Expansion of network infrastructure across the country coupled with increasing demand for better media quality and economical communication services have resulted in the growth of IP Phone Market in India. Additionally, advancements in VOIP technology and increasing market awareness among the Indian consumers have further assisted the market growth.
According to 6Wresearch, India IP Phone market shipments value reached over $8 million during CY 1Q 2015. In terms of unit shipments, Cisco retained its market leadership in CY 1Q 2015 as compared to CY 4Q 2014 followed by Avaya. Other key players in the India IP Phone market are Grandstream, Unify, Mitel, Polycom and Alcatel-Lucent.
Source: 6Wresearch Quarterly India IP Phone Market, CY 1Q’ 2015
Note: Refurbished, repaired and returned IP Phone units have not been considered.
Over the past few years, IP telephony has gained more popularity over the traditional PBX Phone systems due to certain benefits such as low manpower and maintenance cost. Further, benefits such as improved tracking, increased portability and affordable enterprise-level call compared to other communication services have resulted in the growing popularity of IP Phones in the country.
Key Highlights (CY 1Q 2015)
- Cisco model no. UNIFIED SIP PHONE 3905 led the market
- Cisco and Avaya together captured around 74% share of the market
- In terms of units shipments, Model No. Unified Sip Phone 3905 registered a substantial triple digit growth over CY 4Q 2014
According to Pulkit Shrivastava (Analyst, 6Wresearch-India Electronics Division), “In the current scenario, vendors in the India IP Phone Market are focusing on providing quality and reliable products equipped with advanced features. However, better price point and after-sales service in the market have emerged as the key differentiating factors for the Indian consumers. During CY Q1 2015, IP Phones featuring POE (Power over Ethernet) Class 1 accounted for 60% of the total market share registering a growth of around 18% over CY Q4 2014”.
“India IP Phone market is still in its nascent stage mainly due to lack of network infrastructure and consumer awareness in the country. However, decreasing ASP (Average Selling Price), hassle-free integration and simpler payment plans compared to the traditional telephone systems is expected to boost the demand for IP Phones over the coming quarters”.
The government is taking several initiatives to promote the advanced network solutions in India. For instance, The Department of Telecom (DoT) has recently launched C-DOT’s, a cost-effective next generation network (NGN) solution. This will enable telecom companies to make a transition from traditional time division multiplexing (TDM) technology towards progressive VoIP Telecom technology.
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