Sunday, June 7, 2009

Infonetics: Strong Quarter for IMS, Steep Decline for Carrier VoIP

Most large Tier 1 service providers are coming to the end of major VoIP projects, and given current access line declines and fixed-to-wireless substitutions, most ILECs and PTTs have put PSTN migration plans on hold and will reassess after the economic storm has passed, according to a newly published report from Infonetics Research. However, worldwide sales of IMS (IP multimedia subsystem) equipment, including HSS (home subscriber servers), CSCF servers, and voice application servers, are forecast to jump 74% in 2009 over 2008. Infonetics' IMS Deployment Tracker shows Ericsson, Alcatel-Lucent, Nokia Siemens, and Huawei leading the way with core IMS equipment.

"The service provider VoIP equipment market had a rough first quarter across all product segments and regions, declining 29% sequentially in worldwide revenue. The market pause for VoIP equipment is being exacerbated by the global economic downturn as service providers put VoIP equipment purchases on hold. We are beginning to see a noticeable shift in spending from stand-alone VoIP networks to IMS deployments. While the core IMS equipment segments, CSCF and HSS, are still small compared to the service provider VoIP market, deployments remain strong in EMEA and Asia Pacific. The core IMS equipment market had an impressive quarter with $63.7 million in revenue," said Diane Myers, Infonetics Research's directing analyst for service provider VoIP and IMS.