The Unified Communications as a Service (UCaaS) market is set to expand by 2024 due to increased enterprise mobility, according to a new report.
Conducted by Transparency Market Research, the report said UCaaS was an emerging technology that has rapidly garnered a lot of attention from developer communities and enterprises.
The report added that the global UCaaS market is “poised to witness a significant rise in demand for UCaaS solutions from enterprises and businesses keen on increasing the efficiency of existing processes”.
According to the researchers, the value of the global UCaaS market stood at US $8.23 billion (£6.34 billion) in 2015 and is projected to expand at what it called an impressive compound annual growth rate (CAGR) of 29.4 per cent from 2016 to 2024 to reach US $79.3 billion (£61.1 billion) by the end of the forecast period.
The report also found that by deployment model, hosted UCaaS solutions led the market in 2015 and it is expected to remain this way until 2024. This is largely due to the rising adoption of Internet Protocol (IP) telephony across the world.
Adoption of UCaaS solutions across various industries has been found to be down to the low total cost of ownership (TCO) and major advancements in cloud communication platforms.
Telephony services emerged as the key contributor in the UCaaS market, according to the report. The segment is expected to continue its lead through 2024 thanks to the growing adoption of hosted telephony as a part of enterprise UCaaS solutions.
It was also revealed that in terms of delivery model, stand-alone services led the UCaaS market in 2015. However, it also found that by 2024, the revenue generated by the integrated services segment is expected to surpass that by stand-alone services.
Rising demand for integrated services across various businesses is thought to be responsible for this shift.