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VoIP Feature Article

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July 26, 2006

Infonetics: VoIP Services Revenue Growth Will Continue in North American, Europe, APAC

Mae Kowalke, TMCnet Associate Editor


Revenues from VoIP services in North America, Europe and Asia Pacific (APAC) will continue to expand during the next five years, Infonetics Research predicted Wednesday.
 
The networking and telecom research firm predicted that “a combined $120 billion will be spent on VoIP services between 2005 and 2009 in the 3 regions.” This continues a strong trend of growth; revenues in those regions roughly doubled from 2004 to 2005.
 
Infonetics analyst Stéphane Téral said in a statement that, for the North American and European markets, there is lots of small business demand for business trunking, IP Centrex, and VoIP virtual private networks.
 
The research firm examined the North American residential/SOHO (small office/home office) VoIP market during 2005, and found that Vonage leads the pack with 27 percent market share; cablecos Cablevision and Time Warner Cable also make a strong showing with combined 39 percent share.
 
The only other North American providers with subscriber shares of more than 3 percent are AT&T, Comcast, and Cox, Infonetics noted.
 
Meanwhile, Chinese demand for IP Centrex and IP PBX products—with carriers being encouraged by the government to upgrade—likely will make that region into a major business market, Téral noted.
 
 “Businesses around the world are migrating to IP for increased functionality, greater flexibility, improved productivity, and the potential of growing revenue through better customer service,” Téral concluded.
 
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Mae Kowalke previously wrote for Cleveland Magazine in Ohio and The Burlington Free Press in Vermont. To see more of her articles, please visit Mae Kowalke’s columnist page.
 

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