The VoIP market is expanding rapidly across the globe. This development enables more connectivity and better global communication, and offers numerous business opportunities for VoIP service providers.
So, VoIP market growth is a good thing, but what’s driving the VoIP market?
Cost Effectiveness and Increasing Demand.
As is the case with many tech advancements, the transition to VoIP is largely powered a convergence of falling costs and rising demands. It’s estimated that small businesses could save as much as 45% by transitioning away from TDM, to VoIP services.
The cost effectiveness of VoIP is especially attractive to businesses with mobile workforces. Offices with fixed landline phones are becoming antiquated. More and more business is being done remotely using laptops and smartphones.
This shift to a more mobile workforce is creating a wide demand for more VoIP-based communication and collaboration platforms. With the capability to initiate calls over wireless and cellular networks, VoIP solutions that meet the needs of the mobile workforce are more available and affordable than ever, which is a huge contributor to market growth.
Growing Consumer Bases in Emerging Economies.
The VoIP market also benefits from new global markets that are opening up as economies and infrastructures around the world improve. Countries with emerging economies like China and India are quickly improving their communications infrastructures, which provide access to VoIP solutions for massive pools of new potential consumers.
In tandem with these economic and infrastructural improvements, many of these new markets are also pushed toward VoIP platforms by heavy taxation and regulation of traditional phone calls that does not apply to VoIP services. In response to this lopsided regulation approach, consumers and businesses have shifted to instant communications platforms like Skype and WhatsApp for voice communication.
Whether it’s intentional or unintentional, this regulatory funneling is most prominent in the Asia Pacific region. VoIP is expected to be adopted the fastest in Asia Pacific countries, with a CAGR of over 23% between 2016 and 2024.
Overall, the VoIP market is driven by the capability and flexibility of VoIP technology to facilitate core business processes at lower costs than pre existing solutions and the abundance of new markets and subscriber bases with very little market penetration. These two factors set the VoIP market up for explosive growth over the next decade, and offer numerous opportunities for entrance into the VoIP communications sector.
Telnyx provides VoIP communications through a global IP network built on a private fiber optic backbone and tier-1 interconnects for clear and jitter-free voice communications. Contact our customer success team to learn more.
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