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illume latest SIP Trunking figures show that ISDN is likely to be replaced with similar number of SIP Trunks. July 31, 2014

Posted by Dominic Black in Uncategorized.
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illume latest SIP Trunking figures show that ISDN is likely to be replaced with similar number of SIP Trunks.

In the last 6 months we saw the IP/SIP trunking market continue to drive forward, with 137,000 new channels being added to the market. The market now has 1,224,773 in the UK, with the SME and large Enterprise segments driving growth throughout the period. Providers commented that a lack of good fibre in the correct places was holding back the mid market, although they saw stronger than expected growth in the SME and particularly the sub 9 market where ISDN 30 is often not appropriate and multiple ISDN 2 is too costly.

One of the areas illume was particularly interested in was the effect of substitution when users move to SIP from ISDN and whether there be less channels in the market. You would expect with the increasing use of mobile, when customers come to change their technology they would require less channels, but this does not seem to be the case. Providers commented that as with ISDN, if customers are consolidating distributed PBX estates over IPVPN, you will generally need less at the core, but even in this situation with SIP being cheaper often customer will add increased redundancy. Overall, providers reported that it was likely that the substitution effect would be less than 5%.

We also saw more providers who had traditionally only sold Hosted VoIP adopt SIP Trunking now to augment their portfolio, and this increased supply from both large and small operators is likely to stimulate the market in coming months.

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