The communication switching system enables the universal connectivity. The universal connectivity is realized when any entity in one part of the world can communicate with any other entity in another part of the world. In many ways telecommunication will acts as a substitute for the increasingly expensive physical transportation. The telecommunication links and switching were mainly designed for voice communication. Traffic handling capacity is an important element of service quality and will therefore play a basic role in this choice Microprocessor/microcontroller (MPMC) system can handle sequential operations with high flexibility and use of Field Programmable Gate Array (FPGA) can handle concurrent operations with high speed in small size area. So combined features of both these systems can enhance the performance of the system. High Performance Hybrid Telephone Network System (HTSS) is designed using combination of stored program control (SPC) and VLSI technology. Touch tone receiver follows DTMF (Dual tone Multifrequency) concept and Time division multiplexing chip is used for the call establishment for inter and intra communication. © 2013 IEEE.