IP Telephony Market Rising New Business Opportunities for Investors (2021-2030)

Surge in adoption by businesses, low costs of IP telephony systems, and ease in integration drive the growth of the global IP Telephony Market. However, requirement of stable & reliable internet connection and poor voice quality hinder the market growth. On the other hand, integration of 5G technology in IP telephony systems presents new opportunities in the coming years.

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Based on end user, the corporate segment contributed to the largest share in 2020, accounting for around three-fifths of the global IP telephony market, and is projected to maintain its lead in terms of revenue during the forecast period. This is attributed to cost effectiveness in implementation as IP telephony offers lower overall costs in comparison to traditional phone carriers. However, the residential segment is expected to portray the largest CAGR of 18.0% from 2021 to 2030. This is due to enabling users to make calls through the internet rather than having to rely on traditional landline or cell phones.

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Based on offering, the solution segment accounted for the highest share in 2020, holding more than two-thirds of the global IP telephony market, and is expected to continue its leadership position during the forecast period. This is due to customers availing new ways to communicate with merchants and customers to expand their customer base and utilize their mobile devices to communicate. However, the services segment is estimated to manifest the fastest CAGR of 15.5% from 2021 to 2030, owing to increase in preference for VoIP phone services over traditional phone lines.

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Based on region, Asia-Pacific, followed by Europe and North America, held the largest market share in 2020, contributing to more than one-third of the global IP telephony industry, and is expected to maintain its dominance by 2030. Moreover, this region is expected to register the fastest CAGR of 16.3% from 2021 to 2030.

This is due to investments by businesses, especially those in the more advanced markets, in IP telephony solutions and upgrades that can be integrated with unified communications (UC) applications. The research also analyzes regions including North America, Europe, and LAMEA.

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Covid-19 Scenario

  • During the Covid-19 pandemic, the mobile IP telephony apps became increasingly popular in different industry verticals. For instance, doctors and healthcare professional benefited considerably from the usage of mobile IP telephony applications in offering consultation, providing training, and conducting meetings.
  • Moreover, the education sector utilized the IP telephony infrastructure considerably to facilitate video calling for online classrooms.
  • The commercial sectors enabled employees with IP video telephony to work from anywhere at any time and utilize remote access technologies. This enabled flexibility and helped employees in enhancing their work quality and productivity.

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