New report outlines advantages of VoIP over traditional telephony

The use of a voice over internet protocol (VoIP) solution allows businesses customers to take advantage of a number of advanced features that offer a superior edge over traditional telephony systems.

That is the verdict of a new report from Frost and Sullivan, which claims that VoIP has managed to successfully move from being an initial phase into being something far more developed.

There has been a growing acceptance of Internet protocol (IP)-based communications within many enterprises, which in turn has led to a much greater uptake.

Analysis from Frost & Sullivan, North American VoIP Access and SIP Trunking Services Market research, found that the market saw revenue reach $2.83 billion (£1.70 billion) in 2013 across North America alone.

The report adds that it expects that figure to rise to as much as $9.35 billion by the year 2019.  

Frost & Sullivan Information and Communication Technologies Industry Analyst Michael Brandenburg, said: “Businesses are transitioning from legacy private branch exchange systems to IP-based unified communications platforms, and as such, are looking to VoIP access and SIP trunking services to complement these new platforms.

“Likewise, VoIP and SIP trunking offer business recovery and mobile features that are simply not available on more traditional telecommunications services.”

However, hosted or cloud-based unified communications (UC) services still often offer a great alternative to on-premises UC platforms, effectively shutting VoIP access and SIP trunking services out of consideration in several North American firms.

There is also a lack of customer awareness on the benefits that come with an IP-based trunking service; something which still poses a challenge for many providers.

“Service providers need to provide a wide range of value-added services to attract customers while holding the line on pricing,” suggested Mr Brandenburg.

He added that many customers are still trying to establish whether they should keep their communications platform on-premise, or move to an offsite model.