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What Is A PBX

PBX is an acronym for "Private Branch Exchange".   At the root of it, it is a switching system that switches incoming lines to other telephones within a private business, office or campus.

Usually, businesses will have more telephones (extensions) than incoming lines.  Rather than purchasing a line for each telephone from the telephone company, they will order a pool of incoming / outgoing lines to be shared among all telephones within the business.  This saves cost for the business since they have to pay a recurring fee for each line in the pool but only have to purchase the telephone once.

In general, an extension on a PBX system will not display all the incoming lines on each extension.  To get an outside line, the user will usually have to dial an "access code" to gain access to the pool of outgoing lines.  

A "Key System" telephone will usually have a line appearance of each line on every telephone.  Modern telephone systems often will have hybrid features of both a PBX and Key System allowing more flexibility for the business.

Some of the major manufactures of PBX systems

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