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Microsoft moves to second place in UCaaS market

Microsoft has moved to the second place in the worldwide UCaaS market during the first quarter of 2021, according to new data from Synergy Research Group.
UCaaS market share in Q1 2021
In Q1 the UCaaS user base grew by 46 percent from the first quarter of 2020. The biggest beneficiary of that growth has been Microsoft who is now ranked second in terms of UCaaS revenues, having been the fifth ranked company just two quarters previously.

RingCentral continues to lead the UCaaS market by a wide margin, while the other leading UCaaS providers are Mitel, 8×8, Vonage and LogMeIn. Ranked by subscribers rather than revenues, Cisco, Zoom and Fuze all feature more prominently.

Total UCaaS subscriber numbers are over 17 million and doubled since the end of 2018. While growth is strong in all regions, the worldwide market continues to be dominated by the US which accounts for over three quarters of all UCaaS subscribers.

Market development is still in the early days in most other countries, with only the UK, Germany and Canada having a reasonably substantial base of UCaaS subscribers.

“While RingCentral remains in a field of its own, there is a battle going on among the chasing pack of UCaaS providers. Microsoft was late to the party but is now growing strongly and is doubling its UCaaS subscriber base every six months,” said Jeremy Duke, Synergy Research Group’s founder and Chief Analyst.

The other two particularly high-growth providers are Zoom and Fuze, the report said. Zoom and Fuze passed the one million subscriber mark this quarter.

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