VoIP

SUBSCRIBE TO TMCnet
TMCnet - World's Largest Communications and Technology Community

VoIP Feature Article

VoIP

May 17, 2006

Carrier VoIP Market Doubles in 12 Months

Erik Linask, Associate Editor,
Internet Telephony magazine


Dittberner Associates reports that the worldwide carrier-grade VoIP market doubled in the first quarter of this year (Q1 2006). The growth was represented by worldwide media gateway and softswitch shipments in excess of 31.5 million, up from 15.7 million shipped in Q1 2005, initial data suggest. In the United States, Q1 2006 sales of media gateways and softswitch equipment grew to $627.8 million, up 56 percent from Q1 2006.
 
Softswitches are software-based IP network components that essentially connect calls between different lines, acting as an interchange between circuit- and packet-switched networks. They don’t actually transfer any data, merely open the connections. 
 
Media Gateways are network components, controlled by the softswitch, that convert media streams, say IP streams to TDM and vice versa, which enables communication between VoIP and PSTN networks.
 
Of the top five gateway providers globally, Huawei took over the highest ranking, followed by Tekelec and NortelEricsson dropped from among the top 5. Huawei also won top honors among softswitch producers, outselling both Nortel (News - Alert) and Siemens. Between its gateway and softswitch products, Huawei claimed 28 percent of the previous 12-months’ market share.
 
 
Worldwide VoP Market Share for 1Q06 (Ports Shipped)
1Q06 Media Gateway Ranking
1Q06 Softswitch Ranking
1Q05 Media Gateway Ranking
1Q05 Softswitch Ranking
Huawei
Huawei
Tekelec (News - Alert)
Nortel
Tekelec
Nortel
Nortel
Siemens (News - Alert)
Nortel
Siemens
Huawei
Italtel
ZTE
ZTE
Sonus
Huawei
Sonus
Italtel
Ericsson (News - Alert)
Sonus
                                                Source: DITTBERNER
 
 
Dittberner data shows that, while the overall market grew during the past year, it experienced a 16 percent decline in sales since Q4 2005 — but that dip can be attributed to the annual sluggishness of Q1, which typically accounts for but 15 percent of annual sales.
 
Because softswitches are exponentially less expensive to maintain than previous hardware switching solutions, carriers are making the “switch,” which is driving the increase in market penetration globally.
 
Dittberner’s NGN Program keeps track on a quarterly and continuous basis of worldwide VoIP market size in terms of ports shipped and revenue, by product (media gateway, softswitch), architecture (distributed, integrated), class type (class4, class5) and port type (IP, ATM, TDM), regional breakdown of these shipments in terms or ports and revenue.
 
----
Erik Linask is Associate Editor of INTERNET TELEPHONY. Most recently, he was Managing Editor at Global Custodian, an international securities services publication. To see more of his articles, please visit Erik Linask’s columnist page.
 

VoIP


Technology Marketing Corporation

2 Trap Falls Road Suite 106, Shelton, CT 06484 USA
Ph: 800-243-6002, 203-852-6800
Fx: 203-866-3326

General comments: tmc@tmcnet.com.
Comments about this site: webmaster@tmcnet.com.

STAY CURRENT YOUR WAY

© 2020 Technology Marketing Corporation. All rights reserved | Privacy Policy