“Cloud video conferencing services continue to become Main Stream as companies look to avoid large capital investments in favour of subscription-based services”.
The Australian video conferencing market is in a rapid growth as visual collaboration gains precedence over audio conferencing. Even as emerging video products and services are spurring market expansion, the commoditisation of legacy technologies is cooling growth. In turn, the managed video conferencing service segments will experience varying growth rates over the foreseeable future. New analysis from Frost & Sullivan, finds that the market earned revenues will grow at a compound annual growth rate (CAGR) of 4.1 percent.
The increasingly distributed and remote workforce requires companies to equip employees with highly featured and easy-to-use platforms, immensely widening the scope of the Australian conferencing services market. Visual collaboration, in particular, is gaining traction. “What was once in limited demand now holds serious weight in the minds of decision-makers across businesses. As the next generation continue to make up a larger share of the workforce, video will become more pervasive and price points will drop with newer technologies, further fuelling adoption.
Although clear opportunities exist in the Australian video conferencing market, the revenues will face several challenges.
• Venders and service providers will be forced to compete with features and capabilities offered as part of unified communications bundles, limiting the market potential.
• Continued use of consumer-based and free conferencing solutions will also reduce the demand for professional-grade services.
• Cloud video conferencing services will become popular as companies look to avoid large capital investments in favour of subscription-based services.
However, this shift to the cloud is also driving an increase of new solutions and providers into the sector, making it harder for customers to choose the most suitable fit.
The success in the Australian video conferencing services market is determined by timing, strategy and execution as in all other industries.
A timely response to changing demand and technology innovation will go a long way in maintaining growth rates. As the market matures, attributes such as provider viability, experience and market reach and a broad portfolio of complete end to end solution will become critical for sustained results.
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