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OTT and Cloud Give a Boost to SIP Trunking
As with so many things, service providers have come to embrace Session Initiation Protocol (SIP) trunking in the attitude of keeping friends close and enemies closer. Without question, SIP trunking undermines the traditional time-division multiplexing (TDM)-based service in which service providers have invested millions of dollars, as well as decades of time, installing, upgrading and selling legacy equipment to existing customers.

So it's not surprising that the switch to IP has been slow. Virtually every service provider offers SIP trunking, but the degree to which they embrace the service is related to their history and market position. In general, incumbent carriers with strong legacy network assets tend to price, package and offer SIP trunking in the same mold as primary rate interface (PRI) services, which has created little incentive for customers to migrate to SIP.

But service providers overall are responding to the growing trend among enterprises to move services to a cloud environment. Through SIP trunking, service providers can entice enterprises with cloud-based services and features, such as providing interoperability across multiple types of premise-based gear, four-digit dialing between physically separated offices, hosted security and value-added services, like hosted unified communications (UC), collaboration, voice mail, call center applications and fixed/mobile convergence (FMC). The result is that service providers now are recognizing the tremendous market opportunity that SIP trunks provide and the risk to their business if they don't offer them to their customer base.

As these trends continue, service providers are looking to high value, add-on applications and services to drive more revenue per user and increase traffic. These add-on applications and services are especially attractive to customers using legacy private branch exchanges (PBXs), which don't have the newer features of IP-PBXs, such as Web portals, find-me/follow-me, simultaneous ring and visual voice mail. SIP Trunking provides an excellent delivery mechanism by placing the applications and services in front of the PBX to enable such features.

Over the next two years, the introduction of integrated fulfillment management for SIP trunking will become a mandatory part of service providers' overall solutions, as competition builds for cloud communications. Specializations like end-to-end session management will become key differentiators, as incumbent carriers become more competitive with their SIP trunking offerings.

SIP trunking for carrier interconnection has been proven to be a sound investment for carriers. Now that the FCC's direction on VoIP is unmistakably clear, carriers that have held off migrating interconnects to IP will be forced to initiate projects or risk losing market share to those that can offer the service more competitively.

OTT and Cloud Give a Boost to SIP Trunking examines the SIP trunking market, analyzing the most lucrative verticals of SIP trunking, and discussing drivers and challenges in the industry. It includes a comparative analysis of solutions available, examines the geographic landscape of the market and details trends that will likely occur in the industry over the next 18-24 months.
Sample research data from the report is shown in the excerpts below:
Table of Contents (ipsi0712_toc.pdf)
As shown in the following excerpt, a wide variety of vertical markets are finding SIP trunks a valuable means of reducing communications costs quickly and cost-effectively. The benefits of SIP trunking extend across the board, and each vertical sees different long-term benefits of adoption. In general, the most interest is shown in industries that are progressive about adopting technology and have distributed office locations. These vertical markets have the most room for growth, particularly as more industry solutions are deployed to address security, quality and reliability concerns that are particularly common with companies in these industries.
[click on the image above for the full excerpt]
Companies analyzed in this report include: ADTRAN Inc. (Nasdaq: ADTN); BroadSoft Inc. (Nasdaq: BSFT); Broadvox LLC; GENBAND Inc.; Ingate Systems AB; Metaswitch Networks, the trading name of Data Connection Ltd.; Mitel Networks Corp. (Nasdaq: MITL); MTS Allstream (TSX: MBT); Network Equipment Technologies, Inc. (Nasdaq: NWK); Nokia Siemens Networks, a joint venture of Nokia Corp. (NYSE: NOK) and Siemens AG (NYSE: SI; Frankfurt: SIE); ShoreTel Inc. (Nasdaq: SHOR); Sonus Networks Inc. (Nasdaq: SONS); Tekelec (Nasdaq: TKLC); Telesphere Networks Ltd.; VOSS Solutions; and Windstream Corp. (Nasdaq: WIN
Total Pages: 25
To view reports you will need Adobe's Acrobat Reader. If you do not have it, it can be obtained for free at the Adobe web site.
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