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Mobile VoIP Market Enjoys New Growth Period

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September 24, 2009

Mobile VoIP Market Enjoys New Growth Period

By Marisa Torrieri, TMCnet Editor

Until recently, mobile VoIP has largely been used by a select few consumers to reduce long-distance mobile calling, and because of this, mobile operators have hesitated to roll out mobile VoIP on their 3G networks.
But a new report from market research firm In-Stat (News - Alert) – “Mobile VoIP Transforming the Future of Wireless Voice” – predicts that by 2013, mobile VoIP applications will generate annual revenues of $32.2 billion, driven by more than 278 million registered users worldwide.

The transition to mobile VoIP is expected to accelerate with the launch of new, 4G wireless networking technologies such as LTE (News - Alert) and WiMAX. Once major wireless providers speed up their roll out of these faster, higher-capacity next generation networks, layered onto their existing networks, mobile VoIP will start to replace legacy cellular voice technologies, not just for long distance, but for all calling.
“While Mobile VoIP still poses a direct threat to operator voice revenue, it also represents a dynamic new capability that promises numerous applications,” In-Stat stated in its release.

“Applications such as Skype and Vonage (News - Alert) have influenced users to think of voice as a data application,” said In-Stat analyst Frank Dickson in a press release. “The increasing penetration of Wi-Fi in mobile devices was the beach head that Mobile VoIP applications needed. As user habits are being shaped by rich on-line communication experiences, mobile carriers control over devices and data applications is waning. Mobile carrier attempts to slow the spread of on-line Mobile VoIP are proving challenging as well.”

The In-Stat report, which also covers the worldwide market for mobile VoIP, finds that the activities associated with early mobile VoIP successes “are likely to influence LTE operator voice plans in ways that potentially favor IMS.” Additionally, dual-mode handsets will approach nearly 400 million units shipped in 2013.

And since Mobile VoIP is the backbone of mobile unified communications, be on the lookout for a slew of vendor announcements.  
D2 Technologies (News - Alert), a provider of embedded IP communications software platforms, has been making news for its “vPort” embedded Voice over IP software product, designed for original equipment manufacturers and original design manufacturers to quickly and cost-effectively develop robust VoIP devices for consumer, enterprise and service provider networks. 
In September, the company announced it now supports a line of energy efficient processors from Cavium Networks, a provider of semiconductor products that allow processing for networking, communications, wireless, video and security applications.
With the combination of D2 Technologies‘ vPort embedded IP communications platform and Cavium’s ECONA processors, OEMs and ODMs get a cost-effective way to deliver new customer premise equipment offering voice, video and data capabilities, the companies said.

Marisa Torrieri is a TMCnet Editor. To read more of her articles, please visit her columnist page.

Edited by Marisa Torrieri

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