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JupiterResearch Anticipates
Substantial Growth in VoIP Telephony Market
Other topics: Cable Telephony
Capabilities, VoIP Service Provider
BUSINESS WIRE
May 7,2007
New York, NY -- JupiterResearch, a leading authority on the
impact of the Internet and emerging consumer technologies on business,
projects that the Voice over Internet Protocol (VoIP) telephony market
will top 25 million US households by 2012, driven by greater broadband
subscribership and the expansion by cable operators into new markets.
In a report titled, “US Broadband Telephony Forecast, 2007 to 2012:
Cable MSOs assert their dominance in the VoIP market,” JupiterResearch
found the ability to successfully bundle broadband telephony with
other relevant services will continue to drive consumers’ adoption of
cable-based VoIP, which currently accounts for 71 percent of the VoIP
telephony market. |
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According to the study,
growth in cable-based VoIP will drive the market going forward. After
more than 10 years in the telephony business, cable operators have
finally struck a chord with consumers, as demonstrated by the
acquisition of about 3.6 million new VoIP telephony customers in 2006.
“Aggressive marketing of double- and triple-play options, coupled with
troubles for over-the-top VoIP providers, have given cable MSOs the
upper-hand in the broadband telephony market, “said Douglas Williams,
Broadband Analyst at JupiterResearch. “The forthcoming push into the
wireless market will give cable providers the flexibility to provide
whatever multi-play option a consumer may want.”
The sufferings of Vonage, underscored by its patent-infringement case
with Verizon, indicate the over-the-top VoIP market is increasingly at
risk of becoming irrelevant. Growth of broadband connectivity, greater
availability of VoIP services, aggressive promotion of bundled
packages, and more diverse offerings at a lower cost could each play a
significant role in the eventual demise of the single-play VoIP
market.
Over-the-top VoIP providers currently add subscribers on a net basis,
but reliability and service quality offered by cable providers
threatens future growth opportunities for single-play providers,” said
David Schatsky, President of JupiterResearch. “Additionally, the
relative difference in price points for voice service is declining as
cable providers drop prices and over-the-top providers have added
regulatory and cost-recovery fees.”
The complete findings of this report and recommendations are
immediately available to JupiterResearch clients online at
www.jupiterresearch.com. For details on JupiterResearch's methodology,
visit www.jupiterresearch.com/bin/item.pl/methodology or email press@jupiterresearch.com
to request a detailed methodology statement. For additional
information on this report or JupiterResearch's Broadband research
service, visit www.jupiterresearch.com or contact Kieran Kelly, Senior
Vice President of Global Sales and Client Service, at 1-800-481-1212
or researchsales@jupiterresearch.com.
About JupiterResearch
JupiterResearch provides unbiased research, analysis and advice,
backed by proprietary data, to help companies profit from the impact
of the Internet and emerging consumer technologies on their business.
The company helps online businesses make critical decisions about
technology selection, spending, staffing, and Web site effectiveness;
advises consumer-facing companies with online advertising, marketing,
and customer service strategies to understand, attract, convert and
retain customers; and guides technology vendors and service providers
on market opportunity, positioning, product definition, and pricing.
JupiterResearch is headquartered in New York City and has offices
throughout the US and Europe. For more information, visit
www.jupiterresearch.com. |
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