VoIP Equipment Threatening Wireline Voice Service Success

While recent technology from In-Stat finds that small business spending on wireline voice services will approach $16 billion by 2015, that number may be threatened by the increased use of VoIP (Voice over Internet Protocol) services and VoIP (Voice over Internet Protocol) equipment purchases.

According to In-Stat, the figure represents near 50 percent of the entire wireline voice services spending. Small businesses that have five to 99 employees account for around half the GDP and more than half the employment in the U.S.

Among these businesses, the hospitality and food vertical will spend the most on wireline voice services, reaching $2 billion by 2012, according to In-Stat’s innovation titled, "US Business Spending by Size of Business and Vertical, 2010-2015: Wireline Voice Services.

However, wireline voice services could be hit by alternate technologies like VoIP, which reduces the costs of international long distance communications.

"Wireline voice, even though not growing in any significant way, is holding steady across all sizes of business," said Greg Potter of In-Stat. "One service segment we see that could be vulnerable due to alternative technologies like VoIP, is international long distance services. Though the total dollar spend remains high, we see negative growth over the forecast period."

In-Stat as well found that total toll-free service expenditures will increase by $134 million over the five-year forecast period. Enterprise spending in the government segment will reach $4.7 billion by 2015 during SOHO will spend $267 million on other services in 2015, which includes audio-conferencing services, outbound calling services, and pre-paid calling.

The innovation provides forecasts of US business wireline voice services spending for the 2010-15 period with detailed segmentation by product category, size of business, and vertical market.

A recent blog from TMCnet states that VoIP now has over 120 million subscribers worldwide and its growth looks set to accelerate as predictions indicate a $40 billion annual VoIP market by 2015. The findings were released by Point Topic's recent analysis.

Global growth in VoIP of 12

Point Topic’s data as well revealed a global growth in VoIP of 12.6 percent while 2010 and shows that there is plenty of headroom left for VoIP around the world.