From the SIP Trunking Experts

Home
July 29, 2015

Voice Core Revenues to Grow to $5 Billion by 2019


By David Delony
Contributing Writer

Share
Tweet

Dell’ (News - Alert)Oro Group has announced in a new report that spending in voice core key growth segments will reach $5 billion by 2019.


Most of this growth will come from new technologies, including IP Multimedia Subsystem (News - Alert) (IMS) Core, Voice Application Server (VAS) and Session Border Controller (SBC).

"VoLTE, Voice over Wi-Fi and NFV are the main industry drivers to the voice core market in the future," said Chris DePuy, vice president at Dell'Oro Group.  "Much of the excitement about NFV involves virtualizing the voice infrastructure market, including the functions that we expect to experience significant growth such as IMS Core, VAS and SBCs.”

As more people adopt mobile devices, they’re putting more strain on mobile networks. Carriers are struggling to keep up, which is why they’re investing in technologies like SDN and NFV. By virtualizing their network infrastructure, carriers hope to be able to deploy new features and build their networks much more quickly than having to install and wire physical networking components.

As cloud computing grew out of the virtualization of physical servers, virtualizing voice communications could lead to another revolution in telecommunications as connections are further decoupled from the underlying hardware.

Image via Shutterstock

Dell’Oro forecasts revenues in new technologies to grow as Carrier IP revenues decline. As carriers move toward virtualizing their networks, the distinction between VoIP and PSTN will probably vanish. Phone (News - Alert) networks are already digitized at central offices with the last electromechanical exchanges being dismantled in the late ‘90s.

Analog phones are mostly a legacy technology, with businesses adopting VoIP at a rapid pace and cable companies offering digital phone service along with TV and Internet.

Dell’Oro’s report covers companies such as Alcatel-Lucent, Broadsoft, GENBAND, Huawei, Mavenir, Metaswitch, Nokia Networks, Oracle (News - Alert), Sonus Networks, and ZTE. Even as the networking infrastructure changes, established companies will have the capital to handle the conversion of large networks. 




Edited by Dominick Sorrentino
Home