India’s UC Market Shows Modest Growth: IDC
According to the International Data Corporation (IDC) the Unified Communications and Collaboration (UC&C) market in India saw a marginal growth of 3.8% in the second of 2013 and is set for a slow recovery. The modest growth was partially due to the shift from hardware-based to software-based unified communication solutions to help organizations get out of vendor lock-ins for hardware infrastructure.
The revenue generating industry segments for this market, including finance, telecom and manufacturing, restricted growth as they curtailed spend due to their own lackluster performance. UC&C spending in the government segment was also low due to the uncertainty and delayed spending due to the 2014 India elections.
Pockets of growth
While there has been a marginal growth in the enterprise collaboration market in India other areas that witnessed significant growth was unified messaging, team collaboration, mobility, social media tools and web and voice conferencing solutions. Increased adoption of BYOD policies resulted in the growth of mobility and conferencing specifically to improve productivity and break down communication barriers. IDC observed that desktop and mobile video solutions had a greater demand as compared to room based video solutions.
Industries such as contact center recovered due to a surge in the e-commerce, Media and communications segments. The number of the SMBs deploying contact center applications also increased, as a result of which, most vendors launched SMB specific solutions.
Dileep Nadimpalli, Senior Market Analyst, Unified Communications at IDC India says, “We expect the SMB market to adopt standalone UC solutions, this would be primarily a web or video conferencing solution. Deployment of bundled UC solutions are expected to evolve in SMB Segment.”
IDC observed the traction for mobile customer care applications, analytics as well as back office process optimization tools in the contact center. Across organizations the demand for cloud based contact center solutions continues, driven by the need to compete more effectively with less capital expenditure.
Across the verticals, need for business collaboration fuels the UC&C market. Proliferation of mobile UC&C, increased emphasis on the contact center customer experience, and the interest in Unified Communications as a Service (UCaaS) is another revenue driver for the UC&C market.
“Unified Communications as a Service (UCaaS) is expected to be a hot segment, as organizations move to cloud based solutions. It is very attractive to many to have full access to the suite of best in class technology with little or no initial investment and reduced cost of managing the infrastructure,” sums up Nadimpalli.
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