February 24, 2010
IP Telephony Market to Stabilize in 2010: Report
By Anshu Shrivastava, TMCnet Contributor
After almost two year of steep revenue declines, the total carrier IP telephony market is expected to stabilize in 2010, according to a report by Dell’Oro Group, a source of information about the networking and telecommunications industries.
The housing market is showing signs of improvement, and this may accelerate the growth of voice-over-IP subscribers during 2010, according to the report. In addition, aggressively priced bundled service offerings from service providers are also expected to help in acceleration of VoIP subscribers this year.
Dell’ (News - Alert)Oro’s report says that the improved economic conditions are likely to bolster network modernization projects. These projects were deferred during the recession and associated economic uncertainty. Moreover, the market is expected to contract slightly in 2010 due to price declines despite expected increases in equipment shipments, according to the report.
Beyond 2010, the group forecasts the market to grow in the low single-digits through 2014, said Greg Collins, vice president at Dell’Oro Group.
Collin said that the future growth in broadband subscribers will likely be boosted over the next five years by government initiatives, including the National Broadband Plan in the United States, which will target greater availability and adoption of broadband services to hard-to-service customers and customers who otherwise are unable to afford it.
Collins believes that the growth in VoBB services will mirror, or at least closely follow, broadband deployments. “These initiatives are not likely to affect the equipment market until 2011 as regulations and spending grants get finalized.”
The Dell’Oro Group Five-Year Forecast Report offers a complete overview of the Carrier IP Telephony industry with tables covering manufacturers’ revenue, average selling prices, license/channel shipments for softswitches, media gateways, and session border controllers.
Anshu Shrivastava is a contributing editor for TMCnet. To read more of Anshu’s articles, please visit her columnist page.
Edited by Erin Harrison














