York for an early morning meeting, join potential clients for lunch in Texas, and have a late dinner with the spouse in California all in a days work. If you can keep up with your busy schedule, you should be able to expect your communications to do the same.

One of the hardest parts of business travel is keeping in touch with everything and everyone. Changing hotels and flights, rescheduling of meeting times and meeting places can play havoc with people’s ability to stay connected. Even when things go smoothly and stay as planned, it can be difficult. Cell phones and PDA’s have answered the need to be available by voice and email. But they leave one major hole in communications: the fax.

Currently, many travelers are still relying on standard fax machines wherever they happen to be at the time. They are getting the fax number of their meeting place, hotel, or local mail store when they need to receive a fax. Then once they expect their fax to arrive, they make a special trip to retrieve it and then pay any charges that might be incurred. Sending faxes while traveling can be just as complicated and time consuming.

This is where business travelers can turn to virtual fax services. A virtual fax service gives travelers one fax number that will follow them wherever they go and multiple ways to retrieve those faxes. They can have the faxes forwarded to a land fax line, have them sent to an email address, or view them online with any Internet connection anywhere. Travelers can even change how they want their faxes delivered on the fly. This allows the most flexibility for whatever situations arise while they are on the road.

Sending faxes is just as easy since they can send a fax from any computer with an Internet connection. Most meeting rooms, hotel rooms and even most coffee shops have Internet access. This makes it very convenient to send faxes using a virtual fax service when they are away from the office whether they are across town or on the other side of the world.

Because a virtual fax service will usually provide a toll free number, local number or both, travelers can receive their faxes regardless of their location. So it won’t matter if they are in Istanbul, England, Russia, or Timbuktu, someone can send them a fax from their home office in the US without paying long distance or international toll charges.

The life of a business traveler can be stressful enough without the hassle of trying to figure out how to send and receive faxes. Virtual fax services are a great solution to allow flexibility, reliability, and convenience where there previously was none when using a standard fax solution on the road.
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Internet Telephony Conference

July 7th, 2010



Internet telephony conference call services are used to organize a virtual meeting point for different entities related to an organization. This may include employees of the same organization, country heads, suppliers, dealers, stockholders, and other government agencies.

Large corporate organizations have sister concerns operating in different countries across the world that constantly need to share information regarding production, sales, and revenues. A large amount of the company’s resources are used in making travel arrangements for visiting area managers and country heads. Internet telephony conference calls help in saving traveling costs and the productive time of business managers. It also saves costs related to international long distance call charges.

Internet telephony conferencing provides easy access to participants located in other countries by using international toll free access lines (ITFS). Oversees participants have to dial a country specific toll free access number and enter a PIN number provided by the leader of the conference to join the conference call. The service can be used to provide critical inputs on issues that can affect the company’s subsidiary in a particular country. Critical issues related to business operations can easily be resolved by exchanging personal views and ideas about a particular subject. The service can also be used for making sales and marketing presentations to motivate international sales teams.

Internet telephony conferencing rates differ from country to country. The total conferencing call charges are calculated by adding country-specific rates, multiplied by number of users, and fixed conferencing bridge rates, multiplied by total number of participants. Conference leaders can save costs by restricting the number of participants.

In spite of the huge benefits associated with Internet telephony conference calls, they are slowly being replaced by new technologies such as video conferencing. These technologies allow users to share audio as well as video content, and can be used to make presentations and demonstrations more effectively on participants’ personal computers.
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VoIP PBX Solutions For Businesses – What to Look For

May 21st, 2010



Business communications has always been a challenging arena for management….subject to cost, function, reliability, and other pressures and concerns. The emergence of VoIP technology….and specifically application to PBX systems via IP based protocols….has provided an enormous opportunity for companies to reap many benefits.

Many companies today have multiple office locations around the country or around the world. Currently, each office uses its own PBX system and inter-office phone calls are routed through the PSTN and charged long distance and international rates by carriers. Most companies also employ workers on a part time basis who work from their homes. Those workers get reimbursed for telecommunication expenses they incur while performing their duties. It just makes business sense for companies to explore alternatives to consolidate their telecommunication systems and reduce costs.

The answer……purchase a Voice-over-IP enabled PBX system and deploy it in a Virtual Office setup.

Voice-over-IP (VoIP) is a fairly new technology for transporting voice calls over the Internet which allows users to realize substantial cost savings on long distance and international calls. Besides cost effectiveness, VoIP enabled PBX systems (or IP PBX) offer easy integration with existing telecommunications systems and are characterized with low operating costs as their upgrade is done through software updates rather than more expensive hardware replacement. Additionally, the technology simplifies the communication infrastructure (no need for separate voice and data cables) while offering high scalability.

Virtual Office models are used by companies that want to consolidate their communications, reduce costs and achieve more cohesive corporate images. To implement the model, a company has to install a single IP PBX system in its headquarters and distribute to employees IP phones or regular phones with VoIP adapters. Employees can make intra-office and inter-office phone calls through dialing PBX extensions. Such calls are routed through the Internet and are practically free. Company customers, on the other side, can dial a single inbound number plus extensions in order to reach the company’s employees. The latter receive the calls on their IP/Regular Phones at any location in the world with Internet connectivity.

So what kind of a VoIP PBX solution does your business need? – a turnkey Virtual Office solution that could be customized to meet your company specific needs.

My recommendation for this solution is the highly acclaimed package from Packet8. Recently 8X8, Inc’s Packet8 Virtual Office Solution for small and medium sized businesses received Network Computing Magazine’s Editor’s Choice award over competitive offerings from Covad Communications and Velocity Networks. That’s some pretty stiff competition….and says a lot about Packet8′s performance. The Packet8 Virtual Office solution received the highest overall rating for its rich feature set, call management tools and low subscription price.

The Packet8 Virtual Office is a cost-effective, easy-to-use alternative to traditional PBX systems that allows users anywhere in the world to be part of a VoIP-hosted virtual phone system that includes auto attendants, conference bridges, extension-to-extension dialing, business class voicemail and ring groups, in addition to a rich variety of other business telephone features normally found on high-end, premise based PBX systems. Their Virtual Office reduces an organization’s telecommunications total cost of ownership (TCO) with a minimal initial investment combined with unlimited local and long distance business calling throughout the United States and Canada and Packet8′s low international rates.

Now…..here’s an overview of what to look for when making the business case for investment in VoIP technology for a VoIP PBX solution:

* Ways to save money for corporations…..

- Eliminate or reduce intra-office toll charges

- Avoiding service and support contracts on existing PBX hardware

- Eliminate the need for on-going Centrex services — and charges

- Reduce expansion costs via lower costs for adds, moves and changes; lower user hardware costs

- Reduce the on-going costs for separate voice messaging systems

- Provide productivity benefits for remote and traveling workers who can be empowered with the same integrated capabilities as office workers

- Reduce user training and learning on phone and messaging systems

- Cost-effectively implement unified messaging

- Improve security

- Reduce systems downtime and improve performance

Additional benefits for call centers…..

- Virtualize call centers, allowing more flexibility in the center’s configuration….either helping consolidation efforts, or providing enterprise capabilities to telecommuting call center workers

- Improve customer support services and reduce abandoned calls and call times

- Improve customer satisfaction and reduce customer turnover via improved call center services

Cost considerations….

- VoIP telecommunication hardware and software

- IP phone sets or soft phones

- Network upgrades for possible quality of service and performance upgrades

- Implementation labor and professional services

- On-going support and administration labor

- Support and maintenance contracts

- Increased support calls and potential user downtime losses on initial deployment

- IT Training

- User Training

- Write-off, write-down and disposal costs for existing telecommunication assets

Potential project risks……

- Quality of service/performance

- User training and adoption

- Administration and support skill levels and resources

- Proprietary vs. open systems interoperability

How Does The Solution Work?

Inter/Intra office calls…….

Caller A, who is located in the corporate headquarters, wants to make a call to Caller B, who is located in the corporate headquarters or in any of the company’s offices worldwide.

Caller A picks up his VoIP device (IP phone, phone with adapter or softphone) and dials Caller B’s extension.

The VoIP PBX server searches its internal database and obtains call routing information about Caller B The VoIP PBX server routes the call to Caller B’s VoIP device.

If the destination number is unreachable, the system forwards the call to Caller B’s voicemail.

As soon as Caller B picks up his VoIP device the conversation starts.

During conversation Caller A’s VoIP device convert voice to digital packets and send them to Caller B’s VoIP device and vice versa.

Both A and B can use traditional PBX functionality, like call on hold, caller ID, call forward, etc. Calls are free

Outbound calls…….

Caller A, who is located in the corporate headquarters, wants to make a call
to Caller B, who is a company customer.

Caller A picks up his VoIP device (IP phone, phone with adapter or softphone) and dials the customer’s number.

The VoIP PBX server searches its internal database and obtains call routing
information about the VoIP carrier, who should terminate calls to Caller B’s area code.

The call is routed to the VoIP carrier.

The VoIP carrier terminates the call to Caller’s B number over the PSTN.

During conversation, Caller A can use traditional PBX functionality, like call on hold, caller ID, call forward, etc.

Calls are charged on time basis at pre-negotiated rates with the VoIP carrier

Inbound calls…..

Caller A, who is a company customer, wants to make a call to Caller B, who is a company employee.

Caller A picks up his phone and dials the company’s central access number.

The VoIP PBX server prompts the caller to enter an extension.

Caller A dials Caller B’s extension.

The VoIP PBX server searches its internal database and obtains call routing information about Caller B.

The VoIP PBX server routes the call to Caller B’s VoIP device.

During conversation, Caller B can use traditional PBX functionality, like call on hold, caller ID, call forward, etc.

Calls are either free if the company uses a local access number or charged on a time basis if the company uses a toll free one.

Voice over IP (VoIP) technologies carry great promise to reduce telecommunication and networking total cost of ownership while empowering businesses with new capabilities and agility. When making your decision on deploying a Virtual Office VoIP PBX solution consider the strategic and tangible benefits as well as the costs and risks outlined above. If it all seems too overwhelming seek out the assistance of an unbiased independent advisor such as Business VoIP Solution.
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Office Phone System With VoIP Vs PBX

May 5th, 2010



As the owner or manager of a medium or small office, you may find yourself looking at a myriad of options for your new or upgrade office phone system.

You have almost certainly heard the debate about the advantages of VoIP vs. PBX systems, and you are tying to make the best decision to fit your business’s current and future telephony needs.

You don’t have to be an expert to find the best office phone system these days. And, the even better news is that a good solution doesn’t have to cost you a fortune as it certainly would have in the not too distant past!

Small to medium sized businesses have struggled for years with the limited options in office phone systems on the market. Larger companies were able to buy and service large PBX systems to handle their calls, while smaller offices struggled finding something that was affordable and effective.

Usually, the solution of the past for these small offices was to gather together many physical phone lines coming into the office space and expensive phones with multiple line capabilities.

Thanks to the advances in VoIP technology, small and medium sized businesses now have great options that are easy to maintain and affordable.

- What is VoIP?

VoIP is an industry acronym which stands for “Voice over Internet Protocol.” All that means, is that you can transmit your voice digitally over the internet.

The chief advantage of VoIP is that you do not need a lot of specialized equipment inside your building as you do with a traditional PBX system. Instead, you use your existing computer network to transmit your calls over your Internet connection rather than over telephone landlines.

- PBX vs. VoIP Equipment

Traditional PBX systems work by having “trunk lines” come into your office from the local phone company. From there, the PBX system uses physical lines going to each individual phone to be able to transfer calls within the system.

VoIP doesn’t require these expensive trunk lines, and you no longer need to have separate phone and computer network cable installed into each office. VoIP phone systems use your existing computer network to transmit and receive all of your calls.

Essentially, your calls arrive through the same wire as your e-mail messages.

- How does VoIP Save Your Business Money?

VoIP saves your business money because you don’t need the multitude of expensive phone lines installed into your building from your local phone company.

In addition, PBX equipment requires telephone cables to each extension which VoIP does not need, saving you money on cable installation within your building.

Lastly, VoIP calls are routed over the internet, not the phone system, and your long distance and local calls are much cheaper to make because of it.

VoIP is a great option for small to medium sized businesses looking for the ability to have an advanced and efficient office phone system with a lower cost and ease of administration.
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Virtual Office & Web Conferencing! Also Called Keeping In Touch With The Family Or Your Business

November 18th, 2009



Have you always promised yourself that you would never take one of those working vacations like all of those other “crazies” that you’ve seen? Or, are you glad your kids chose a college so far away that you don’t have to see them or hear from them (accept for holidays of course… because how can you stop them from coming home for a good home-cooked meal)? If that describes you then you probably don’t want to read the rest.

But, if you are the kind, perhaps one of those “crazies like me”, that ends up taking a vacation only to find it’s actually more refreshing to be part of your office while on vacation, and/or the tempo of your heart paces more comfortably when you are able to touch your kids even a thousand miles away, then I am certainly happy to share this free insight into today’s way of keeping in touch today. It’s mainly a matter of keeping up with the fast pace of changing technology.

But, who can keep up with technology today?

What I’d like to do today, in this article, is take a quick glimpse into some of the technologies available today for us that find comfort by keeping in touch with our ‘important stuff’.

Three technologies we’re peeking at today are the virtual office, Wiki, and Weconferencing.

It’s so easy to look around and see the technology flying by so fast that… well, it runs on by and we didn’t even see it.
Technology has actually outgrown even the telephone. Not to say that it hasn’t incorporated the phone in its’ growth because it definitely has. But, today’s new technologies have gotten to the point where the phone is so much the lesser necessary evil that we’ve all come to rely on.
In this article, we are focusing on three major new innovations in the cyber-world today that, without doubt, are propelling the communications world into the future.

The three accelerating applications today are:

• The Virtual Office;
• Wiki; and
• Webconferencing

With the virtual office you can use its many applications to set up a group calendar and address book, delegate tasks to other members of the group, broadcast family or company news and perhaps shoot out reminders concerning birthdays, meetings, etc.
You set up the virtual office and you decide who becomes a member and who doesn’t, what can and cannot be shared, and who can or cannot do the sharing.
A good way to try it and find out its’ benefits in your world is to start out with a basic version which can be obtained for free. That’s always a good thing, isn’t it?

And by incorporating Wiki in your virtual office you’ll have set up a web page that you allow (or disallow) members to write, format, edit, and link information and members with permissions can edit or revise the page.

As for webconferencing, there really is really nothing simpler than setting up your own video-conferencing stations. Assuming each member of the family or your office stations already have speakers or headsets all you need is hook up the internet (broadband), a microphone and a web cameras to the computers. Bingo, you’re in there.

With your microphone and web-cam you’ve certainly cut back on any reasons (excuses) for absenteeism at any family or office meetings.

Summary:

Put three things together virtual office, Wiki, and web-conferencing, you’ll find that there is nothing that you as a group can’t do!

Already have the web-cam, speakers, and microphone? All you need for your family, workgroups and business teams to begin sharing and keeping in touch is a web-based collaboration tool.
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Packet8 Offers a VoIP Internet Phone Service Plan for Everyone

June 4th, 2009




Within the past few months, leading VoIP providers Vonage and Sunrocket have been competing head to head in the internet phone service wars by adding new services and reducing the cost of international calling.

Packet8 recently got back into the action by introducing a new softphone service and an unlimited annual plan. Packet8 is now the VoIP service leader in terms of offering the widest variety of plans.

Packet 8 has always provided some nice choices when it comes to residential or business VoIP, but these newest service offerings really differentiate Packet8 as the “one stop VoIP service shop”. From residential video phone plans to hosted PBX solutions for small businesses, Packet8 truly has something for everyone – and at the right price!

Packet 8’s VoIP Plans – Residential Internet Phone Service

Freedom Unlimited – This popular internet phone service plan costs $19.99 per month and provides unlimited local and long distance calling within the US and Canada. This is a residential plan, and includes around 20 or so free calling features.

Freedom Unlimited Annual – This is a new type of residential plan from Packet 8, and it includes unlimited calling within the US and Canada, plus all the free features for an annual price of $199 per year. This is a “prepaid” VoIP plan that saves consumers’ about $40 per year over the traditional monthly plan.

Freedom Unlimited Global – Designed for those who make frequent international calls. For $49.99 a month, this unlimited international long distance plan includes calls within the US, Canada, and 40 other countries. The calling area includes many destinations in Europe, Asia, Latin America, as well as Israel.

Freedom Unlimited Videophone – This is a really neat residential internet phone service plan, designed specifically for use with Packet8’s unique Video Phone system. It includes unlimited local and long distance calling within the US and Canada, and unlimited audio/video calls to other Packet8 subscribers worldwide. The service costs $19.99 per month. Packet8 is the only residential internet phone service provider offering a videophone service plan, and it’s quickly becoming a very popular service.

Softtalk™ Basic – This is Packet8’s free softphone service, and you can download the free software on Packet 8’s website. As is typical of software-based VoIP services, all calls made “in-network” (with other Packet8 Softtalk™ users) are free.

Softtalk™ Premium – Using the same software as the Softtalk™ Basic plan, the premium plan provides subscribers with 500 minutes of incoming and outgoing calls per month within the US and Canada. This service costs $5.99 per month and includes a phone number, voicemail, caller ID, and several other calling features. Additional minutes are billed at 1.9 cents per minute.

Packet8 VoIP Plans – Business Internet Phone Service

Virtual Office –Packet8’s flagship small and medium business internet phone service plan. For $39.99 per extension (minimum of three extensions), you get a full-featured, managed PBX system that makes a small business seem like a huge corporation. Each extension includes unlimited local and long distance calling within the US and Canada, a separate “direct dial” phone number, voicemail, 3-way conference calling, multiple call handling and more. For international calling, you can get “global extensions” for $79.99 per month each, allowing unlimited local and long distance calls within the US, Canada, and 40 other countries.

Virtual Attendant – A unique service for businesses, allowing you to connect all cell phones, home phones, and any other phones together under a single phone number. Calls come in to the primary number, and an auto attendant directs the calls to the appropriate person – no matter where they are. This plan starts at $14.99 per month, depending on the type of options you need and number of extensions.

Business 2000 – For the low price of $34.99 per month, this plan is perfect for home businesses or small businesses requiring only one line. You get 2000 outbound/inbound minutes per month (US and Canada Calling), and additional minutes are billed at the low rate of 3.5 cents per minute.
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