HomeAbout Eastern ManagementNewsContact UsOur Products & Services
News > 70% of Network Traffic Will Be SIP by 2020

70% of Network Traffic Will Be SIP by 2020

2/24/2017
Robust Sales of SIP Will Continue for Many Years Finds New Eastern Management Group Research
 
More than 60% of companies already use SIP for communications, according to a new global study by the Eastern Management Group. And while the number of businesses that use SIP will continue to increase, even after 2020, so too will the amount of SIP used by each customer.
 
A study of 3,500 IT managers was done by the Eastern Management Group in January 2017. It shows the worldwide market for SIP, including SIP trunks, phones, SBCs, and applications like messaging and video, is growing. And for the next 5-years, SIP is expected to grow faster than overall IT expenditures worldwide.
 
“Many factors are propelling the SIP market forward,” says John Malone who headed the Eastern Management Group research study. “Everyone is using it, not just in America and Europe, but worldwide. SIP has been cutting CIOs’ networking costs by 50%, and it’s more versatile than traditional networks. Also, since there has been a 500% growth in hosted PBXs in the past few years, more SIP phone and trunk sales are pulled along.”
 
The rapid roll-out of SIP, and its acceptance by CIOs globally, is speeding up the timeline for turning off the PSTN, by incumbent carriers in the US, UK, Germany, Japan and elsewhere, reports the Eastern Management Group. This is welcome news for providers of SIP trunks, phones, session border controllers, and services. 
 
Young phone vendors like Grandstream and Yealink, have catapulted to the number two and three market share spots, because of SIP. More than 100 SIP trunk providers are also well positioned; many of them are newer companies too.
 
SIP trunking has not only been a good business for large service providers like AT&T, BT and NTT. It has awakened CIOs to many newer full service companies like Tata, Flowroute, and Twilio.
 
Not only are there are many years of sales opportunity ahead for providers of SIP, there’s room to double the number of vendors worldwide, says Malone, who expects that will happen.

About The Eastern Management Group
The Eastern Management Group is a global communications research and consulting company.  Since its founding in 1979, the Eastern Management Group has focused on product, vendor, and customer, primary research studies. 
 
Contact
The Eastern Management Group
John Malone +1 212 738 9402 Ext. 2201
jmalone@easternmanagement.com
www.easternmanagement.com
 
 


Latest newsRSS
© 2018 The Eastern Management Group, Inc. | Home | About Eastern Management | News | Contact Us | Services | Login | Sitemap