Hosted PBX vs VoIP vs Microsoft Teams vs Webex: Which Business Phone System is Right for You? (2026 Guide)
Choosing a business phone system in 2026 is both easier and more confusing than it’s ever been. You’ve got more options than ever, Hosted PBX, traditional VoIP, Microsoft Teams calling, Webex, SIP trunking, and every vendor is telling you they’re the best.
This guide cuts through the noise. We’ll explain what each option actually is, who it suits, what it costs, and, most importantly, which one is the right fit for your Australian business.
We’ve helped Australian businesses with their communications since 1990. This guide is based on what we see working every day, not sales material. If you’d prefer to talk it through, our team is available at broadconnect.com.au or on 1300 880 330.
| 💡 Quick Answer: For most Australian businesses, a Hosted PBX or Microsoft Teams phone system is the best fit. Keep reading to find out which one matches your team, budget, and the tools you already use. |
What’s the Difference? Plain-English Definitions
Before comparing, let’s get the terminology right — these terms are often used interchangeably, and incorrectly.
Hosted PBX (Cloud PBX)
A Hosted PBX is a cloud-based business phone system. Everything — call routing, voicemail, auto-attendant, extensions — is managed in the cloud by your provider. You access it via desk phones, a softphone app on your computer, or your mobile. No server in the office. No PABX box in the cupboard.
Best analogy: it’s like switching from a desktop PC to Google Docs — the software moves to the cloud, and you can access it from anywhere.
VoIP (Voice over Internet Protocol)
VoIP is the underlying technology that allows phone calls to travel over an internet connection rather than a traditional phone line. Every Hosted PBX, Microsoft Teams call, and Webex call uses VoIP. So when people say ‘VoIP phone system,’ they usually mean a basic hosted voice service without all the advanced PBX features.
SIP Trunking
SIP Trunking connects your existing on-premise PBX hardware to the internet so it can make VoIP calls. It’s for businesses that already have a PBX investment and want to save on call costs without replacing everything. Broadconnect offers SIP trunking services that connect your existing system to reliable carrier-grade voice networks.
Microsoft Teams Phone System
Microsoft Teams is primarily a collaboration platform, messaging, video meetings, file sharing. But with a calling plan or Direct Routing provider, it can also replace your business phone system. Broadconnect’s Microsoft Teams Direct Routing lets businesses make and receive external calls through Teams using their existing Australian phone numbers.
Webex Calling
Webex (by Cisco) is a unified communications platform that combines calling, video meetings, messaging, and contact centre tools in one app. Broadconnect offers managed Webex Calling solutions for businesses that want Cisco-grade reliability and a full-featured UCaaS platform.
Things to Know Before You Decide
Whatever option you choose, a few factors affect every business equally:
Your Internet Connection Quality Matters
All of these options run on VoIP, which means they rely on your internet connection. A poor connection = poor call quality. Before committing to any phone system, make sure your business internet has enough bandwidth, low latency, and QoS (Quality of Service) configured to prioritise voice traffic. Broadconnect includes connectivity assessment as part of every phone system deployment.
Consumer VoIP vs Business-Grade VoIP
Not all VoIP is equal. Consumer-grade services (like free apps) run over the public internet with no priority given to voice packets. Business-grade hosted PBX runs over private, carrier-grade networks with QoS guarantees, the difference is audible and measurable in call reliability.
Number Porting
In almost every case, you can keep your existing phone numbers when switching systems. This is called number porting and is handled by your provider. Broadconnect manages the full porting process with zero downtime for most businesses.
| ⚠️ Watch Out: Be cautious of providers claiming to offer ‘Cloud PBX’ when they’re simply hosting a physical PBX in a data centre. A true cloud PBX is software-native, multi-tenant, and delivers far more flexibility and resilience. |
Option 1: Hosted PBX — Best for Most Australian Businesses
A Hosted PBX system is the most feature-complete, flexible, and scalable phone solution for the majority of Australian businesses — from a 5-person medical practice to a 300-seat contact centre.
What’s Included
- Auto-attendant (IVR) — professionally greet and route callers 24/7
- Call recording — built-in for compliance, training, and quality review
- Ring groups, call queues, and overflow routing
- Voicemail-to-email — receive voice messages as audio files in your inbox
- Mobile app and softphone — use any device as your business phone
- Call analytics dashboard — monitor performance in real time
- Conference calling and three-way call support
- 1300/1800 number support and number porting
Who It’s Best For
- Businesses of any size wanting a full-fehatured phone system without on-site hardware
- Teams with remote or hybrid workers who need calls on their mobile or laptop
- Healthcare, legal, real estate, and professional services firms with compliance recording needs
- Businesses replacing an old PABX or ISDN system
Hosted PBX: Pros & Cons
Pros:
- Fully managed — no on-site hardware to maintain
- Scales instantly — add users in minutes, not weeks
- Predictable monthly cost (from $35/user at Broadconnect)
- Works from any device, any location
- 99.99% uptime backed by geo-redundant data centres
Cons:
- Dependent on internet connection quality
- Requires handsets or headsets if staff want a physical phone
Option 2: SIP Trunking — Best if You Already Have a PBX
If your business already owns a PBX — whether it’s a Cisco, Avaya, Panasonic, or NEC system — SIP trunking lets you keep it while moving your phone lines to VoIP. Instead of paying for expensive ISDN lines, you connect your PBX to the internet via SIP (Session Initiation Protocol).
How It Works
Broadconnect’s SIP trunk service connects your existing PBX to our carrier-grade voice network. You keep the handsets your staff already know, keep your phone numbers, and immediately reduce your per-call costs.
SIP Trunking: Pros & Cons
Pros:
- Preserve your PBX investment — no rip-and-replace required
- Significant cost savings vs ISDN or traditional phone lines
- Pay per concurrent call, not per line
- Number porting included
Cons:
- You still maintain on-site hardware
- Won’t get the new cloud features (softphones, mobile apps, analytics dashboards)
- May not be compatible with very old PBX models
| 💡 Broadconnect Tip: If your PBX is more than 7 years old, the cost savings from SIP trunking might not outweigh the ongoing maintenance costs of ageing hardware. We’ll give you an honest assessment — contact us for a free infrastructure review. |
Option 3: Microsoft Teams Phone — Best for Microsoft-First Businesses
If your business already uses Microsoft 365, there’s a strong case for extending it to your phone system. With Microsoft Teams Direct Routing from Broadconnect, your staff can make and receive external business calls directly inside the Teams app they already use every day — on desktop, browser, or mobile.
How It Works
Direct Routing is a service that connects Microsoft Teams to a PSTN (public phone network) carrier — in this case, Broadconnect. Your Australian business numbers are hosted with Broadconnect, calls route through our network, and your staff receive and make them inside Teams.
There’s no separate phone app. No handset required. One tab in Teams handles it all.
What You Get with Teams + Broadconnect Direct Routing
- Make and receive calls from Australian numbers inside Microsoft Teams
- Keep your existing business phone numbers (full porting support)
- Auto-attendant and call queues via Teams Phone features
- Voicemail, call forwarding, and simultaneous ring
- Works on Windows, Mac, iOS, Android, and browser
- Australian carrier with local support — no dealing with Microsoft directly for call issues
Who It’s Best For
- Businesses already on Microsoft 365 (Business Basic, Standard, or Premium)
- Teams where staff spend most of their day in the Teams app
- Businesses wanting to consolidate comms into one app — chat, video, and calls
- Companies with remote or hybrid teams who don’t need desk phones
Microsoft Teams Calling: Pros & Cons
Pros:
- Single app for messaging, meetings, and phone calls
- No extra software to install if staff already use Teams
- Excellent mobile app — full phone system from your pocket
- Lower cost if your Microsoft 365 plan already includes Teams Phone
Cons:
- Requires Microsoft 365 subscription (added cost if not already using it)
- Advanced call centre features require additional Teams add-ons
- Not ideal if staff prefer a dedicated phone interface
Option 4: Webex Calling — Best for Video-Heavy or Cisco Environments
Webex Calling (by Cisco) is a full UCaaS (Unified Communications as a Service) platform — calling, video meetings, messaging, and contact centre tools in a single cloud application. Broadconnect’s managed Webex Calling service delivers the full Cisco platform with Australian support and local number management.
What Makes Webex Different
Webex is built on Cisco’s enterprise-grade infrastructure — the same platform used by some of the world’s largest contact centres and financial institutions. For businesses that prioritise video meeting quality, AI-powered transcription, and enterprise-level security, Webex is hard to beat.
Webex Calling: Pros & Cons
Pros:
- Industry-leading video and audio call quality
- Built-in AI transcription, real-time captions, and call summaries
- Excellent for contact centre and high-volume call environments
- Strong security and compliance tools for regulated industries
- Call recording included in most plans
Cons:
- Higher per-user cost than basic Hosted PBX
- Feature-rich platform can have a learning curve for smaller teams
- Overkill for businesses that only need basic calling features
Quick Comparison: Hosted PBX vs SIP vs Teams vs Webex
| Hosted PBX | SIP Trunking | MS Teams | Webex Calling | |
| Best For | Most businesses | Existing PBX owners | Microsoft-first teams | Video-heavy teams |
| Setup Time | 1–3 days | 1–2 weeks | 2–5 days | 2–5 days |
| Monthly Cost | $35–$60/user | $15–$30/line | $20–$45/user | $25–$50/user |
| VoIP Quality | ⭐⭐⭐⭐⭐ | ⭐⭐⭐⭐ | ⭐⭐⭐⭐ | ⭐⭐⭐⭐⭐ |
| Mobile App | Yes | Limited | Yes (Teams app) | Yes (Webex app) |
| Call Recording | Included | Add-on | Add-on | Included |
| No Hardware Needed | Yes | No | Yes | Yes |
| Australian Support | Yes (Broadconnect) | Yes (Broadconnect) | Yes (Broadconnect) | Yes (Broadconnect) |
Note: Pricing is indicative for Australian business plans. Exact costs depend on user count, features, and contract length. Contact Broadconnect for a tailored quote.
Which Phone System Should Your Business Choose?
There’s no single right answer — but there is a right answer for your business. Here’s how to think about it:
Choose Hosted PBX if…
- You want the most complete, flexible phone system with the least hassle
- You need call recording, auto-attendant, and call queues out of the box
- Your staff work from a mix of office, home, and mobile
- You’re replacing an old PABX or ISDN system
- You don’t have a strong preference for Microsoft or Cisco ecosystems
Choose SIP Trunking if…
- You have a working, modern PBX you want to keep
- Your primary goal is reducing your monthly line rental costs
- You’re comfortable maintaining on-site PBX hardware
Choose Microsoft Teams Phone if…
- Your team already lives in Microsoft 365 and Teams daily
- You want to eliminate a separate phone app entirely
- You’re a small-to-mid-sized business that doesn’t need a contact centre
Choose Webex Calling if…
- Video meeting quality and AI transcription are priorities
- You run a contact centre or high-volume inbound call operation
- You’re in a regulated industry with strict recording and compliance needs
- You’re already in the Cisco ecosystem
How Broadconnect Helps Australian Businesses Get It Right
Broadconnect has been connecting Australian businesses since 1990. We’re not tied to one vendor — we offer Hosted PBX, SIP trunking, Microsoft Teams Direct Routing, and Webex Calling — so our recommendation is always based on what’s right for your business, not on what we get paid the most to sell.
Every Broadconnect deployment includes:
- Free infrastructure and connectivity assessment before we recommend anything
- Number porting with zero downtime in most cases
- Australian-based setup, configuration, and training
- Ongoing local support — real people, not offshore call centres
- Optional 4G/5G failover to keep your phones online during internet outages
| 📞 Ready to Choose? Talk to a Broadconnect specialist today. We’ll assess your current setup, understand your needs, and recommend the right solution — no jargon, no pressure. Call 1300 880 330 or visit broadconnect.com.au |
Frequently Asked Questions
What’s the difference between VoIP and a hosted PBX?
VoIP is the technology — the method of transmitting voice calls over the internet. A hosted PBX is a complete business phone system built on VoIP. Think of VoIP as the engine and the hosted PBX as the whole car.
Can I keep my existing phone numbers?
Yes. In almost all cases, Broadconnect can port your existing business numbers — landlines, 1300s, 1800s — to your new phone system. The process is managed by our team and is seamless for your callers.
Do I need to replace my desk phones?
Not necessarily. With SIP trunking, you keep your existing handsets. With Hosted PBX, Webex, or Teams, many businesses use softphone apps instead of physical handsets — saving money on hardware. If you prefer desk phones, Broadconnect can supply and provision compatible IP handsets.
Which option is best for a small business?
For most small businesses (under 20 staff), a Hosted PBX plan from Broadconnect is the best value — professional features, no hardware, and a predictable monthly cost from $35 per user.
Can I use Microsoft Teams as my only phone system?
Yes — with Microsoft Teams Direct Routing from Broadconnect, Teams becomes your full business phone system, including calls to external numbers. You’ll need a Microsoft 365 plan that includes Teams Phone, plus a Direct Routing provider like Broadconnect.
What happens to my calls if the internet goes down?
Broadconnect offers 4G/5G mobile failover that automatically routes calls to your backup connection if your primary internet drops. For business-critical environments, this means your phones stay online even during NBN outages.
How long does setup take?
Most Hosted PBX and Microsoft Teams deployments are live within 1–3 business days. More complex environments with multiple sites or large number of users may take longer — Broadconnect provides a project timeline at the start of every engagement.
Broadconnect — Business Phone Systems, VoIP & Internet Solutions
1300 880 330 | broadconnect.com.au | Level 26, 1 Bligh Street, Sydney NSW 2000 | 100% Australian-Based Support