A VoIP phone number is fundamentally analogous to the other…
VoIP Adoption – How Big is the Market?
Posted on: 2018-11-09 | Categories: VoIP Services
VoIP has been around long enough that it is familiar to many people, especially in a business context. Quite a few organizations have been using this technology for years. It is the basis for most unified communication suites. The VoIP industry has matured in many ways. Still, the pace of innovation has not slowed.
In spite of these advances, there is a significant number of companies who have not yet upgraded to VoIP. Some are yet to do so because they don’t understand all the potential benefits. Others are afraid that it would become too expensive. Some organizations also have concerns about quality, security, and privacy.
On the one hand, there are companies who are pushing the boundaries of what VoIP can do. On the other, we can also see organizations who don’t use any form of VoIP. This presents an excellent opportunity for providers and manufacturers in the VoIP industry.
What is the size of the VoIP market? How much will it grow in the coming years? What factors will drive adoption? Many entities are interested in the answers to these questions.
Size of the VoIP Market and Future Growth
There has been a lot of research on the size of the VoIP market – both at the regional and global level. Industrialized nations like the US, Canada, and European countries have the largest markets. But countries in other regions – mainly Asia – are quickly catching up. A recent report estimates that the industry will see strong growth, all the way through 2024. The experts predict that the global VoIP services market will have a value of $190 billion by then.
Factors Driving VoIP Adoption
VoIP adoption is growing at a fast pace. But the reasons for growth vary across countries. In mature markets like the United States and the UK, use of mobile devices is driving adoption. Businesses expect employees to stay in touch at all times. Traveling or working from home shouldn’t mean you can’t take calls. That requires a portable and mobile communication solution like VoIP.
In the developing markets, adoption is increasing because of better Internet speeds. Many businesses hesitate to adopt VoIP because it needs Internet access and bandwidth. Asian countries are catching up to other countries. So, companies are now interested in adopting VoIP. Vendors have learned from the mistakes made in mature markets. This gives them an advantage in newer markets.
Corporate Versus Individual Users
When it first launched, VoIP was more like a toy. Something for the experts to play with. Consumers became interested as the technology could offer free or inexpensive long-distance calls. Businesses have lagged behind in VoIP adoption for many reasons. But they are now making up for lost time. Research shows that corporate use will overtake retail use soon. They will become the biggest segment by 2024.
On a related note, international call volume will grow quite a bit over the next few years. Increasingly, such calls are becoming inevitable for organizations of every size. Even a small business may have partners across the globe. They work with people in different countries. Unsurprisingly, international calls will grow faster than other the call types.
Small Business VoIP Solution
VoIP solutions come in a variety of flavors. Businesses have many alternatives to choose from. Do you want to run your own system or use hosted services? Quite a few organizations had started out with their own custom deployments. Some are moving towards purchasing hosted services. They have realized that cloud-hosted service providers offer better value. It is better to use the experts than trying to do everything themselves.
It is no wonder that small business VoIP solutions will witness high growth in the future. Providers in this segment face stiff competition. This drives down prices, making VoIP accessible to entrepreneurs, startups, and even freelancers. In addition, these vendors also offer innovative features. These tools were once considered luxuries by smaller companies.
Small business owners realize that VoIP provides a strategic advantage over the competition. In a global market, every organization depends on communication to stay ahead. Hosted VoIP solutions offer flexibility, scale, and features at affordable prices. VoIP even makes it easy to switch between vendors! This is a choice many businesses didn’t have before.
Furthermore, these vendors free business owners from having to maintain their own systems. Security updates, software patches, and feature upgrades will roll out on time. Best of all, you don’t need any fancy equipment to use VoIP. A few computers, SIP phones, and even mobile devices are all you need! The VoIP market is huge. It has the potential to grow much more as well. It looks like the PSTN won’t be around for much longer.