Blog Article

Cloud-Based PBX vs Hosted PBX – What’s the Difference for Hotels?

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What Hotel Operators Really Need to Know

If you’re looking for a new hotel communication service, you’ve probably seen the terms cloud-based PBX and hosted PBX. They sound alike, but they’re very different.

A hosted PBX is like moving your old box of wires and servers to someone else’s closet—it’s still old tech, just in a new place.

A cloud-based PBX is built online from the start—no clunky box, no closet. Just a service that works anywhere, anytime.

What Do These Terms Actually Mean?

Let’s break it down:

  • PBX stands for Private Branch Exchange. It’s the system that routes calls inside your hotel—between rooms, the front desk, or outside numbers.
  • Hosted PBX means the hardware still exists, but it lives off-site at a vendor’s data center. Your calls still go through that “old box,” just over the internet.
  • Cloud-Based PBX means there’s no box at all. Everything runs in the cloud. It’s managed online, updated automatically, and doesn’t need a closet full of gear.

Think of hosted PBX like using a fax machine over Wi-Fi. It still works, but it’s outdated.

A cloud PBX is like using email—it’s faster, cleaner, and made for today’s world.

Why It Matters for Hotels

Here’s what this means for your team:

  • Less hardware to worry about: Cloud-based systems don’t rely on physical servers at your property. No more breakdowns in the closet.
  • Fewer vendors: Hosted systems often involve multiple third-party providers (hardware, carrier, support). Cloud-based services like Think Simplicity do it all—hardware, software, support, and install.
  • More features: With true cloud systems, it’s easier to add guest SMS, team chat, call routing, voicemail, and more.
  • Less stress: Cloud-based systems are updated automatically, supported remotely, and don’t require an in-house IT team to manage.

What’s the Real Difference?

Here’s a quick snapshot to help:

Comparison table of Hosted PBX vs Cloud-Based PBX for hotels, showing that cloud-based systems offer advantages like online installation, lower upfront costs, scalability, automatic updates, and provider-managed security—while hosted PBX relies on outdated on-premises hardware.

If you’re still weighing your options, this breakdown explains why a cloud communication system should be your next move.  🔗

Hidden Costs of Hosted PBX (That No One Tells You About)

At first glance, hosted PBX might look the same. But here’s what hotels often miss:

  • Third-party vendors: Hosted PBX usually means you still have to manage a carrier, an installer, and a support company. More vendors = more headaches.
  • Licensing fees: Some systems charge per feature, per phone, or even per voicemail box. Those add up fast.
  • Hardware issues: Even if the server is offsite, you may still need extra equipment onsite to keep it running.
  • Limited flexibility: Need to add guest texting or remote staff calling? That often means buying another tool.

It’s like buying a car but having to pay extra just to use the air conditioning or open the trunk.

With a true cloud-based system like Think Simplicity, you get one partner, one monthly rate, and no surprises. Like a utility.  

Want to know what a modern system actually costs—and what fees to watch out for? Here’s the full cost breakdown. 🔗

What to Look for in a Hotel Communication Service

Before you decide, ask these 7 simple questions:

  1. Is it truly cloud-based, or just hosted somewhere else?
  2. Can it integrate with my PMS—without hidden fees?
  3. Who owns and manages the phone numbers, carrier service, hardware, maintenance, support, and PMS integration?  
  4. Is the solution built to evolve and scale easily? Or is it static tech?
  5. Is the provider exclusively focused on hospitality—or just selling general business tech?
  6. What is the quality of the “support” offered? Will they help you solve problems—or just pass the blame?
  7. How secure is the solution—and who’s actually in control?

If you’ve worked with traditional PBX vendors, you know how rare it is to check even half these boxes. And that’s exactly why we built Think Simplicity.

We don’t outsource. We don’t resell. We built the platform and continue to evolve the platform as requirements change.

That means no integration fees, no third-party handoffs, no mystery vendors, and no weak links. Just secure, fully managed hotel communication you can trust today and tomorrow.

Choosing cloud over hosted isn’t just about features—it’s about future-proofing. 🔗

The FCC’s 2025 STIR/SHAKEN requirements are already impacting hotels with older PBX setups. Here’s what you need to know. 🔗

Why Hotels Choose Think Simplicity

You don’t need more vendors. You need a partner that genuinely has your back.

We get it—your staff is busy. Your guests expect reliability. And you don’t have time for surprise tech problems.

That’s why we handle it all—from install to support—with no middlemen, no license fees, and no finger-pointing.  

Here’s what real hoteliers are saying about us:

“Partnering with Think Simplicity has transformed our operations. The customer support is exceptional.”
— Alissa K., GM, Country Inn & Suites
“Their support is responsive and very personable—and instills the values we strive for at Choice Hotels.”
— Abdul H., Director of IT, Radisson Blu Aqua Chicago
“Switching from a 40+ year-old PBX phone system to VoIP… Think Simplicity made this a smooth transition.”
— TJ W., Regional Controller, Radisson Salt Lake City Downtown

Want to see what stress-free communication looks like?

👇 Talk to Joe

Head shot picture of hotel expert and Think Simplicity founder, Joseph Joe DeCiantis.
I’ll show you how it works.
No pressure. Just answers.

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