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Global revenue from VoIP and IMS equipment rose 32% to reach $3.3 billion in 2006, according to a report from Infonetics Research.
The overall market rose 8% between the third and fourth quarters of last year along, the study said.
Infonetics expects the service provider VoIP and IMS equipment market to more than double from 2006 to 2010, when sales are expected to hit $6.9 billion worldwide.
“We saw a lot of healthy growth in the service provider next-gen voice and IMS market in 2006, including very active M&A and IPO vendor scenes, highlighted by the successful Acme Packet IPO in October—and BroadSoft and Veraz Networks (News - Alert) are next,” said Stephane Teral, principal analyst of Infonetics Research, in a statement. “The five-year outlook goods good, pointing to a substantial investment cycle.”
The study projects $25.2 billion will be spent on VoIP and IMS equipment worldwide over the five-year period ending 2010. The combined media gateway and softswitch market totaled $2.8 billion globally in 2006, led by Nortel (News - Alert) Networks with a 20% market share.
In addition, the report projects the number of global residential and small home office VoIP subscribers will nearly quadruple through 2010.
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Spencer Chin is a contributing editor for TMCnet. To see more of his articles, please visit his columnist page.
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