End Point Functionality and Relationships Drive VoIP Deployment

Released on = November 28, 2005, 10:38 am

Press Release Author = Lynda Starr

Industry = Telecommunications

Press Release Summary = Frost & Sullivan finds that the Residential VoIP End-point
Market earned revenue of $80 million in 2004. It estimates to reach $410 million in
2010.

Press Release Body = Palo Alto, CA - November 28, 2005 -- As software is useless
without a device on which to execute it, VoIP is useless without an end point to
connect to the network. Vendors, service providers and retailers need to work
together to get these devices and services into consumers' homes within the
generally used two-tiered distribution model. Partnerships, therefore, are needed
between service providers and end-point vendors to increase functionality in end
points in order to offer enhanced features in a VoIP service.

Frost & Sullivan finds that the Residential VoIP End-point Market earned revenue of
$80 million in 2004. It estimates to reach $410 million in 2010.

If you are interested in a virtual brochure, which provides manufacturers, end
users, and other industry participants with an overview of the latest analysis of
the North American Residential VoIP End Point Market, then send an e-mail to Mireya
Castilla - Corporate Communications at mireya.castilla@frost.com with the following
information: your full name, company name, title, telephone number, e-mail address,
city, state, and country. We will send you the information via email upon receipt of
the above information.

"While two-thirds of all end-point sales currently go through service providers, in
the future, the devices will move to retail distribution," according to Senior
Analyst Lynda Starr. "This means that retailers will need to be knowledgeable about
the devices and vendors will need to differentiate more fully their devices and
offer greater sales support to retailers."

Though the lower-end devices are becoming commoditized, there are opportunities to
build greater functionality such as video telephony or integrated broadband modem
technology into boxes. In order to spur retail sales, consumer electronic stores
must be given marketing and product support such as advertising displays and
cooperative advertising.

However, vendors must differentiate themselves and their products by offering the
features service providers desire. For example, as the mass-market consumer is less
tech-savvy than the early adopter and needs to have products that are
"plug-and-play." Moreover, end points will need to be able to handle provisioning
and security issues in order to provide robustness for the service provider and
simplicity for the consumer.

"Once the service is up and running, the fact that it is VoIP must be invisible to
the user, who must perceive the quality to be the same as that of circuit-switched
telephony and the features to be better," notes Starr. "To the end user, the voice
service is the driver, not the IP, which is the means. "

Therefore, it behooves vendors to offer quality products and service providers to
choose their vendors based on features available. Otherwise dissatisfied consumers
will spread negative perceptions and slow market acceptance of VoIP and end points.


North American Residential VoIP End-Point Markets, a part of the IP Communications
services subscription, provides an overview and outlook for the market. This study
has been segmented into analog terminal adapters (ATAs), embedded multimedia
terminal adapters (eMTAs), IP gateways and VoIP phones. This research includes
detailed market opportunities and industry trends that have been evaluated following
extensive interviews with market participants. Interviews are available to the
press.

Frost & Sullivan, a global growth consulting company, has been partnering with
clients to support the development of innovative strategies for more than 40 years.
The company\'s industry expertise integrates growth consulting, growth partnership
services, and corporate management training to identify and develop opportunities.
Frost & Sullivan serves an extensive clientele that includes Global 1000 companies,
emerging companies, and the investment community by providing comprehensive industry
coverage that reflects a unique global perspective and combines ongoing analysis of
markets, technologies, econometrics, and demographics. For more information, visit
http://www.frost.com.

North American Residential VoIP End Point Market
F522-61

Contact:
Mireya Castilla
Corporate Communications - North America
P: 210.247.3830
F: 210.348.1003
E: mireya.castilla@frost.com

Janina Hillgrub
Corporate Communications - Europe
P: +49 (0) 69 77 0 33 11
F: +49 (0) 69 23 45 66
E: janina.hillgrub@frost.com

Sarah Lourdes
Corporate Communications - Asia Pacific
P: +603 6204 5878
F: +603 6201 7402
E: sarah.lourdes@frost.com


http://www.frost.com




Web Site = http://

Contact Details = Mireya Castilla, Corporate Communications
Frost & Sullivan
210.247.3830
mireya.castilla@frost.com

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