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Small Businesses Continue to Fuel Hosted VoIP Market


SCOTTSDALE, Ariz., January 10, 2007 - Hosted VoIP telephony has experienced another year of steady growth, as the small business market continues to be the sweet spot with most deployments in the 20-to-50 seat range, reports In-Stat ( Hosted VoIP will continue to experience dynamic growth over the next few years, with projected revenues exceeding $2 billion by 2010, the high-tech market research firm says.

“As business managers assess their resident ability to deploy and manage enterprise-like VoIP services, many are finding themselves lacking the capital and expertise required,” says David Lemelin, In-Stat analyst. “As a result, hosted VoIP solutions are becoming more attractive.”

Recent research by In-Stat found the following:

* In-Stat projects US hosted VoIP seats in service will continue to grow steadily to over 3 million in 2010, up from 373,000 in 2006.
* Cost savings remains the primary attraction to hosted VoIP solutions, but the value associated with business-grade solutions is resonating more strongly among businesses that are willing to pay for them.
* Multi-location businesses and those with mobile or distributed employees are most attracted to hosted VoIP solutions.

Recent In-Stat research, In-Dustry Update: Hosted VoIP: Steady Growth, But Will the Boom Come? (#IN0602938BD, discusses factors driving adoption of hosted solutions, including mobility convergence and the integration of features and business processes. Differences in service provider perspectives, sales channel strategies, and approach to the market are also reviewed. A 2005-to-2010 forecast for US hosted VoIP seats in service, and revenue for hosted VoIP solutions is included, as well as a 2005-to-2010 worldwide seats in service forecast.

For more information on this research or to purchase it online, please visit: or contact a sales representative: Eastern North America: Tina Sheltra, 480.609.4531; Western North America: Erin McKeighan, 480.609.4551; Outside of North America:

The price is $2,495 (US).

This research is part of In-Stat’s Business IP & Managed Services Service. It contains research & analysis of business demand, drivers, & revenues for network services & the migration to IP-based services & convergence in particular.

Related Research Includes:

In-Sights: The Wide Ranging Nature of Business VoIP Adoption:

In-Sights: Business End-User Behavior Coming Into Focus:


* Title: In-Dustry Update: Hosted VoIP: Steady Growth, But Will the Boom Come?
* Service: Business IP & Managed Services
* Product Number: IN0602938BD
* Publication Date: December 2006
* Number of Pages: 22
* Price: $2,495 U.S. Dollars
* Abstract, Table of Contents, Figures & Tables
* Members Only Access: Full text HTML , PDF

Market Research from In-Stat

In-Stat offers a broad range of information resources and analytical assets to technology vendors, service providers, technology professionals, and market specialists worldwide. The company stands alone in its ability to integrate both supply-side and demand-side research methodologies into a single comprehensive view of technology markets and products. This capability relies on a unique ability to cover the entire value chain from engineering-level technology, through equipment, infrastructure, services and end-users.

In-Stat is a strategic segment of the $8 billion Reed Elsevier global information network, with access to an expansive worldwide electronic network, extensive technology databases and well-informed personnel. In-Stat analysts gain exceptional insight into geographic market places and specific technologies within markets such as electronics, cable and wireless. As a member of Reed Business Information, In-Stat is a division of the largest business-to-business publisher in the U.S.


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