Mobile Video

Although the VoIP services market has matured considerably in the last few years, there are region where considerable growth opportunities still exist for carriers looking to expand their offerings.

The trick: knowing where to find those opportunities and how to best leverage them.

Latin America is one such region with considerable growth potential, if properly tapped. Dialogic (News - Alert), a company that specializes in network and value-added service (VAS) solutions, is focusing its efforts on helping carriers overcome challenges with peering and interconnect challenges to effectively grow in Latin America.

In a recent video interview, Dialogic’s vice president of Marketing, Dawn Hogh, explained that each Latin American country has its own regulatory requirements, which can be a challenge.

Also, overall ARPU in Latin America is decreasing, so balancing price and cost is a big issue. Operators, of course, need to manage growth while keeping profitability up.

Despite these challenges, it remains true that Latin America is a region with considerable VoIP growth potential, so it makes sense for carriers to invest there. And, by partnering with a solution provider like Dialogic, it is possible to do just that.

“There are ways that operators can take advantage of IP and leverage the growth and still maintain or grow their profitability,” Hogh said in the video. 

There are concrete reasons why Latin America is a growing market for communications services. Take Chile, for example; in a recent TMCnet article, contributing editor Tracey Schelmetic highlighted that county’s plan to become a key supplier of outsourced IT services to the U.S.

“The country has advantages: it's a near-shore destination that doesn't require flying to the other side of the world, it has a modern infrastructure, and it's close to the U.S. in terms of time zone, eliminating the kind of second- and third-shift work that India and the Philippines must engage in,” Schelmetic said in her article.

Last year, Frost & Sullivan (News - Alert) predicted that enterprise VoIP growth will continue solidly for six years. The market, which had revenues of $791 million in 2008, should hit $1.20 billion by 2014, driven increased reliability and cost savings.

In a TMCnet report, Frost & Sullivan analyst Raphael Barone said small and medium-sized Latin American businesses in particular are looking for technologies like IP-PBXs and IP phones to remain competitive.

“These novel solutions can help companies cut costs, improve efficiency, and fully enjoy a variety of other solutions and applications such as unified communications,” Barone said in the report.

For more insights into the Latin American market, watch the full Dialogic video interview.