Thursday, May 1, 2003

Telecommunications Association Predicts Uptick in Enterprise Networking

The Telecommunications Industry Association (TIA) is predicting an uptick in spending on enterprise voice and data equipment for 2003 with the growth-rate approaching a "high single-digit" rate over 2002. Key trends supporting the more optimistic outlook include the growing acceptance of IP in call centers and corporate PBXs, an increased need to manage Internet-based customer communications, new applications and products supporting new business processes, and hope of an improved business climate. Some major findings from the TIA's 2003 Telecommunications Market Review and Forecast include:

  • 4.8 million traditional PBX line shipments and 1.8 million IP PBX line shipments are expected in 2003, down 7.2 percent and up 80 percent from 2002, respectively. IP PBX shipments have more than doubled each year from 1999 through 2002.


  • $4.2 billion in total PBX revenues are expected in 2003, up 12 percent from 2002. Total PBX spending is expected to grow at a 7.2 percent CAGR from 2003-2006, following three straight years of decline.


  • Targeting the small and medium business market, centrex and IP centrex offerings will continue to increase the installed base through 2006, with overall growth at a 4.5 percent CAGR from 2003-2006. Competition from IP PBXs and those managed telecommunications service providers that are not centrex-based will lead to slower annual growth rates than in past years.
http://www.tiaonline.org/media/press_releases/index.cfm?parelease=03-56