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Which Communication Solution is Right for Your Australian SMB: Cloud Hosted PABX or Dialpad Ai?

Updated: Feb 22

Cloud Hosted PABX and Dialpad Ai are two popular communication solutions for Australian SMB businesses. Both solutions offer a variety of features, but there are some key differences to consider when choosing between them.

Cloud Hosted PABX or Dialpad

Cloud Hosted PABX

A hosted PBX system represents a more advanced iteration of an IP-PBX, albeit with certain limitations in terms of technology and scalability, which we'll delve into shortly.

Similar to IP-PBX, hosted PBX systems function as Internet phone systems, enabling remote dialing and access to additional functionalities for employees. These systems deliver virtually the same PBX features found in traditional on-premises PBX setups but without the need for extensive in-office hardware.

In a hosted PBX arrangement, your provider houses the equipment in a data center, managing both software and features such as call forwarding and conferencing. Consequently, businesses are relieved of concerns related to maintenance, training, and infrastructure, as the provider oversees all aspects, including hardware, software, security, and upgrades.

Despite the off-site location of the technology running the phone system, hosted PBX falls short of providing the same level of flexibility and advantages offered by a cloud phone system, which can seamlessly transfer calls entirely over the Internet. In hosted PBX, all calls, signaling, and features are still routed through an IP-PBX server, albeit hosted at your provider's location.

Hosted PBX solutions bring forth fundamental call management features, enhancing the professionalism of businesses. These features encompass call forwarding, call queues, call transfer, and caller ID.

Limitations and why you may want to consider Dialpad Ai

However, hosted PBX phone systems come with inherent limitations. Firstly, not all systems may be compatible with your computer, and their functionality typically focuses solely on handling phone calls, leaving out other essential communication channels such as instant messaging or SMS.

Furthermore, these systems may lack a dedicated desktop or mobile app for making calls from your computer or mobile device, often resulting in additional charges for features like call recording and CRM integration. If your business requires contact center features, detailed reports, or analytics, these may also need to be obtained separately.

In contrast to the constraints of a hosted PBX phone system, forward-thinking businesses are opting for more comprehensive solutions. A case in point is Dialpad's AI-powered collaboration platform, offering a unified workspace for all customer communications. This approach ensures a seamless customer journey, maintaining consistent service quality across channels. Additionally, the platform incorporates powerful AI-driven features designed to benefit both users and customers.

Need more than just a Hosted PABX?

While a hosted PBX system offers significant advantages, such as relieving your IT team from the burdens of software updates, storage management, and bug fixes through a dedicated provider, its utility extends beyond large, complex organizations. Small businesses and startups can also reap numerous benefits from employing a virtual PBX system.

However, in the context of modern organizational needs, relying solely on a traditional hosted PBX system may fall short. To meet the expectations of customers for cohesive and seamless experiences, there is a growing necessity for an AI-powered collaboration platform. This more advanced solution goes beyond the capabilities of a simple hosted PBX system, providing the integrated and intelligent features required to deliver enhanced communication experiences.


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