The global unified communications (UC) market is expected to more than double by 2023, exceeding $74 billion.
That’s according to a new report by Allied Market Research, which predicts a compound annual growth rate (CAGR) of 12.6 percent. The market was valued at nearly $33 billion in 2016.
The banking, financial services and insurance (BFSI), and energy and utilities segments have the highest growth potential, and are expected to create lucrative opportunities for industry players, the report says.
The increasing need to improve interoperability and operational efficiency, a surge in demand for cloud solutions, and an increase in application areas among end users are fueling growth of UC adoption in both developed and developing countries. Also, factors such as growth associated with the Internet of Things (IoT), an increasing need for mobility, the BYOD trend and the proliferation of smart devices are expected to provide numerous growth opportunities.
The telephony segment dominated UC in 2016, with about 29 percent revenue share, and mobility is anticipated to grow the fastest through 2023. This is attributed to improved IT infrastructure and increasing cloud-related expenditures.
IT and telecom dominated the global UC market, with around 21 percent share in 2016, followed by BFSI. The energy and utilities segment is expected to grow at the highest CAGR due to widespread adoption of advanced services and bigger IoT spending.
North America was the highest revenue contributor in 2016, accounting for about 42 percent share. Asia Pacific is projected to grow the fastest through 2023.