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SIP INDUSTRY BOLSTERED BY IMS DEVELOPMENTS
New research by Venture Development Corporation, estimates worldwide markets for SIP infrastructure and software to exceed $5.5 billion by 2007. This represents a compound annual growth rate of 36.1% between 2003 and 2007. Replacement of legacy infrastructure, services providers and large enterprises are choosing SIP-supporting platforms as part of their ongoing upgrades and replacements of antiquated analog and TDM-based equipment. Adoption of VoIP services, Residential VoIP and hosted IP Centrex services for businesses, many of which are implemented with SIP networks, are growing rapidly in all major markets. New applications, Voice margins are rapidly shrinking and new competitors like MVNO's, MSO's, and Internet Telephony Service Providers are entering the market. New and existing carriers use SIP networks to offer new presence, location, and video-based applications. IP Multimedia Subsystem, Both network equipment providers and carriers universally agree that SIP-based IMS networks are the architecture of the future. IMS will benefit both users and service providers. It will give consumers a common experience across different user devices. Carriers will use IMS to converage their network infrastructure, reducing overall equipment costs, and to rapidly deploy new applications across multiple access platforms such as broadband cable, DSL, 3G, and WiFi. According to Chad Hart, VDC's Telecom/Datacom Practice Director, IMS adoption will drive SIP growth, with initial trials through 2006 and more significant deployments in 2007. 'The acceptance of IMS by both wireline and wireless carriers solidifies SIP's role as the protocol of choice for all network operators. Most carrier-focused vendors will repackage their existing SIP offerings to cater to this rapidly emerging market.'
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