Cisco, Polycom, Avaya face stagnant growth in videoconferencing 

Cisco, Polycom and Avaya face stagnant growth till 2020 in the enterprise videoconferencing market, said ABI Research.

The report suggested that products of Cisco, Polycom and Avaya should adapt to the virtualization-focused markets to avoid difficultly in both infrastructure and endpoint sales.

With virtualization, companies such as Blue Jeans and Vidyo are able to offer enterprise-focused services without the need for dedicated infrastructure and endpoints, and offer these services for less money than those not utilizing cloud computing.

Cisco, Polycom, and Avaya have started the transition — with their own cloud videoconferencing platform aimed at leveraging their existing products as the foundation for the new service.


Enterprise videoconferencing infrastructure and endpoint hardware revenues are forecasted to be relatively flat through 2020 (2.1 percent CAGR), said ABI Research.

“With the current market focus on cloud computing and hardware virtualization, dedicated hardware sales will see little growth in all video delivery markets, including videoconferencing and telepresence hardware,” said Eric Abbruzzese, research analyst at ABI Research.

The Asia-Pacific region — more specifically China — is likely to achieve 5.3 percent for infrastructure and 4.3 percent for endpoint through 2020, likely due to non-China based companies continuing to conduct business in China and require videoconferencing platforms.

The report said consumer videoconferencing is continuing to see strong growth, with products like Skype, ooVoo, and Google Hangouts expanding their user base.

Small businesses (SMBs), not interested in investing in large, permanent hardware solutions for videoconferencing, have the potential to instead select these consumer-focused solutions, as they offer similar features to enterprise solutions for a reasonable price.

Shilpa Khatri
[email protected]

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