The Great Majority of VoIP Growth Will Come From mVoIP Providers

Wednesday 12 November 2014, Amsterdam

Since 2011, the VoIP market has changed drastically due to the introduction of highly innovative and effective mVoIP applications. Thanks to these, the global VoIP market has seen a radical increase in the number of subscriptions, especially since 2011 when various applications were commercially launched in the APAC region.

However, the drastic increase on the number of VoIP subscriptions brought by these mobile applications has not yet achieved a sustainable revenue growth, as they lack credible monetisation models and are expected to face severe competition from all around the industry. Until now the mVoIP market has been in a race to the bottom in which the effectiveness of the market is measured in terms of active subscribers but not in terms of revenues.

However, mVoIP providers have been able to disrupt the global telecommunications market by providing not only free OTT services, but also platforms that create higher customer engagement and provide more diverse revenue opportunities than standard voice and SMS services.

Contrastingly, static VoIP operators have not seen such a dramatic change in their number of subscriptions. Instead static VoIP market size and revenues have been growing at stable and healthy rates. But more importantly, this submarket is responsible for more than 96% of global VoIP revenues and are expected to grow steadily in the next five years.

Due to the current disruption that telcos face all around the world, the new report expects incumbent operators to struggle at competing directly with OTT providers. This can be witnessed in the way telcos are applying pressure to create regulatory changes against OTT providers. One of these battles is being fiercely fight in the US as ISPs look to create a two tier internet whilst internet companies fight back against this anti-competitive initiative. On the contrary, more forward looking telcos will understand the importance of embracing OTT providers and cooperating with the disruptors, in order to improve their service offerings and stop the erosion of ARPU. Others, especially those operators in the most developed markets will compete directly by offering VoLTE as the only way to increase ARPU and restore their lost market share from OTT providers.

Overall, the global VoIP market is far from reaching maturity as in reality there are only 10 countries in the world which one could be characterised as mature VoIP markets.

The Voice over Internet Protocol (VoIP) Market Forecast 2014-2019: Prospects for Mobile (mVoIP) vs. Static VoIP report analyses the prospects for this market globally and regionally. Our forecast is based on the expected number of global static and mobile VoIP subscriptions, each submarket with its own set of drivers and barriers to entry. The products and strategies of 11 leading static and 5 leading mVoIP companies are described and assessed. This report contains 112 unique charts, figures, and tables that quantify and qualify this market, with complete regional segmentation for the static VoIP market. Additionally, this report analyses OTT players, their consequences for the global telecoms market and how telcos are expected to respond to these disruptive competitors (including an introduction to VoLTE).

 

The 163 page report contains

112 tables, charts and graphs that add visual analysis in order to explain developing trends, drivers and restraints within the Global VoIP Market. 


The new report provides:

• Critical analysis of the mVoIP market with specific focus on the main mVoIP providers, their market share and revenue models
• Analysis of the VoIP technology, its benefits and disadvantages to consumers and to the overall industry
• Overview of the role of OTT providers in the dramatic change in the telecoms industry
• Analysis of the penetration of static VoIP subscriptions in the ten most important VoIP markets coupled with their drivers and restraints

Global Forecast for the VoIP market, its 2 submarkets and 5 regional markets for static VoIP:

•  Global Forecast of the mVoIP subscriptions and revenues, with specific focus on the 5 most important mVoIP providers
• Forecast of the revenues coming from static VoIP services for 2014-2019
• Global Forecast for connected mobile devices between 2014-2019