Video Conferencing Market - Healthcare and Education to Emerge as Significant End-use Segments
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Besides innovation, strategic acquisitions is the focus of the company to expand its outreach. For example, Cisco Systems Inc. acquired Acano Ltd. in a bid to expand dynamically in the video conferencing market.
Some other prominent companies in the global video conferencing market are Huawei Technologies Co. Ltd., West Unified Communications Services, ZTE Corporation, Polycom Inc., Vidyo Inc., Adobe Systems Incorporated, Microsoft Corporation, Arkadin International SAS, Logitech International S.A., Orange Business Services, and JOYCE CR, S.R.O.
As per a report by Transparency Market Research, the global video conferencing market is expected to be worth US$8,958.7 mn by 2025, expanding at a CAGR of 8.3% during the forecast period between 2017 and 2025.
North America Market to Continue Displaying Strong Growth in Future
Amongst deployment type segments, on-premise dominates the video conferencing market in terms of revenue. However, cloud-based video conferencing is anticipated to surpass on-premise segment in terms of growth rate over the forecast period.
North America held supremacy in terms of revenue in the video conferencing market in 2016. The widespread popularity of telepresence and high adoption of managed video conferencing solutions are the key factors for the dominance of the region. The region is expected to display a significant growth rate over the forecast period.
Real-time Communication among Distantly Located Teams Fuels Growth
The foremost factor driving the global video conferencing market is the increasing trend of virtual meetings with rising globalization across industries. Video conferencing allows real-time communication over long distances that benefits in the form of enhanced productivity and faster decision making. Additionally, it saves travel expenses and addresses customer queries.
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In the corporate sector, video conferencing is a major communication tool used by enterprises for enhanced collaboration. It is because it allows two-way audio and video communication at minimal cost, especially in present times when organizations are focused on curtailing costs related to their means of communication. This has extended widespread opportunities for the video conferencing market.
Small and medium enterprises (SMEs) are also increasingly adopting video conferencing solutions for communication with clients at distant locations. SMEs generally rely on managed video conferencing solutions for which only peripherals such as cameras, speakers, and microphones are need to be provided by subscriber of the service. Video conferencing infrastructure including multipoint control units (MCUs), video conferencing systems, and other advanced applications and features are provided and managed by the video conferencing service provider.
The increasing trend of mobile workforce and Bring Your Own Device (BYOD) has positively impacted cloud-based video conferencing services.
On the flip side, high initial investments and high installation costs are acting as major challenges to the growth of video conferencing market. Video conferencing systems that are designed to provide a close-to-real experience of a person present in another location require high-quality video devices. These systems also need to be protected with firewalls and security software for secure data transmission that add to the cost of the system.
Transparency Market Research (TMR) is a global market intelligence company providing business information reports and services. The company’s exclusive blend of quantitative forecasting and trend analysis provides forward-looking insight for thousands of decision makers. TMR’s experienced team of analysts, researchers, and consultants use proprietary data sources and various tools and techniques to gather and analyze information.
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