When you make the move to a hosted voice solution, you are entrusting a service provider with your vital business communications. However, there are many types of providers offering hosted services that range from resellers of Internet-based hosted service, to service providers who own and operate their own nationwide networks. As a result, the services and features they offer vary greatly. A thorough evaluation of potential service providers and their hosted offerings will help you make an informed decision so that you can better realize the benefits of hosted communications. These benefits include: eliminating capital expenses, operational savings, access to Unified Communications features, freeing up IT resources, and centralized control of your calling features across locations. A checklist features key questions to ask when evaluating Hosted PBX providers, and includes an explanation of why these questions are critical in selecting the right Hosted PBX solution for your business.

1. Solutions you want. Support you need.
Hosted PBX Provider Evaluation Checklist:
10 Questions to Ask When Choosing a Cloud Provider
When you make the move to a hosted voice solution, you are entrusting a service provider with your vital
business communications. However there are many types of providers offering hosted services today,
ranging from resellers of Internet-based hosted services to service providers who own and operate their
own nationwide networks. As a result, the hosted service and features they offer also varies greatly.
A thorough evaluation of potential service providers and their hosted offerings will help you make an
informed decision, enabling your business to realize the benefits of hosted communications. These ben-
efits include: eliminating capital expense, operational savings, access to Unified Communications features,
freeing up IT resources, and centralized control of your calling features across locations. The following
checklist provides key questions to ask a provider when evaluating Hosted PBX providers, and it explains
why these questions are crucial for selecting the right Hosted PBX solution for your business. By utilizing
this checklist, you will learn the type of simple but critical questions to ask in the pre-buying stage.
Questions to Ask Service Providers What this tells you about their Hosted PBX service…
1. Do you operate your own network, or lease it from another
provider?
Some providers offer hosted services combined with
another provider’s network. In some cases they overlay the
services on top of the network you have in place; in others,
they bundle the services together with network services
they resell from a service provider. This may allow them to
focus on the hosted PBX component but can be problem-
atic for troubleshooting and resolving service issues. Other
Hosted PBX providers, such as XO, own the underlying
transport network, which allows for a more seamless ser-
vice experience and cost savings that can be passed along
to customers.
2. What is the true Total Cost of Ownership (TCO) of your
Hosted PBX solution, including the costs associated with
the following key factors?
• Staff costs
• Acquisition costs (e.g., capital expense)
• Long distance and other usage charges
• Maintenance (e.g., cost and frequency of system
upgrades)
• Moves, adds and changes
• Network access
• Vendor management
• Training
Nothing could be more disastrous than finding out that you
are spending more on capital expense items and operating
expenses than you would have with premise-based options.
Consider these key factors when comparing the TCO of
premise-based PBXs, Hosted PBX solutions from “over-
the-top” providers, and Hosted PBX solutions from service
providers.
3. Are there installation fees? Most Hosted PBX providers charge for seat licenses, but
there can often be additional charges, such as setup and
equipment fees.
4. Can you accommodate growth in our number of locations
and/or seats? How quickly could they be added and what
are the associated costs?
Determine what costs you will incur if your business grows
by adding new sites or new users.

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Questions to Ask Service Providers What this tells you about their Hosted PBX service…
5. Does the Hosted PBX solution allow our users to use their
mobile phones as if they were in the office using their
desk phones?
Find out if the Hosted PBX solution offers mobility features
available for remote workers.
6. Does the Hosted PBX service support Fax? Fax is still a challenge for some Hosted PBX providers and
is often dependent on the customer premise equipment.
7. Are there Service Level Agreements? Important considerations go beyond Quality of Service
(QoS). The ability to address defective phones, mean time
to repair and credits, also can be important considerations.
8. Explain how all types of call flows are rated, including
local call treatment.
Often providers will rate calls that hit the PSTN as long dis-
tance, even if they are in the same rate center.
9. What are the contract terms? There may be minimum monthly fees and prices can vary
with terms and seat counts.
10. What support and training do you offer for administrators
and end-users?
Some providers offer only web-based self-help. Find out if
your provider also provides real-time, US-based support,
training videos and documentation to help you get the most
out of your service.
This serves as a guide to selecting a Hosted PBX solution, but is not intended as an endorsement of any
given method, solution or device.
XO makes no representation of warranty, expressed or implied, as to the accuracy or completeness of the information contained
in this document, and nothing contained herein is, or shall be relied upon as, a promise, representation, or legal advice.
About XO Communications
XO is a leading provider of 21st century communications services for businesses and communications services providers,
including 50 percent of the Fortune 500 and leading cable companies, carriers, content providers and mobile operators.
Utilizing its unique and powerful nationwide IP network, extensive local metro networks and broadband wireless facilities,
XO offers customers a broad range of managed voice, data and IP services in more than 80 metropolitan markets across the
United States.
See How XO Does Hosted PBX Better
At XO, we understand how enterprise networks are architected and can help you migrate to the cloud. With flexible service
options for businesses of all size, XO Hosted PBX can be integrated in your existing network as a company-wide solution,
deployed at branch locations, or fit into your hybrid network.
HPBX Provider Evaluation Checklist XO Communications
Contact XO to Discuss Your Hosted Voice Needs
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