Asia Pacific leads demand for videoconferencing in 2014

Asia Pacific leads demand for videoconferencing in 2014
Technology market research firm Infonetics Research has released its third quarter 2014 (3Q14) Enterprise Telepresence and Video Conferencing Equipment report. The report identifies Asia Pacific as the top-performing region for videoconferencing equipment in 2014, due to demand from emerging economies.

Globally, enterprise video conferencing and telepresence revenue grew 11% sequentially to $838 million in 3Q14. This figure is in line with the usual pickup in sales during the third quarter, but remains flat on a year-over-year basis.

Revenue for dedicated systems is declining and growth in PBX-based systems is decelerating. But videophones have been the fastest-growing segment of the hardware endpoint market although the growth for this product segment is slowing down.

Matthias Machowinski, directing analyst for enterprise networks and video at Infonetics Research, says: “Flat sales of videoconferencing equipment are masking several underlying market trends. For room-based systems, preferences continue to shift away from high-priced telepresence systems to multipurpose room systems. For personal videoconferencing, hardware sales are peaking, and we’re witnessing a move from hardware to software. Overlaying all of this is the decline in infrastructure sales, which are taking a hit due to the rise of cloud multipoint conferencing unit services adoption.”

With regards to revenue share, Cisco leads the market with the largest slice of the pie. Polycom, ZTE, Huawei and Avaya follow in that order. More details regarding the companies’ revenue share can be found in the graphic at the start of this article.

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