Skype for Business Server and the new Cloud PBX option in Office 365 are gradually becoming viable alternatives to traditional telephone systems, but many key features are still under development.

A growing number of enterprises and businesses of all sizes have started taking notice of Microsoft’s latest efforts with its new on-premises Skype for Business Server and the Cloud PBX service recently added to Office 365, which both offer extended telephony and videoconferencing functions and viable public switched telephone network (PSTN) connectivity.

Few large enterprises have switched their entire telephone systems to Skype for Business and Cloud PBX, though experts say it’s underway in many organizations and under serious consideration among numerous others. Many are moving incrementally, some at more advanced stages than others,
while some remain skeptical or have no short-term plans to replace their existing telephone systems with Skype for Business or Cloud PBX.

Observers say a growing number of organizations are in the early stages of deploying or evaluating Microsoft’s telephony offerings because they’re considerably less expensive. Microsoft’s release of Cloud PBX this year has another strong pull: It’s an option to Office 365 subscriptions.