An on-premise PBX remains a leading choice.

Last year found more companies selecting a new on-premise PBX than UCaaS services.

January 21, 2022

Salesman engaged in a video meeting from home.News & Commentary As cloud-based services (UCaaS) have garnered all the news, publicity and attention of late, it's now apparent that on-premise PBX solutions were favored last year by companies of a broad range of sizes. Large companies have been often recognized as primary candidates for on-premise PBXs, and that nevertheless holds true last year, now and going forward. Last year in 2021 of the big companies that bought a new Unified Communication System, nearly two-thirds opted for a premise-based solution. And when small businesses under 300 employees selected their system more often then not, it was an on-premise PBX.

Clearly, it was recognized that some smaller business types leaned one way or the other; for example, banking, schools and healthcare overwhelmingly selected premise-based systems. Yet, many retail chains were found to prefer cloud solutions and have developed much of their business applications incorporating these UCaaS systems.

Although some substantial industry changes persist and will remain ongoing, premise-based IP-PBX solutions remain a leading choice for many companies. The future decidedly points to the cloud, but small limited companies equally recognize the cloud can be utilized right from the PBX in the closet. One way is using SIP trunks that can lower phone bills by as much as 70%. Managers also frequently state total cost of ownership as a leading decision-making factor. Additionally, security and privacy concerns, both of which are frequently cited by managers as under consideration, are also elements that have been cited to hamper a portion of the growth for cloud-based UCaaS PBX solutions.1

A number of specific types of businesses will routinely find a cloud-based PBX preferable; however, separate types of companies find the leading solution will remain an on-premise PBX.

Further reading

Cloud-based vs. on-premise PBX

Best on premise PBX Phone Systems


1Global Unified Communications Market By Organization Size... reportlinker
Premises PBX Is the Largest Selling UC Platform in 2021 NoJitter

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