VoIP Market to See Massive Growth in Coming Years
The adoption rate of Voice over Internet Protocol (VoIP) has been growing across the board for the past 20 years. Individual consumers and organizations alike have been deploying VoIP solutions as their primary communications platform or to supplement their traditional PSTN system. A new market report published by Credence Research is backing this trend, as it is forecasting the market to grow at a compound annual growth rate (CAGR) of more than 9.7 percent from 2016 to 2023.
The report by Credence Research looked at the VoIP market according to global industry size, share, growth, opportunities, outlook, analysis and forecast from 2016 to 2023.
In analyzing the market, Credence Research highlighted some important insights into the VoIP market. The firm pointed out the growth is being driven by increased awareness of VoIP technology and the many benefits it provides with comprehensive communications features for audio, data and video. This is especially the case for countries with a large customer base, including China and India, which are responsible for much of the growth in the market.
Another driver of VoIP communications is the development of collaborative environments in the workplace adopting real-time communications for video and audio conferencing.
The report is upbeat and optimistic about the VoIP market. Credence Research says, “Growing adoption of hybrid cloud-based communication model in mid- and large-sized enterprises is boosting growth of the VoIP market across the globe. Low maintenance and operational cost supplemented by minimum staff support and enhanced flexibility and scalability is expected to have positive impact on the overall market growth during the forecast period.”
Internet penetration and the use of social media across the Asia-Pacific and Latin America regions will make VoIP technology available to hundreds of millions of people. But the potential of this large customer base is tempered by the lack of efficient networking infrastructure. And until governments and operators address these challenges, growth will be hampered
The market will remain highly competitive through the forecast period. Companies are differentiating themselves by investing heavily in research and development to come up with new solutions. For service providers without the resources to invest in R&D, they are adopting a strategy of mergers and acquisitions to enter new markets, improve their geographical presence and gain access to new technologies.