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Advancement of Cloud Communications Gives Pause to Enterprise Communication Technology Investors
  • USA - English

Dynamic nature of software-based communications prompts vendors to improve development, sales and support initiatives, finds Frost & Sullivan


News provided by

Frost & Sullivan

Jul 28, 2015, 07:48 ET

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MOUNTAIN VIEW, Calif., July 28, 2015 /PRNewswire/ -- Businesses continue to rely on legacy premises-based assets as challenging economic conditions, as well as the success of subscription-based hosted/cloud communications solutions, have had a chilling effect on deploying new on-premises communications systems. Nevertheless, the Internet protocol (IP) migration of the remaining legacy time division multiplexing (TDM) system customer base is expected to shore up the prospects of enterprise communication vendors. They will also garner considerable revenues from developing regions such as Latin America and Asia-Pacific, the growing mid-market segment, as well as from companies looking to adopt open-standards communications platforms.

New analysis from Frost & Sullivan, Global Enterprise Communications Platforms and Endpoints Market (http://www.frost.com/nf07), finds that the market earned revenues of $11.67 billion in 2014 and estimates revenues of $11.99 billion by 2021.

For complimentary access to more information on this research, please visit: http://bit.ly/1VJbyVa  

The need to leverage unified communications and collaboration (UC&C) to augment overall efficiency, productivity and competitiveness will encourage businesses to adopt newer enterprise communications and messaging platforms, communications endpoints, media gateways and session border controllers (SBCs). Vendors can further attract customer investments by offering incentives such as price reductions, promotions and discounts, as well as options to migrate/upgrade to the latest premises-based platform releases.

"Apart from the lower prices, the availability of more telephony platform options, architectural models, and communications endpoints that address the needs of all types of businesses will lure customers," said Frost & Sullivan Unified Communications & Collaboration Industry Manager Alaa Saayed. "A growing number of organizations with aging communication systems perceive value in new systems as vendors wrap more UC&C capabilities around the IP private branch exchange (IP PBX) platforms."

Vendors expect IP line license growth not only from replacements of legacy communications platforms, but also from the replacement of first-generation IP PBXs with advanced architectures based on session initiation protocol (SIP) technologies, new middleware infrastructure, and collaborative apps.

"While enterprise communications vendors should focus considerable attention on the hosted/cloud communications space, they must also adapt their on-premises offerings and market strategies to the challenging market conditions," observed Frost & Sullivan Unified Communications & Collaboration Industry Analyst Michael Brandenburg. "There are many businesses that will persist with on-premises equipment, as well as many others that desire a hybrid communications model."

Therefore, enterprise communication vendors must provide OPEX subscription models alongside CAPEX models to deliver a wide variety of options and ultimately, stay relevant in a constantly changing marketplace.

Global Enterprise Communications Platforms and Endpoints Market is part of the Enterprise Communications (http://www.enterprise.frost.com) Growth Partnership Service program. Frost & Sullivan's related studies include: Hosted Unified Communications Buyers' Guide, Analysis of the Global Web Conferencing Market, 2015 North America Video Conferencing Services Buyer's Guide, Global Audio Conferencing Endpoints Market, among others. All studies included in subscriptions provide detailed market opportunities and industry trends evaluated following extensive interviews with market participants.

About Frost & Sullivan

Frost & Sullivan, the Growth Partnership Company, works in collaboration with clients to leverage visionary innovation that addresses the global challenges and related growth opportunities that will make or break today's market participants.

Our "Growth Partnership" supports clients by addressing these opportunities and incorporating two key elements driving visionary innovation: The Integrated Value Proposition and The Partnership Infrastructure.

  • The Integrated Value Proposition provides support to our clients throughout all phases of their journey to visionary innovation including: research, analysis, strategy, vision, innovation and implementation.
  • The Partnership Infrastructure is entirely unique as it constructs the foundation upon which visionary innovation becomes possible. This includes our 360 degree research, comprehensive industry coverage, career best practices as well as our global footprint of more than 40 offices.

For more than 50 years, we have been developing growth strategies for the global 1000, emerging businesses, the public sector and the investment community. Is your organization prepared for the next profound wave of industry convergence, disruptive technologies, increasing competitive intensity, Mega Trends, breakthrough best practices, changing customer dynamics and emerging economies?

Contact Us:   Start the discussion

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Global Enterprise Communications Platforms and Endpoints Market
NF07-64

Contact:
Clarissa Castaneda
Corporate Communications – North America
P: 210.477.8481
F: 210.348.1003
E: [email protected]

http://www.frost.com

SOURCE Frost & Sullivan

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