Hosted Private Branch Exchange (PBX) Market Industry Analysis Report, Regional Outlook, Growth Potential, Competitive Market Share & Forecast, 2019 - 2025
Report ID: GMI2883
Hosted PBX Market size is set to see healthy CAGR to 2024 led by increase in the adoption of cloud and Unified Communication (UC), increasing requirements for enterprise mobility, and reduced Total Cost of Ownership (TCO). A hosted PBX is a cloud-based system accessible through an IP network. It allows organizations to use enhanced quality telephone systems without any additional investment costs. The entire telephone platform is managed by the service provider and for enabling the calling service, the subscriber connects through an IP to the provider. These systems provide businesses with an enhanced ability to manage their phone systems through a user-friendly control panel and are hence are becoming increasingly popular amongst SMEs.
The hosted PBX systems deliver cost-efficiency, eliminating additional set-up and maintenance costs, reducing complexity, and enhancing flexibility & scalability, accelerating their adoption in the market. Organizations with a higher employee size, mainly the large enterprises require huge communication networks with robust communication tools set up to operate efficiently. Hence, the demand for hosted PBX systems has increased owing to an ease of setting up the new equipment for business communications.
The rising need to upgrade from the traditional on-premise PBX systems to cloud-based PBX systems will also foster the market growth. The traditional PBX systems require huge initial investment and budgets for efficient functioning, maintenance, upgrading, and staff training along with reduced staff mobility. However, the hosted PBX systems provide more freedom to the workforce enabling employees to work from their desired locations or smartphones under a single office telephone system. It also delivers enhanced quality of communication and efficiency to improve the overall communication, driving their market demand.
However, maintaining the security and privacy of the hosted PBX systems is a major parameter restraining the market growth. As these systems carry huge amounts of customer-sensitive data, it is essential to take additional steps for enhancing the system safety against cyber threats. Moreover, if the service is unmanaged it may result into reduced quality of calls as the service is shared over the public internet, hampering the market growth.
The hosted PBX market has been used for a wide array of services such as network traffic management services, virtual support, and assistance services, configuration and change management services, virtual deployments & setups, online charging services, protocol management services and emergency call routing services. The virtual deployment and setup services hold the largest market share as it assists the enterprises in deploying and setting up the entire hosted PBX and IP systems for efficient functioning at reduced operating cost. The protocol management services are projected to grow at the fastest rate over the forecast timespan as they provide the necessary parameters required for securely managing the protocols and establishing communication between IP phones and traditional phones with the highest voice quality. The service also reduces latency and delays thereby managing the information along with quality maintenance.
The hosted PBX market systems are adopted in various application verticals including BFSI, IT & telecom, healthcare, manufacturing, government & public sectors, educational, and professional services. The healthcare industry is the major end-user of the hosted PBX systems as it delivers enhanced communication capabilities required for proper patient care. It provides features such as real-time communication, and instant messaging, allowing doctors to constantly stay connected with their patients at any time of the day, thus driving their market demand.
North America dominates the hosted PBX market as the region is the largest purchaser of hosted PBX. These systems deliver efficient functioning capabilities such as enhanced web connectivity and efficient use of the office space and budgets expanding the adoption rate. Furthermore, a rise in the adoption of cloud services, IoT, and UC in the U.S. and the growth of the telecommunication sector also drives the hosted PBX market demand.
APAC is anticipated to grow at a high rate in the hosted PBX market as the region is witnessing a rapid transformation of its IT infrastructure with rapid digitalization. The trend of enterprise mobility in this region is also a major contributor to the market growth. APAC holds around 60% of the market share for enterprise mobility followed by the UK and the U.S, making it important for the region to upgrade its traditional systems to the hosted PBX system.
The hosted PBX market is fragmented with the existence of a substantial number of players. Some of the major players present in the market are AT&T, Cisco Systems, BT Group, 3CX, Telesystem, TPX Communications, Digium, Oneconnect, Comcast Business, Mitel Networks, Avaya, and 8x8. These players are investing considerably in R&D activities and entering into strategic business partnerships to expand their presence in the competitive market.
What Information does this report contain?
Customize this Report
Our Market Research Reports Include:
- Market snapshot
- Market Segmentation
- Value Chain Analysis
- Growth Dynamics
- Potential Market Opportunities
- Regulatory Overview
- Technology Evolution
- Innovation & Sustainability
Why Global Market Insights, Inc.?
- GMI is unparalleled when to comes to the quality of research and information provided to clients. Our unique methodology is designed to ensure a minimum of 90% accuracy to give our clients excellent value on their investment.
Over 200 experts are available across various time-zones, ready to serve clients for their research needs. Our industry experts help clients to design reports customized to their needs.