Choosing the right phone system can feel complicated. Between on-premises equipment, internet-based options, and terms like SIP trunking and hosted PBX, it’s easy to feel overwhelmed. But understanding the difference between these two technologies can help you pick the right setup for your business needs, your IT environment, and your team.
At Netlink Voice, we help businesses navigate cloud communications with solutions that fit their unique goals. Read on to learn how SIP trunks and hosted PBX systems compare and get tips on choosing the right fit for your business.
What Is a SIP Trunk?
A SIP (Session Initiation Protocol) trunk is a virtual connection that lets your on-prem PBX phone system send and receive calls over the internet. Instead of using traditional phone lines like PRI circuits, SIP PBX systems use your internet connection to transmit voice traffic via VoIP (Voice over IP).

Here’s what you get with SIP trunking:
- Lower Costs: With SIP PBX, businesses can reduce costs between 25% and 65% over legacy PRI lines.1
- Greater Scalability: With SIP, you can add or remove call capacity on demand.
- Business Continuity: SIP enables you to reroute calls during outages or emergencies.
- Easy Integration: Modern SIP tools integrate with existing PBX systems and on-site hardware.
Many companies choose PBX SIP trunking when they want to modernize their phone system without completely moving to the cloud. It’s a hybrid approach that offers flexibility with some of the benefits of VoIP.
What Is Hosted PBX?
If SIP trunking modernizes your existing system, hosted PBX replaces it entirely.
Hosted PBX (also known as hosted IP PBX) is a cloud-based phone system where all the infrastructure – servers, routing, switching, and call handling – is managed by a third-party provider. All you need on-site are your phones and an internet connection.
Instead of housing your PBX in your office, you’re essentially renting one in the cloud.
Hosted PBX vs SIP: Differences Explained
So, how exactly do hosted PBX and SIP trunking compare? Here’s a side-by-side hosted PBX comparison with SIP trunking to help clarify:

At Netlink Voice, we offer both SIP trunking and hosted PBX solutions because we understand every business is different. Some need total cloud flexibility. Others want to retain their PBX investment but upgrade the connectivity. We’ll help you determine which system is right for your unique needs.
When Should You Choose SIP PBX or Hosted PBX?
Choosing between SIP vs PBX comes down to your current environment and long-term goals. Let’s break down what each solution works best for:
Choose SIP Trunking If:
- You already have an on-premises PBX system in place. Replacing it entirely might not make financial sense if it’s still working well for you.
- You want to reduce telecom costs without replacing your entire infrastructure. SIP trunking is a cost-effective way to lower expenses while keeping what you have.
- You have IT staff who can manage equipment and configuration. This is important because you’ll need some internal expertise to keep things running smoothly.
- You’re looking for a hybrid step toward the cloud. Maybe you’re not ready for a complete migration yet, and that’s okay. SIP trunking lets you move at your own pace.
Choose Hosted PBX If:
- You’re starting fresh, or your PBX is outdated and expensive to maintain. If you’re in this situation, a cloud-based system gives you a clean start without worrying about aging hardware.
- You want to reduce maintenance and hardware management. Let someone else handle the technical side while you focus on your business.
- Your team is remote, distributed, or growing fast. Cloud-based systems scale with you, and remote employees access the same features from anywhere.
- You value simplicity and built-in features. Hosted PBX comes loaded with features like auto-attendants, call routing, voicemail-to-email, and more, so you don’t have to piece multiple systems together.

How Does Netlink Voice Support SIP Trunking and Hosted IP PBX?
Whether you’re exploring SIP trunking or migrating to a hosted IP PBX, Netlink Voice is here to help with:
- Cloud-hosted PBX systems that include built-in collaboration features, 24/7 support, and scalability.
- SIP trunking solutions that connect your legacy PBX to the cloud, saving you money while improving performance.
- Consultation services to help you choose the best model based on your infrastructure and goals.
- Seamless migration support that minimizes downtime and makes transitions simple.
Our team doesn’t just offer products – we partner with you to build smarter communications.
Hosted PBX Comparison: How To Evaluate Providers
If you’re leaning toward hosted PBX, here are some important considerations to keep in mind when looking for a provider:
Features
The right feature set can improve how your team works. Are features like call forwarding, IVR, voicemail transcription, and analytics included in the system? These features save time and help you run a tighter operation.
Reliability
Ask about uptime SLAs and geo-redundancy. You need a provider who keeps your phone system running when you need it most, so look for commitments like 99.9% or higher uptime guarantees.

Support
Is the support team available 24/7 and based in the U.S.? When something goes wrong with your phone system, you need someone who can help right away.
Scalability
A good hosted PBX system grows with your business needs so that you’re not locked into a specific setup. You should be able to scale up or down without complicated processes.
Integration
Does the system work with your CRM, help desk software, or other tools you already use? The best phone systems connect with your other business tools to make workflows smoother and more efficient.
Choose a Right-Fit Communication System With Netlink Voice
SIP trunking and hosted IP PBX technologies offer major advantages over traditional phone systems, but making the right choice will depend on your business needs. If you want to extend the life of your PBX while embracing VoIP, go with SIP trunking. Looking to ditch hardware and go all-in on the cloud? Choose hosted PBX.
If you’re still unsure, we’re here to walk you through the decision. Every business is different, and we take time to understand your goals before making a recommendation.
Let’s talk about what your business needs and design the right communications system to support your growth. Contact Netlink Voice today to get started.
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