Demand for VoIP services on the rise, says report

Demand for VoIP hardware rose during the third quarter of the year across almost all segments of the industry, according to a new study.

Analysis by Infonetics Research put the value of the VoIP equipment market at $511 million (£320 million) between July and September.

This was down by nine per cent on the preceding three months.

The company said this decline was largely down to suppliers being willing to "push the pricing limits" in order to land big accounts from expanding markets.

Principal among these was China, which experienced very strong demand for VoIP solutions during the third quarter as it took on a number of "large network transformation projects".

Diane Myers, directing analyst for VoIP and IMS at Infonetics Research, said: "Looking at the long-term prospects, the network elements that are best poised for solid growth are those that facilitate the migration to all-IP networks."

In related news, Sean Finney of United Data Voice recently told Business News Daily that VoIP has established itself as the preferred alternative to traditional telecoms because it is a scaleable system that allows companies to "do the things we've done before, but better and cheaper".