An IP PBX System is a phone system that enables companies to use an internet connection to handle both internal and external calls. A private branch exchange, or "PBX" is a technology that allows businesses to connect to external lines and route calls within their own network. In an IP PBX, calls are made and received over the internet, using Voice over Internet Protocol (VoIP) technology, which converts voice signals into digital data that can travel over IP networks. Cloud-based IP PBX systems provide added flexibility, as businesses no longer need to worry about maintaining and managing physical servers, making it easier to scale operations and improve overall efficiency.