Microsoft Shaking up the Enterprise Voice Market

RENO, NV, March 7, 2013

New Q4 and full-year data from Synergy Research Group shows that Microsoft continues to inexorably increase its share of the enterprise voice and associated UC application markets. In Q4 its share of the worldwide enterprise IP telephony market had risen to almost 3% and its share of the UC applications market had reached almost 18%. While a 3% share may not seem like much of an impact, Microsoft’s growth is being achieved in a mature market which has been in decline. In 2012 worldwide revenues for enterprise IP telephony fell by more than 6%, while Microsoft grew its revenue in the segment by more than 40%.

In UC applications, Microsoft is now the clear number two in the market, distancing itself from number three-ranked Avaya and closing the gap on market leader Cisco. Microsoft has achieved this thanks to dominance if the presence/IM server segment and a strong position in the web conferencing segment.

“Microsoft is making a big impact on the market, especially in large deployments with 1,000-plus seats” says Jeremy Duke, Synergy Research Group’s founder and Chief Analyst. “Cisco and Avaya remain the very clear leaders in enterprise voice systems, but in the long haul Microsoft could become their prime competitor. Add to that Microsoft’s cloud UC service offerings, and I have no doubt that Microsoft’s momentum in enterprise communications will continue to build.”