Private Automatic Branch Exchange: Definition, How it Works, Types, and Regulation in Indonesia

In companies to help smooth business operations, both internal and external communication is needed. Private Automatic Branch Exchange (PABX) is a system that is often found in many companies that are used to support communication.

With Private Automatic Branch Exchange, companies can manage phone calls with more structure and cost-effectiveness.

This article will help you to choose the most appropriate solution for your business needs by knowing the definition of Private Automatic Branch Exchange, how it works, types, and usage regulations in Indonesia.

What is a Private Automatic Branch Exchange?

Private Automatic Branch Exchange (PABX) or known as PBX among Europeans, is a telephone system device used in companies to manage telephone communications.

This system allows organizing internal communication between office sections (extension to extension) and between internal and external parties (outgoing and incoming). PABX is often used for jobs such as offices, hospitals, hotels, campuses, convenience stores, and factories.

How Does Private Automatic Branch Exchange Work?

The Private Automatic Branch Exchange (PABX) system works by managing the route of both incoming calls and outgoing calls from the company network. Incoming calls from outside can be directly connected to the intended extension. As for internal calls, communication does not need to leave the general operator network, because it can be done directly.

PABX also works with several features that are owned, to support its performance and differentiate it from the telephone network in general. Here are some important features that are generally present in the PABX system:

• Voicemail: Stores messages when there is no answer.
• Conference calls: Connects more than two parties in one phone call.
• Call forwarding: Forwarding a call to another extension number within a network.
• Caller ID: Displays caller information.
• Call logging: Records and logs calls.

The Types of Private Automatic Branch Exchange

Here are some types of Private Automatic Branch Exchange (PABX) that are often used in the business world:

1. Analog PABX

This type of system is a traditional telecommunications system that uses analog signals for voice transmission. Calls in this system are connected via copper cables. Analog PABX is usually used for small businesses that need a simple and inexpensive system, while still having limited features.

2. Digital PABX

This type of system uses digital technology to transmit voice, resulting in clearer communication. This system usually requires a special telephone set to interact with the system. Digital PABXs are equipped with features such as voicemail, caller ID, and conference calling.

3. Internet Protocol (IP PABX)

This type of system uses the internet to transmit voice. Its use is more flexible because it can be integrated with other business software such as VoIP (Voice over Internet Protocol). IP PABX still supports long-distance calls at a more efficient cost.

4. Hosted PABX (Cloud-based)

This type of system uses a cloud managed by a service provider. This system can be accessed from various locations because it uses a cloud-based system. Hosted PABX offers convenience in system maintenance management, suitable for companies that want to reduce initial costs and do not bother managing hardware.

5. Hybrid PABX

This type of system combines analog, digital, and IP systems in one telephone network system. Hybrid PABX gives companies flexibility in using the telephone network because it can be used in several different types of systems. This type of system also allows you to transition gradually to a system with the latest technology.

Private Automatic Branch Exchange Regulation in Indonesia

The Private Automatic Branch Exchange (PABX) machine uses communication technologies that operate within a specific frequency spectrum. In Indonesia, PABX devices are required to have DJID (Directorate General of Digital Infrastructure) under the Ministry of Communication and Digital (KOMDIGI).

PABX machine regulation refers to a number of KOMDIGI regulations, among others:

• PERDIRJEN No. 113 Tahun 2008 on Technical Requirements for Telecommunication Equipment and Devices for Internet Telephone for Public Purposes.
• PERDIRJEN No. 29 Tahun 2009 on Technical Requirements for IP Phone devices.
• KEPMEN No. 45 Tahun 2025 on Technical Standards for Mobile Telecommunication Devices.

All the regulations must meet specific technical standards before being sold in the country. The DJID certification ensures that the product meets government safety and quality regulations and does not interfere with other communication devices. The certification process involves technical testing, such as frequency adjustments, safety checks, and compatibility with the surrounding environment.

Once the tests are completed, products that pass are listed in a Test Result Report, which confirms that the product is safe and ready for sale in Indonesia. This report reassures customers that the product meets technical standards and is secure.

For companies wanting to sell a PABX  machine in Indonesia, Type Approval Certification Services for ICT Products are available to assist with this process. This service includes preparing technical and legal documents, conducting required testing, ensuring compliance with regulations, helping companies streamline the certification process, and giving consumers confidence in certified products.