An Introduction to Cloud-Based Phone Systems 

cloud-based phone systems

More applications are moving to the cloud than ever before. Why? Because the technology is more flexible and cost-effective than their on-premises and antiquated counterparts. The same can be said for business communications – a key component of any company. More service providers are offering cloud-based solutions for businesses. But how does a cloud phone system work? What kind of benefits does it have? If you’re asking any of these questions, this blog is for you. 

What is a Cloud-Based Phone System? 

A cloud-based phone system is a voice over internet protocol (VoIP) phone system that enables calls to be made over the Internet and is managed off-site by the service provider. You may have also heard it referred to as a cloud PBX, hosted PBX, or virtual PBX. 

 Since it’s not installed on-site and it’s cloud-based nature, there’s no upfront capital spending on hardware or any other infrastructure to enable communications. 

Deployment is simple and it frees up business from needing an entire IT team to install the system. A cloud-based phone system is a subscription-based service and it’s usually paid monthly per user – so you’re paying for who’s using it, as opposed to a package that could go with unused licenses. 

How Does a Cloud-Based Phone System Work? 

Calls are made using IP phones, mobile devices, or computers using a softphone. Voice data is transmitted over an Internet connection connected to those data centers. The phone system is hosted by the provider and data centers are hosted in the cloud (which is just a fancy way of saying Internet). Because the provider is hosting the system, you don’t need to worry about downtime. In the event of an outage, the data centers and servers pick up the slack of the down server. 

Features of a Cloud-Based Phone System 

A cloud-based phone system is more than making and receiving calls. Cloud providers offer several advanced features typically included in all their packages. Some of the features include an auto-attendant, voicemail-to-email, and call routing. 

The features are typically managed through an easy-to-use web portal. Add and remove users and manage billing and features. 

Some of the advanced features of a cloud-based phone system include: 

  • CRM integration. Your CRM integrates with the phone system enabling you to access important contact data from anywhere and any device. 
  • Presence. Get a real-time view of the status of your employees and teammates. 
  • Video conferencing. Conduct video calls from one platform instead of worrying about downloading other video conferencing software. 

When you partner with Advanced Communications, you have access to these features and many more! 

Benefits of A Cloud-Based Phone System 

Besides future-proofing your business, a cloud-based phone system has several business benefits. Below we have listed what we consider the top three.  


Now more than ever, businesses are watching their budgets and cutting costs where they can. Transitioning to a cloud-based phone system is one of those budget-cutting moves and improves your business overall. It ends costly hardware maintenance, including expensive upgrades. The only expense you need to budget for is the IP phones. It’s a per-user fee and is simple to scale up, as the system is ready to grow as your business grows. The costs are predictable and business owners get a better handle on their budget. 


With a premise-based phone system, if the system goes down, you’re out of luck and need to wait on the phone company. If you’re in an area prone to natural disasters, phone system downtime could be catastrophic for a business. Not only are you without your phone, but your data is also affected. A cloud-based phone system uses data centers and servers for redundancy. If a data center goes down, the other picks up the load. If you experience a natural disaster, you can still work – accessing your system from anywhere.  


A cloud-based phone system unifies its workers and locations – resulting in business continuity. The office can be anywhere with a reliable internet connection. Providers have mobile apps which allow workers to use any device as their work phone allowing them to send and receive calls as if they are calling from the office. A cloud-based phone system connects multiple locations under one platform. No need to pay for multiple phone systems like the traditional phone model. 

Advanced Communications for Your Cloud-Based Phone System 

If you’re considering making the move to a cloud-based system, consult with the experts at Advanced Communications. We have over 20 years of experience in the telecom industry and will provide objective guidance to fit a business phone system to your specific needs. Contact us today, and let’s start the conversation on how we can help you find a new solution for your business communications. 

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