First-quarter global enterprise spending on PBXs dropped to its lowest point in nearly four years while demand for unified communications is up across regions, according to new data from Infonetics Research.
The global enterprise PBX market (TDM, hybrid and pure PBXs) totaled $1.8 billion in the first quarter, down 9 percent from the previous quarter, and down 10 percent year over year.
UC licenses are up both quarter-over-quarter and year-over-year, and revenue is up 21 percent from the year-ago first quarter.
"The big squeeze is coming from hyper-competitive price pressure all over, with average revenue per line down across the board," said Diane Myers, principal analyst for VoIP, UC, and IMS at Infonetics Research.
Myers noted demand is down in some regions due to belt tightening, but flat to up in North America and Asia. In fact, Asia Pacific was the lone bright spot, with PBX revenue up 7 percent in first quarter.
"Meanwhile, demand for unified communications is increasing in all regions as businesses seek tools to help them boost employee productivity and flexibility," she added.
The battle to gain and retain customers in transition from IP to UC is ongoing with Cisco, Avaya and NEC in the top spots. LG Ericsson, Mitel, NEC and ShoreTel all recorded year-over-year revenue gains in first quarter 2013.
Infonetics' quarterly enterprise telephony report provides global and regional market size, vendor market share, analysis, forecasts through 2017, and analysis for TDM PBX and KTS systems, hybrid and pure IP PBXs, IP PBXs by system size, VoIP gateways, unified communications, IP deskphones and softphones.