Private Branch Exchange (PBX)

Handle all your organization’s internal and external calls by establishing a PBX business phone system.

What’s PBX and how it works with Microsoft Teams

Traditional PBX phone systems are analog. Get more features and less cost with a digital solution that uses the internet and Teams.

The foundation of phone systems

PBX is the internal network of software and hardware that manages business phone systems.

How PBX works

Choose on-premises or in the cloud for PBX and connect through a phone company or internet provider.

PBX capabilities with Teams

Get PBX capabilities without expensive equipment using Phone System in the cloud with Microsoft Teams.

Standard PBX features

Make, receive, and transfer calls. Enable auto attendant, call queue, voicemail, and music on hold.

Get more features with cloud-based digital PBX

Set up a cloud-based PBX business phone system to get clearer audio, scale more easily, and enable more capabilities.

Learn more

A person sitting outside using a mobile phone.

Cloud-based PBX features

Get a quick look at a few features and benefits of a digital, cloud-based PBX system with Microsoft Teams Phone.

A person sitting in their kitchen on a business call using a laptop and over-the-ear headphones.

Stay connected anywhere

Place and receive calls from any workplace, on any device, with a single business phone number.

A Teams video call where a presentation is being given and the chat is visible on the side of the screen.

Integrate calls seamlessly

Use one app for calling, chat, and meetings. Start a call from chat, contact card, and Outlook.

Three people leaning in and having a conversation over a laptop.

Deliver modern features

Use enterprise cloud calling features like auto attendant, call queues, captions, and transcription.

Hand holding a phone that is making a call on Teams.

Save time

Get more done since calls average one-fourth the length of a typical meeting.

A person wearing a headset and using a laptop connected to a desktop monitor.

Reduce costs

Save on hardware purchases and training by managing phone systems in the cloud.

A tablet displaying completed setup in Microsoft 365 Admin Center.

Streamline setup and management

Easily add phone numbers, resolve issues, and manage your system from an integrated admin console.

Cloud-based PBX features

Get a quick look at a few features and benefits of a digital, cloud-based PBX system with Microsoft Teams Phone.

Stay connected anywhere

Place and receive calls from any workplace, on any device, with a single business phone number.

Integrate calls seamlessly

Use one app for calling, chat, and meetings. Start a call from chat, contact card, and Outlook.

Deliver modern features

Use enterprise cloud calling features like auto attendant, call queues, captions, and transcription.

Save time

Get more done since calls average one-fourth the length of a typical meeting.

Reduce costs

Save on hardware purchases and training by managing phone systems in the cloud.

Streamline setup and management

Easily add phone numbers, resolve issues, and manage your system from an integrated admin console.

See how companies are using Microsoft Teams

Raising the bar for corporate communication

Modernizing work wasn’t just a luxury for LVMH, a group of 75 high-end goods houses, it was a necessity. So, they increased collaboration, communication, and efficiency with Teams and Teams Phone.

Read the full story

A person on a Teams video call displaying architectural models on a tablet and two desktop monitors.

Driving engagement for a major motor company

By migrating to Teams and Teams Phone, Toyota enabled collaboration, communication, and remote work. As a company, they maintained business continuity and even began hosting global live events in Teams.

Read the full story

A person wearing PPE and giving a presentation in a factory.

Frequently asked questions

Private Branch Exchanges are phone systems—private telephone networks—used in companies and organizations. They offer key capabilities and features for a business to operate. These often include auto attendant, contact center integration, voicemail, call queues, conferencing, and routing.

The Microsoft technology for enabling call control and PBX capabilities in the cloud with Microsoft Teams.

Phone System gives you PBX capabilities, but without the complicated and expensive equipment. It allows you to replace your existing on-premises PBX system with a set of features delivered from Microsoft 365 or Office 365 that is tightly integrated into your cloud experience.

With Phone System, users can choose Microsoft Teams to place and receive calls, transfer calls, and mute or unmute calls. Phone System users can click a name in their address book, and place Teams calls to that person. To place and receive calls, Phone System users can use their mobile devices, a headset with a laptop or PC, or one of many IP phones that work with Teams. Phone System administrators can manage calling options and settings from the same console used for messaging, collaboration, and so on.

Calls between users in your organization are handled internally within Phone System, and never go to the Public Switched Telephone Network (PSTN). This applies to calls between users in your organization located in different geographical areas, removing long-distance costs on these internal calls.