Voice over broadband to drive IP telephony growth-report

IP telephony carrier equipment revenues are projected to grow by an average of 9% per year through 2012, driven mostly by the expansion of voice over broadband (VoBB) services, according to Dell'Oro Group.

In a Wireless News report, the firm forecasts that VoBB subscribers will grow almost 40% per year over the next five years.

'As service providers deploy broadband connections in order to grow their revenues via data and video services, they are offering voice services that leverage that broadband connection,' said Greg Collins, VP at Dell'Oro Group.

The massive installed base of circuit switched telephone lines represents a tremendous market opportunity for IP telephony equipment, but many service providers struggle to find a business case for replacing their legacy, class-5 switches, according to Dell'Oro Group.