Enterprise videoconferencing market hits $2.7bn

Last year saw sales to the enterprise accelerate 20.5 per cent year on year

IDC's latest figures suggest that the worldwide enterprise videoconferencing and telepresence market grew 20.5 per cent in 2011 to $2.7bn (£1.7bn), after a strong fourth quarter.

Rich Costello, senior analyst for enterprise communications infrastructure research at IDC, said growth had been spurred by the improved business case for video in a range of vertical markets from healthcare to higher education, financial services, the law, manufacturing and retail.

"We also expect growth over the next several years to be bolstered by the impact of video integrated with vendors' UC and collaboration portfolios, and increasing video usage among small workgroups, desktop users and mobile device users," Costello wrote in an announcement.

In 2010, the market grew 16.6 per cent over 2009, meaning the market is accelerating even in tough economic times.

VC revenue also grew 19 per cent in Q4 over Q3 2011, to reach $807.9m. Single codec telepresence is proving particularly popular, with that segment of the market expanding 38.7 per cent year over year to $444.1m, comprising 55 per cent of the market.

Immersive telepresence sales declined though, by 21.6 per cent over 2010. "That is evidence, we believe, of the continuing trend of video pushing down market in the enterprise," Costello said.

Petr Jirovsky, senior research analyst for IDC's Worldwide Networking Trackers, added that there is "little doubt" now that videoconferencing is a success.

"The enterprise videoconferencing and telepresence market will continue to be one of the fastest-growing networking markets for the foreseeable future," he said.

Cisco remains the clear market leader, growing 35 per cent year over year and accounting for 54.3 per cent of the market in Q4 of 2011. Polycom's revenue rose 15.2 per cent year on year in Q4, according to IDC.

Chart: Worldwide Enterprise Videoconferencing and Telepresence Market, 4Q 2011 Share by Product Type (Factory Revenue)Description: Source: IDC Worldwide Quarterly Enterprise Videoconferencing and Telepresence Qview, February 28, 2012 Note: IDC's Worldwide Quarterly Enterprise Videoconferencing and Telepresence QView provides total WW and US market size and vendor share data by product type (Immersive Telepresence, Telepresence, Personal Videoconferencing, Video MCU, Other), form factor (End-point, Infrastructure), and screen definition (High Definition, Standard Definition). Shipment and revenue data are provided. For more information, or to subscribe to the research, please contact Kathy Nagamine at 1-650-350-6423 or [email protected]. Further detail about this tracker can be found at: http://www.idc.com/tracker/showproductinfo.jsp?prod\\_id=261 Tags: IDC, Tracker, Q42011, Worldwide,Telepresence, Video MCU, Immersive Tel ...Author: IDCcharts powered by iCharts