The Internet has emerged as a vital medium of communication – in the form of both messaging and voice calls. It is in the context of voice calls that VoIP (voice over internet protocol) has gained popularity. Due to the higher adoption of smartphones and VoIP’s cost-effectiveness, the VoIP services market has grown substantially. And with improvement in infrastructure, demand for affordable communication services, and the transition of the market from circuit switched to packet switched networks, the global VoIP services market is poised to grow a CAGR of around 11% by 2020.
What’s trending in the VoIP market?
To begin with, as businesses go global, there is a continuous need for them to stay connected in a cost-effective manner, which can easily be achieved through video conferencing. Because video conferencing reduces travel costs, allows sharing of important documents without the need for printouts, and enables the building of professional relationships, it is the most sought after means of communication for organizations across the globe.
Another key trend that is fuelling the growth of the VoIP market is the increased adoption of cloud-based technology. This technology eliminates the need for dedicated servers for VoIP networks. Instead, it allows automated calls and connections, and in some organizations these calls are recorded on the cloud itself. Cloud-based technology also provides scalability in terms of both number of users and number of lines used, and provides tax benefits to buyers through the easy conversion of CAPEX to OPEX.
Currently, the use of SIP trunks – a VoIP service which uses SIP to deliver telecommunication services and unified communications to those who possess SIP-based PBX and unified communication facilities – has become a trend. SIP trunks is not only easy to implement, but also enables the transfer of all types of media over voice. Additionally, the fact that SIP trunks supports both IP and conventional telephone systems and is scalable makes it easy to adopt.
Apart from the above mentioned trends, the emergence of IoT (Internet of Things), along with the demand for low-communication services has further triggered the growth of the global VoIP market. As VoIP is an internet-based telephone system, it can easily be linked to IoT applications, thereby enabling businesses to monitor setup and disk space, and sync calendars with VoIP-enabled phones. The increased usage of mobile devices has led to greater demand for VoIP services that are mobile compatible. Mobile VoIP services aid in collaboration between multiple participants and offer benefits such as enhancement of Wi-Fi connectivity, better control over calls, and cost savings.
In spite of having so many benefits, the lack of a skilled workforce, complexities related to network security, and stringent government regulations regarding the usage of VoIP services are all major challenges faced by the industry. As the market of VoIP expands, there is a huge possibility that governments will establish industry-friendly regulations and many security issues will be mitigated.
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