The delivery model of information deployed with cloud technology is based on Internet protocols, and as broadband standards continue to increase around the world, it is also increasingly becoming the preferred method of communications among organizations. This is because of the flexibility, scalability and agility it delivers at better price points than traditional platforms. This has also increased the cloud communication platform market to double-digit growth – with a compound annual growth rate (CAGR) of 29.5 percent seen happening from 2014 to 2019.

 The latest research gathered by MarketsandMarkets, “Cloud Communication Platform Market Global Forecast to 2019,” estimates the market to grow from $887.5 million in 2014 to $3234.9 million in 2019. The report also goes into detail about the different segments in the marketplace with analysis forecasting revenue and identifying trends, opportunities and challenges throughout the different regions of the world.

The North American market is expected to generate the largest amount of revenue, while emerging economies will also experience high CAGR’s as they continue to develop the required infrastructure to make this technology work. The Middle East and Africa (MEA), Latin America (LA), and Asia-Pacific (APAC) are the regions that will be experiencing this growth later rather than sooner.

One of the biggest drivers of this market is the development of real-time applications over the Internet on an on-demand basis. This means more organizations are now migrating to the cloud to access their communication and application needs. By deploying cloud communications on the application platform, organizations have more flexibility to scale on either direction at a moment’s notice.

The report segmented the cloud communication platform market by solutions including application programming interface (API), interactive voice response (IVR), web real time communication (WebRTC), unified communication & collaboration (UCC), voice over internet protocol (VoIP) as well as by services, verticals and regions.

“Organizations worldwide are increasingly adopting cloud communication platform solutions, and it is not only concentrated to one or few industry sectors; rather it is fairly distributed across all the major industry verticals. There are lots of small vendors who are using their technical expertise in developing applications and deploying those applications on the cloud platform which a user can access in a “pay-per-use” type of a model,” MarketsandMarkets noted.

Challenges highlighted in the report include risk of information loss and strong competition, which is restraining enterprises and customers from adopting cloud communication platform solutions.