• by Jack Loechner , Staff Writer @mp_research, December 7, 2006

According to InStat, the mass migration to voice over Internet protocol is finally happening in both the business and consumer markets. The growth of IP phones will accelerate significantly beginning in 2008, the research firm says. Total IP phone annual shipments will grow from 10 million units in 2006 to 164 million units in 2010, according to the report.

Recent research by In-Stat found that:

• Only 40% of IP PBX seats are currently configured with IP phones.
• Cisco leads the business IP phone market with a 43% market share. The next closest competitor is Avaya, at 12%.
• Over the next five years, the business IP phone market will grow at a 27% compound annual growth rate, from $2.7 billion to $6.5 billion annually. Yet, only 40% of IP PBX seats are currently being configured with IP phones.
• By 2010, business IP phone shipments will total 124% of IP seat shipments.
• In contrast, says the report, consumer IP phones will experience slow growth over the next few years, ramping up by the end of the decade. In 2010, over 108 million consumer IP phones will ship annually, generating $13 billion in revenue. Over 90% of these phones will be cellular/Wi-Fi hand sets.
• By 2008, next-generation consumer applications, such as presence-enabled calling features, are expected to jump-start the market for residential IP phones.

Please go here for this and more reports from In-Stat.