IP Telephony Market: Recent Trends

VoIP (Voice over Internet Protocol), or IP telephony,sway the customers to their side.
has become a widespread means of communicationThe global VoIP market is expected to reach $3.3
today. While earlier this was the choice of only abillion by 2010. It is increasingly becoming an
select few, people are now increasingly adopting VoIPindispensable tool for businessmen because it provides
solutions. The number of players in this field has gonecost savings, excellent coverage of voice and data,
up substantially and will continue to increase. Theand better communication. In a recent study, the VoIP
heavy competition prevalent in the IP telephony marketmarket was divided into three groups, namely VoIP
has driven service providers to slash their prices andover VPN, VoIP real-time QoS bandwidth, and hosted
offer a wide range of features.VoIP.
IP telephony uses packet-switching protocol to transmitMulti-national companies use VoIP over VPN (Virtual
voice signals over broadband lines instead of thePrivate Network) to eliminate long distance toll charges
conventional circuit-switching network. Analysts havefor communication between different sites. Healthcare
predicted that when unified messaging services that(telemedicine) and broadcasting enterprises use VoIP
include voice mail, email, faxes, and pages are coupledreal-time QoS bandwidth to provide real time audio
with IP telephones, it will propel the market to incredibleand video data transfer. Hosted VoIP enables
heights.enterprises to save on upgrades and capital
Analysts have further predicted that by 2009, there willexpenditure.
be over 155 million business IP endpoints in operation,The growth of VoIP shows immense potential to
and over 37% of these will be wireless. By 2009, 73%influence the telecommunications market and bring
of customers the world over will be using a wirelessabout a radical change.
handset. The wireless IP end points hold the key to