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Study: Mobile VoIP CAGR to Reach 64 Percent by 2015

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June 11, 2012

Study: Mobile VoIP CAGR to Reach 64 Percent by 2015

By David Delony, Contributing Writer

The Compound Annual Growth Rate (CAGR) of mobile VoIP is forecast to be around 64 percent by 2015, a study by Reportstack finds.

“The Global Mobile Voice Over Internet Protocol Solutions market is witnessing the emergence of many new players because of the presence of several factors such as low entry costs and huge business opportunities,” an analyist from Technavio, the author of the report, said. “These new companies are trying to penetrate the market by offering low-cost communication services. This has resulted in a price war among vendors in the market and the established companies are losing their market share to the new entrants. This trend is expected to grow in the next few years with the market expected to witness the emergence of new global and regional players.”

The study covers the Americas, the EMEA (Europe, the Middle East and Africa) region and the Asia-Pacific region.

The impetus for the growth in mobile VoIP comes from the fact that since communications devices are always in use, businesses are interested in keeping costs down. One way to do that is by keeping the price of the actual calls down. Since VoIP practically eliminated the actual cost of making calls, both on mobile and the desktop, extending the technology to mobile devices is an obvious solution.

The report looks at the growth of mobile VoIP by 2015, key trends in the market and what is driving it, challenges to market growth, key vendors in the market, opportunities and threats vendors face and strengths and weaknesses of the vendors.

As with conventional VoIP services like Skype (News - Alert), mobile VoIP piggybacks on top of TCP/IP infrastructure, in this case the mobile Internet. Mobile VoIP vendors are therefore able to offer voice calls at a much cheaper rate than conventional voice services.

The major vendors mentioned in the report are Fringland Ltd., Nimbuzz BV., Skype Inc., and Vonage Holdings Corp. Additionally, the report names Vyke Communications PLC., Truphone (News - Alert) Ltd., Jajah Inc., Vopium AS.

Edited by Rich Steeves

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