|
|
 |
|
Viewing report
|
|
|
|
South African VoIP Market
Frost & Sullivan, July 2009, Pages: 86
The South African VoIP market is set for explosive growth during 2009 with the completion of the ECNS license conversion process and the fact that all license holders are now able to self provision means that there is likely to be some increase in the number of opportunities for both operators and vendors alike. With expected growth rates of over 30% and the likely introduction of regulatory measures set to push service adoption amongst the corporate, it is little wonder that there is such great potential in this market.
Research Overview
This Frost & Sullivan research service titled South African VoIP Market provides an in-depth analysis of market contours, industry structure, and competitive environment besides dealing with the challenges and issues that market participants are facing. The study measures the total market size and investigates growth trends. The VoIP market is segmented in terms of customer sizes and vertical sectors. The research service also provides strategic recommendations for the current and future market participants with a focus on growth opportunities.
This analysis is available through our Enterprise Communications Growth Partnership Services program. With continuous access to intelligence and resources from all seven perspectives of the Complex Business Universe, the Growth Partnership Services program ensures that you and your Growth Team™ are able to maintain a 360 Degree Perspective of the market. This comprehensive, objective information allows your company to mitigate risk, identify new opportunities, and drive effective strategies for growth. For more information on this custom subscription service, please click here.
Market Overview
VoIP’s Low-cost Value Proposition Pushes Service Uptake in the Price-Sensitive South African Market
The South African voice over Internet protocol (VoIP) market was set up in 2005 and is still in the growth phase of the development lifecycle. Considering market age and the relatively low penetration of broadband infrastructure – only 60,000 users of VoIP services in 2008 – there exists a large opportunity for growth. The fiscal crisis has exerted direct pressure on margins in the financial services and retail sector. 'Historically, the South African telecommunications market was dogged by high pricing owing to a lack of true competition in the industry,' notes the analyst of this research service. 'VoIP offers a low cost alternative to traditional fixed line calls; this is the technology’s most compelling feature, particularly in the light of the economic meltdown.' With authorities expected to introduce regulatory measures such as geographic number portability, carrier preset and local loop unbundling that will allow users to retain their existing numbers and control costs far more effectively, greater adoption of VoIP services by corporates can be expected.
In spite of its low-cost advantage, VoIP technology has not proved to be as reliable as its analogue alternative due to the lack of bandwidth and initial experience in the market. VoIP is perceived as a bandwidth hungry technology; however, this is the case only in instances where the service provider has not utilized the means to make the technology more efficient. Significant improvements in voice quality are slowly giving VoIP the edge over traditional voice services. Circumstances such as the concerted network infrastructure roll out of tier-I operators in South Africa and the realization that VoIP services are best offered over access media such as asymmetric digital subscriber line (ADSL) as opposed to WiFi have led to a dramatic increase in the quality of these products. Thus, organizations that rely on high-quality voice communications are now able to consider VoIP as a viable option. Awareness initiatives launched by service providers have also begun to pay off, but much needs to be done. Regulatory uncertainties, in particular, are worrying participants. 'It is anticipated that Independent Communications Authority of South Africa (ICASA) will introduce additional regulatory measures that will govern and impact the VoIP market specifically,' says the analyst. 'Participants in this space are unsure about the time frame within which these policies will be implemented, directly impacting their ability to provide services such as number portability and carrier pre-select.'
Under-serviced markets also exude potential, but they are long-term prospects that are in the early rungs of the evolutionary ladder, so it will be a while before these synergies can be capitalized upon. For now, service providers are forced to differentiate in terms of the way in which they approach different market segments. While the financial services sector will most likely adopt the same services as the fast moving consumer goods (FMCG) market, the manner in which these are used can differ vastly. Increased workforce mobility is vital, and the operator that brings it to the market in the shortest period of time can expect to register significant gains. Overall, service providers must identify the best areas for the deployment and partner with suitable infrastructure vendors to facilitate business progression.
Market Sectors
Expert Frost & Sullivan analysts thoroughly examine the following market sectors in this research:
By End User Type:
- Corporate – (more than 250 users)
- SMME – (less than 250 users)
- Consumer
By Vertical:
- Financial services
- Retail
- Government
- Healthcare
- Others
Product samples
A sample for this product is available. Please Login/Register to download this sample.
Customers who bought this item also bought
Africa - VoIP Telephony
2007 African - Convergence and Broadcasting Market
2007 African - Broadband and Internet Markets
The 2007-2012 World Outlook for VoIP Telephone Service
The 2007-2012 World Outlook for VoIP Telephony Equipment
The 2007-2012 World Outlook for Peer-To-Peer VoIP Software
Communications Markets in South Africa - 2009 Edition
African Mobile Handset Market Analysis (2006-2009)
2006 - African Infrastructure, Fixed Voice and Data Markets
2006 Global NGN, IP & VoIP - Volume 2 - Americas, Europe, Africa, Middle East, Asia, Pacific
Voice over Internet Protocol in SA 2008
Africa - Data Internet & Broadband Markets
|
|
|
|
