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North American Conferencing Service Provider-based Videoconferencing Services Market Grows as Managed Services Gain Momentum Finds Frost & Sullivan - New analysis from Frost & Sullivan, North American CSP-based Videoconferencing Services Market, finds that the market earned revenues of over $184.2 million in 2009 and expects it to earn $599.6 million in 2016
North American Conferencing Service Provider-based Videoconferencing Services Market Grows as Managed Services Gain Momentum Finds Frost & Sullivan

 

PRZOOM - /newswire/ - Mountain View, CA, United States, 2010/05/17 - New analysis from Frost & Sullivan, North American CSP-based Videoconferencing Services Market, finds that the market earned revenues of over $184.2 million in 2009 and expects it to earn $599.6 million in 2016.

   
 
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In 2009, the North American Conferencing Service Provider (CSP)-based videoconferencing services market saw a healthy revenue growth rate of 18 percent, reaching $184.2 million, largely driven by a 26 percent increase in managed services revenues. The overall growth would have been higher but for the economy, which forced enterprises to hold back from more pervasive videoconferencing rollouts.

Managed services have become an attractive option for companies that have deployed on-premises videoconferencing solutions and are looking to outsource the management function. Though cautious enterprise spending will be the new normal, managed services have gained a degree of indispensability that would help sustain the growth momentum over the coming years.

New analysis from Frost & Sullivan (conferencing.frost.com), North American CSP-based Videoconferencing Services Market, finds that the market earned revenues of over $184.2 million in 2009 and expects it to earn $599.6 million in 2016.

If you are interested in more information on this study, please send an email to Jake Wengroff, Corporate Communications, at jake.wengroff[.]frost.com, with your full name, company name, title, telephone number, company email address, company website, city, state and country.

"Key technology advancements have enabled videoconferencing to gain significant traction over the past 10 years. However, it remains a very complex technology to implement and manage," says Frost & Sullivan Industry Analyst Subha Rama. "There is a huge untapped market opportunity for managed services as companies that have deployed videoconferencing on premises are finding the complexities associated with managing and using the technology to be challenging."

The videoconferencing services industry, despite good growth posted in 2009, is far from reaching critical mass. In the past, growth was restricted in because of interoperability issues between different vendor products and across disparate networks, and due to high network-redundancy requirements. In addition, many organizations do not have the necessary tools to diagnose the reasons behind failed videoconferencing sessions or perform in-call, real-time monitoring and troubleshooting functions.

"The use of videoconferencing is definitely moving beyond the enterprise as companies strive to establish cost-effective and seamless communication with their customers, partners and suppliers," says Rama. "However, because of conference management and firewall traversal issues, enterprises are looking for intermediaries that have the capability to connect their conferencing systems with external parties." Companies deploying telepresence are now acutely aware that the technology is extremely bandwidth-intensive.

Managed service providers (MSPs) offer managed video networks, addressing organizations that need end-to-end management. Many of the large service providers also offer B2B exchange services, connecting endpoints across networks and executive rooms. Growing adoption of high-definition (HD) video also creates a more distributed network demand and the need for managed services in order to ensure their interoperability with legacy systems.

MSPs are fast accruing capabilities that help resolve issues related to integration, interoperability and network management. The role of MSPs is extending beyond the planning, installation, and integration phase to maintenance and management, as enterprises take videoconferencing outside their corporate firewalls to communicate across the public Internet and external private networks. MSPs have also ushered in greater efficiency in service provisioning through increased automation, thereby reducing cost to the customer and creating a compelling value proposition for managed services.

North American CSP-based Videoconferencing Services Market is part of the Conferencing & Collaboration Growth Partnership Services program, which also includes research in the following markets: World Videoconferencing Endpoints Market, World Web Events Services Markets, North American Audio Conferencing Services Market, and World Videoconferencing Infrastructure Systems Market. All research services included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants.

About Frost & Sullivan

Frost & Sullivan, the Growth Partnership Company, enables clients to accelerate growth and achieve best-in-class positions in growth, innovation and leadership. The company's Growth Partnership Service provides the CEO and the CEO's Growth Team with disciplined research and best-practice models to drive the generation, evaluation, and implementation of powerful growth strategies. Frost & Sullivan leverages over 45 years of experience in partnering with Global 1000 companies, emerging businesses and the investment community from 40 offices on six continents.

North American CSP-based Videoconferencing Services Market / N72D

 
 
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North American Conferencing Service Provider-based Videoconferencing Services Market Grows as Managed Services Gain Momentum Finds Frost & Sullivan

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