What is an On-Premise PBX System?
An On-Premise Phone System simply means that the telephone switching system (either virtual or physical) is located on the customer premises.
An On-Premise system is not locked into just providing telephony for the site at which it resides; it may be used to control phones or link to other PABXs at other sites and even allow Internet based phones to act as extensions of the phone system.
Advantages of On-Premise PBX Systems
Not Dependent on the Broadband Connection
On premises systems, both physical and virtual, are still popular for multiple reasons.
The most important reason is that the system is directly connected to the customers LAN which reduces the risk of a broadband outage disabling the phone system.
A local system is owned and managed by the customer and not a third party enabling them to get access to it and make changes or upgrades without having to rely on the abilities and priorities of a third party.
This gives the customer complete control of the system as well as the availability of features and services that cannot be delivered to a system hosted in a data center.
Support for Other Equipment
Having the system on-site allows it to connect to other equipment at that site or legacy ISDN and PSTN trunk circuits that cannot be delivered or moved to a data center.