PABX stands for Private Automated Branch Exchange and it is a type of PBX system. PBX systems are used to create connections in internal phone systems that are used in organizations, small businesses and in homes as well.

PBX systems are different from key systems because key systems just manually select their own outgoing lines and PBXs are doing it automatically. There are some hybrid systems that are combining the features of both PBX and key systems.

The best thing about PBX systems is that you can use PBXs to save a lot on the phone call bills. Trough the time PBX systems have gained abnormal amount of popularity and all because they have started to offer useful services that were not available for you if you used the normal operator network. There was a number of great services and these are just some of them: call forwarding, extension dialing and you also had an option that allowed you to hunt groups. Centrex Is a system that was made in 1960’s and that particular system had some PBX features provided from the central telephone exchange.

There were two major developments that occurred during the 1990’s and those have led us to the new types of PBX systems. One was the enormous spreading of data networks and increased public awareness of packet switching. Big number of corporations and companies needed packet switched networks for data and using them for phone calls was attractive.

Accessibility of the internet made packet switched communication even more attractive for big companies and similar business organizations. These particular factors have led to the development of Voice over IP or VOIP PBX. VOIP system is a cheap solution for telecommunications and companies can earn fortunes by using this particular system for their business.

The other development was the idea of concentrating on core competence. PBX systems were sometimes troublesome to be arranged in the small business companies and medium business companies, and many small business companies have realized that management of their telephony was not their core competence. These problems have led to the perfect solution and that was a new type of PBX system. It was a hosted PBX system.

When you are using a hosted version of PBX system all features and calls are delivered trough usage of the Internet.

PABX systems are great thing for your business whether its small or a big one. If you find the features of the PABX systems useful than you should definitely get one.