IP telephony market forges ahead

01/11/06

The market for IP telephony is growing fast and expected by experts to make up the majority of telephone lines by 2010, according to a study by Arthur D Little that says the greatest potential for IP-based telephone service is in providing integrated data-voice solutions that increase worker productivity and efficiency.

PBX will make up 23 per cent, IP Centrex will account for 20 per cent and Mobile PBX will have 12 per cent of the entire business telecom market by 2010 at existing growth rates.

Dr Karim Taga, director of TIME telecom practice at Arthur D Little said: "The rapid adoption of IP-based telecoms solutions is being driven by an increasing corporate focus on cost-savings, outsourcing and maximizing the value of a growing mobile workforce."

Countries with high broadband penetration are predicted to adapt IP-telephony technology services faster than other countries.

The variety of options makes it hard for companies to decide where they should do business, but the clear winner will be the IP telephony company that is aggressive in their campaign for clients and offers the most attractive bundles, says the study.