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TCO Comparison Premise-Based vs. Hosted PBX

Want to find out how much you will save by investing in the right solution for your business?

It's a challenging undertaking to calculate your business' total cost of running unpredictable premise systems, especially when dealing with multiple service providers.

That's why we've created a helpful tool to deliver the pricing and benefits directly to you! Review a quick comparison below based on your needs, and have it emailed to you for quick reference later.

Number of Users
  • 10
  • 20
  • 30
  • 40
  • 50
OR

Show my Savings! Show my Savings!

5 Year On Premise vs Cloud Total Cost Of Ownership calculator

30 - User Phone System Comparison with 5 Remote Workers over 60 months
You could save 30.17% by moving your PBX to SE Telecom
Your 5 Year Savings would be $186,050.00
    5 Years Cost Breakdown Premise Based PBX SE Telecom Hosted PBX
  Up Front Costs for Basic System    
  On-premise PBX Hardware server cards based on $650.00 per user $19,500.00 Included
  On-premise PBX software licenses based on $75.00 per user $2,250.00 Included
  On-premise PBX Integrations with Microsoft Office and Microsoft Outlook based on $100.00 per user $3,000.00 Included
  On-premise PBX Integrations with Box, GoogleDocs, Dropbox based on $50.00 per user Not Available Included
  On-premise PBX Additional Unknown MISC. Up Front costs $200.00 Included
  Setup and implementation based on $50.00 per user $1,500.00 $1,500.00
  Basic Up Front Costs $26,450.00 $1,500.00
  Optional Up Front Costs to Add Standard Features to Basic System    
Add Instant Messaging with presence for all Users based on $50.00 per user $1,500.00 Included
Add Mobile App for all Users based on $200.00 per user $6,000.00 Included
Add 5 Remote Phones based on $500.00 per user for Premise $0.00 $150.00
Add Manual Call Recording for all Users based on $500.00 per user OR AUTO BELOW $15,000.00 Included
Add Auto Call Recording Users that need to be recorded Call Recording Channels $15,000.00 Included
Add click to call Web & App Dialers for all Users based on $50.00 per user $1,500.00 Included
Add Multi Point Video for all users to have their own multipoint point video bridge Not Available Included
Add Softphone Laptop Phones For users to be able to work from anywhere based on $50.00 per user $1,500.00 Included
Add Additional MISC. Up Front costs per user based on $20.00 per user $600.00 Not Applicable
  Optional Add-on Up Front Costs $30,000.00 $0.00
  Monthly Cost for Basic Services    
  Standard Cloud Users estimated at $30.00 per user per month Not Available $900.00
  Monthly Internet Connection Costs Not Applicable $400.00
  On-premise PBX Total Monthly Phone Line Connection Costs (PRI, Analog Lines) $750.00 Included
  On-premise PBX Total Monthly North American Long Distance Costs $200.00 Included
  On-premise PBX Total Cost for your Team to manage the system $100.00 Included
  On-premise PBX Total Ongoing system management & MAC request (Moves, Adds & Changes) $200.00 Included
  Monthly Cost for Basic Services $1,250.00 $1,300.00
  Monthly Cost Per User for Standard Services    
Standard Cloud Users estimated at $30.00 per user per month Not Available $900.00
Add Audio Conferencing with Web Collaboration & Desktop Sharing with 25 parties for all Users based on $25.00 per user OR $750.00 Included
Add Audio Conferencing with Web Collaboration & Desktop Sharing with 100 parties for all Users based on $50.00 per user $1,500.00 $15.00
Add Voicemail transcription (Voicemails are converted to text) per user for all Users $150.00 Included
Add Multi Point Video for all users to have their own multipoint point video bridge for all Users based on $25.00 per user $750.00 Included
Add Web & app dialers for all users Not Available Included
Add Unlimited North American Long Distance for all Users Not Available Included
Add online portal so users can work and login from anywhere Not Available Included
  Monthly Cost for Standard Services $2,250.00 $15.00
  Total Up Front Costs $56,450.00 $1,500.00
  Total Monthly Cost $3,500.00 $1,315.00
  Total 60 month Cost $266,450.00 $80,400.00
  Total 60 months savings $0.00 -$186,050.00
  Save   30.17%
In addition to the above expense vaults, businesses need to assess "Intangible" costs associated with operating premise technology.  The below list is not exhaustive, however, the items must be considered for an accurate Total Cost of Ownership analysis.  Many of the below cost containers are included or greatly reduced when PBX, Call Center and other applications are moved to the Cloud.
Optional Support & Maintenance
On-premise PBX Total Annual 8 x 5 Support Costs for Existing System (15% of Total Up-Front Costs) $8,467.50 Included
On-premise Add 24/7 Live Managed support coverage (10% of Total Up-Front Costs) $5,645.00 Included
Optional Disaster Recovery Options (Does not include the monthly line costs)
Add 10% disaster Recovery $5,645.00 -
Add 25% disaster Recovery $14,112.50 Not Applicable
Add 50% disaster Recovery $28,225.00 Not Applicable
Add 100% disaster Recovery $56,450.00 Included
Optional Remote Site Options
Add 1 Remote Site with 10 users (add additional $7,500.00 in one time costs + Line Costs) $7,500.00 $300.00
Add 1 Remote Site with 25 users (add additional $18,750.00 in one time costs + Line Costs) $18,750.00 $750.00
Add 1 Remote Site with 50 users (add additional $37,5000.00 in one time costs + Line Costs) $37,500.00 $1,500.00
Note: The above comparison doesn’t even include all the additional value that you get below
  1. Disaster Recovery Testing and Procedures - Internal Costs for prudent DR testing, planning, etc. with internal personnel
  2. Cost Per Employee Per Hour of Downtime - What does an extra hour of downtime cost your company in lost business or productivity?
  3. Increased Cost of Downtime - Costs of personnel in DR scenario, Costs of 3rd party support for recovery
  4. Opportunities - What are the potential missed opportunities (business related, enabling mobility, etc.) that result in the loss of potential revenues
For more details on how to quantify these costs, please contact an SE Telecom Cloud IP Technology Associate
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5 Year On Premise
Total Cost Of Ownership
$296,530.00
5 Year On Cloud
Total Cost Of Ownership
$80,700.00

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