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February 20, 2008

Enterprise VoIP: The Future Is Now

By Brian Solomon, TMCnet Web Editor


Enterprise VoIP system sales are now far outpacing those of legacy systems. In fact, as of last year, VoIP system sales showed 31 percent growth over the year before, while sales of traditional voice systems fell by 20 percent during the same period. The two fastest growing VoIP system vendors, according to the study, are Cisco (News - Alert) Systems and Avaya. Meanwhile, VoIP system vendors Alcatel, NEC, Nortel, and Siemens are all treading water.
 
Worldwide PBX revenue declined 1.4 percent in 2005, the turning point year. In 2004, the market's total revenue was $8.5 billion. The sector hit a low of $8.38 billion in 2005. On the other hand, IP PBX (News - Alert) showed an upward trend, thanks to VoIP growth. IP PBX revenue grew by at least 15 percent to reach $2.88 billion. Total revenue from converged PBXs grew by 10 percent to $1.38 billion. The combined revenue of $4.26 billion from IP PBX sales and converged PBX sales exceeded the traditional PBX revenue of $4.12 billion for the first time that year, according to Global Sources (News - Alert).
 
At the beginning, the voice quality for those using VoIP was not as good as with a traditional phone line. However the continual technological advancements have meant that the difference in quality is now not as apparent. For this reason and many others, there are many that are already abandoning existing telephone networks and solely using VoIP.
 
Brian Solomon is a Web Editor for TMCnet, covering news in the IP communications, call center and customer relationship management industries. To see more of his articles, please visit Brian Solomon’s columnist page
 
Don't forget to check out TMCnet’s White Paper Library, which provides a selection of in-depth information on relevant topics affecting the IP Communications industry. The library offers white papers, case studies and other documents which are free to registered users.
 




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