December 18, 2008

Cisco takes lead in enterprise telephony market according to Infonetics Research


Customers are voting with their wallets. In the recent release of Quarterly Worldwide Market Share and Forecasts: 3Q08 from Infonetics Research, Cisco took the lead for the first time in the overall PBX-KTS equipment market after growing its revenue 19% in the quarter. "Cisco is the only vendor gaining significant market share in this market in 2008; most other vendors are holding steady or decreasing slightly", according to Matthias Machowinski, Directing Analyst, Enterprise Voice and Data for Infonetics. (Note: Infonetics defines overall PBX-KTS as IP PBX, hybrid IP+TDM including KTS, and TDM-PBX.)

You may recall a similar post just a few quarters ago where Cisco took the number one market share position for Enterprise Telephony, surpassing Avaya for the first time according to Synergy Research. A quarter later, we also captured the number one spot for overall PBX line shipments, surpassing Nortel according to research firm Dell’Oro. The market ultimately votes with budgets—we are seeing solid uptake for IP phones including softphones and recent releases of Cisco Unified Communications Manager both from existing customers migrating from earlier versions as well as through competitive displacement.

The Infonetics report also showed that the IP PBX segment grew 7% in both lines and revenue in 3Q08 from 2Q08, while year-over-year, quarterly IP phone shipments were up 25% (Cisco shipped 50% of these units) and IP softphone shipments more than doubled from 2Q08 to 3Q08. Much of this softphone growth is in fact attributable to our success with Cisco Unified Workspace Licensing.

One thing is clear, customers are continuing to invest in solutions that will let them drive down costs and break away from their competitors by providing better service and higher employee productivity.  We’re proud to be their number one choice for unified communications.

by Steve Slattery, vice president, Cisco’s voice technology group

Steve Slattery Posted by Steve Slattery at 01:58PM PST

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Tags: customers enterprise productivity steve slattery telephony unified communications

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