Public Cloud Leads UCaaS Market; Private Cloud has Higher Growth

RENO, NV, December 17, 2013

New Q3 data from Synergy Research Group show that public cloud deployments still account for well over half of UCaaS business suite subscribers, though the private cloud segment is higher growth with subscriber numbers having increased 51% in the last four quarters. Currently public cloud accounts for 56% of all UCaaS business suite subscribers and 50% of quarterly revenues. In total, UCaaS subscriber numbers are growing at 30% annually.ucaas q313

In aggregate five operators account for over 50% of UCaaS service revenues, with 8x8 holding on to the lead with a 14% market share. It is followed by ShoreTel, RingCentral, Mitel and Vocalocity. Other leading operators include Fonality, West IP and iCore Networks. North America continues to account for no less than 87% of UCaaS subscribers.

"We continue to see UCaaS solutions competing ever more effectively with premise-based UC product offerings and getting more traction in the market, especially with small businesses” said Synergy Research Group’s founder and Chief Analyst Jeremy Duke. "And looking to the broader cloud UC market we still see vibrant demand for standalone UC SaaS offerings, where revenues continue to grow at double-digit rates.”

About Synergy Research Group

Synergy provides quarterly market tracking and segmentation data on IT and Cloud related markets, including vendor revenues by segment and by region. Market shares and forecasts are provided via Synergy’s uniquely designed online database tool, which enables easy access to complex data sets. Synergy’s CustomView ™ takes this research capability one step further, enabling our clients to receive on-going quantitative market research that matches their internal, executive view of the market segments they compete in.

Synergy Research Group helps marketing and strategic decision makers around the world via its syndicated market research programs and custom consulting projects. For nearly two decades, Synergy has been a trusted source for quantitative research and market intelligence. Synergy is a strategic partner of TeleGeography.

To speak to an analyst or to find out how to receive a copy of a Synergy report, please contact Heather Gallo at hgallo@srgresearch.com or 775-852-3330 extension 101.