Tuesday, August 5, 2008

Dell'Oro Sees Gradual Migration of POTS Lines to NGN

Worldwide IP Telephony Carrier equipment revenues are projected to grow by an average of 9 percent per year through 2012, driven mostly by the expansion of voice over broadband (VoBB) services, according to the Dell'Oro Group. The report also forecasts that VoBB subscribers will grow almost 40 percent per year over the next five years.

"As service providers deploy broadband connections in order to grow their revenues via data and video services, they are offering voice services that leverage that broadband connection," said Greg Collins, Vice President at Dell'Oro Group. "These triple play (data, voice, and video) services are helping to drive voice over broadband services, which, in turn, are fueling the IP Telephony-Carrier market," he added.

The massive installed base of circuit switched telephone lines represents a tremendous market opportunity for IP Telephony equipment, but many service providers struggle to find a business case for replacing their legacy, class-5 switches.http://www.delloro.com

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