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VoIP becomes a mainstream technology

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CIOL Bureau
New Update

MUMBAI: Benefiting from the continued trend toward voice over Internet protocol (VoIP) deployments, the global VoIP monitoring/management market developed significantly over the year 2005.

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One of the most notable developments in the world VoIP monitoring solution markets over the past 12 months has been the final acceptance of the technology not only by service providers and carriers, but also by large and medium enterprises. With respect to revenue opportunities, although all end-users segment hold considerable potential, it is the telecom and cable end-user segments that are likely to offer the maximum opportunities in the future.

New analysis from Frost & Sullivan World VoIP Monitoring Solutions Markets, reveals that revenues in this market totaled $99.3 million in 2005 and can reach $513.5 million in 2012.

Over the past year, VoIP has increasingly become a mainstream technology and the resultant increase in VoIP deployments is proving a major driver for the growth of the global VoIP monitoring solutions markets. VoIP creates additional pressure on service providers to buy scalable solutions for monitoring and working on customer care and quality issues, as they attempt to balance operational excellence with great customer loyalty. Hence, as service providers, carriers and enterprises continue to deploy VoIP, their demand for monitoring solutions will also witness an increase.

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"Presently VoIP deployments are growing along the dimension of geographic expansion and Frost & Sullivan expects carriers to build their geography over the next couple of years and then begin adding more subscribers on that infrastructure," notes Frost & Sullivan Industry Manager Jessy Cavazos. "This means that carriers will require more network equipment and also additional capacity to monitor those subscribers, thereby translating into more demand for VoIP monitoring solutions."

Nevertheless, the rapid developmental pace of triple play offerings is proving a challenge for not only telecom and cable operators, but also for test vendors. Triple play involves a multitude of transport, signaling and application technologies, and the convergence and co-existence of various communications technologies is a significant market challenge. While this translates into greater demand for sophisticated monitoring/management solutions, developing such solutions and bringing them to market in a timely manner and at the right price is likely to be extremely challenging for test vendors.

Also, research indicates a significant gap between orders received by vendors and the actual revenues they realized in 2005. This is primarily due to the long deployment cycles of service providers and carriers, especially in the hardware-based VoIP monitoring solutions market.

© CIOL Bureau

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