Global Market Insights Finds Massive Pot of Gold at End of UC Rainbow
Growth is the order of the day for the unified communications (UC) market, according to a new report from Global Market Insights. The market that was worth $34.8 billion in 2015 is expected to grow and grow steadily over the next several years, and by 2023, it's expected to reach a whopping $96 billion in overall revenue.
That growth pattern represents a compound annual growth rate (CAGR) of 13.2 percent, which is a substantial growth pattern for most any field. Several factors are said to be driving this growth projection, starting with the growing acceptance of the bring your own device (BYOD) concept, as well as increasing virtualization of business practices. Throw in increasing use of mobile devices overall and it's easy to see where demand for UC tools and services would be on the rise.
Other business developments are driving the UC market forward, including the growing use of video conferencing thanks to its excellent cost savings potential and ability to improve collaboration in an office, no matter how geographically diffuse it may be. The increased use of cloud-based tools has likewise bolstered demand for UC systems.
Naturally, it's not all gain for the UC market; several limiting factors are on hand like high initial costs for installation and daunting levels of complexity in the system. Plus, there's a unclear nature to the return on investment—how does one measure the profitability of “improved collaboration,” anyway?—that's limiting impact as business cases attempt to quantify the unquantifiable.
The market leader so far has been North America, which contributed the largest share of the overall UC market, thanks to several major industry participants and an excellent reputation for BYOD services so far. However, its impact on the overall market will likely decline as Europe and the Asia-Pacific (APAC) regions step up involvement in the field. APAC's continued growth of infrastructure and interest in modern systems will only help drive that forward thanks to the sheer size of its market.
Basically, the UC market is likely to grow thanks to the result of several intersecting technological trends, ranging from the growth of cloud-based systems—which have been on the rise in a big way in the last several years, to the point where many even consider these to be safer than the more conventional equivalents—to the growth of mobile devices, whether issued by the company or brought in from outside. It could even be said that the UC market is likely to benefit from its sheer scope; it covers so many different sub-markets at once that it would be hard not to see gain.
The UC market is set for some big gains if Global Market Insights' projections come off, and based on what we know so far, these predictions are fairly likely to hit.
Edited by Maurice Nagle