We've seen pretty much the same thing from our customers/prospects here, 94astro. We also sell the Tadiran and it is GREAT as both a TDM and IP switch.

We then decided to meet the demand for "pure" IP systems with Asterisk and trixbox (we feel that this product is excellent for the smaller end of our marketplace. We found that most prospects believed that the "pure" IP system was going to be less expensive....we also found that they are wrong. By the time you buy a PC, the appropriate gateways and SIP phones, they seem to price significantly higher than what we can sell a TDM/IP switch for. Relative to using PRI and analog extensions, the price goes WAY up, you need a gateway that can handle the PRI and then an FXS gateway or ATA to support the analog extensions.