The Latest MZA Analysis for Video Conferencing Endpoints

Video Conferencing Market Grew by 2% in 2017

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Published: May 17, 2018

Rebekah Carter - Writer

Rebekah Carter

MZA recently revealed their latest analysis of the video conferencing endpoint market, demonstrating that the space grew by 2% in value during 2017. For MZA, video conferencing is just one component of their overarching analysis into the UC applications environment, which provides data on the growth of messaging applications, collaboration solutions, and more.

This year, MZA believes that the growth in the video conferencing endpoints space came largely from a greater desire for video conferencing in the enterprise. Today, as companies look for way to make their conversations more immersive, video conferencing offers a useful solution for business growth. The revenue achieved from the sales of video conferencing endpoints in 2017 reached $2.14 billion, pushed by an ongoing shift to smaller, more affordable endpoint solutions.

Exploring the Video Endpoint Analysis

In their study of the video conferencing endpoint market, MZA segmented their research into room system endpoints, executive desktop endpoints, and multi-codec endpoints. The report suggests that the volume of endpoints in general has increased throughout 2017, with double-digit growth in the number of registered devices. MZA notes that one of the driving elements for the market is a desire to add video to more of the work experience. This means that video isn’t just used for boardrooms, but for collaborative connections and personal communication too.

The shift to a more comprehensive video environment is happening faster in some places than others. Additionally, endpoint providers are also dealing with the growing preference of software-based services over endpoint devices. This means that companies capable of providing plug and play solutions are seeing stronger growth. A rise in cloud-based conferencing services suggest that vendors need to become more interoperable and open with their devices, while the changing nature of the work environment has seen an evolution in the form that video conferencing endpoints take.

Multi-purpose collaboration endpoints combining video conferencing with digital whiteboards and presentation facilities are grabbing the headlines, but portable camera and codec solutions are another powerful evolution in the video conferencing endpoint market, particularly with the rise of huddle rooms.

The Leaders Continue to Lead

Polycom
Polycom Video Conferencing solution

Another insight offered by the MZA research is that the largest vendors in the market continue to be the same. Cisco, Huawei, and Polycom are holding onto the top spots, accounting for more than 70% of market revenues, and almost 70% of market volume. Though there are a number of new competitors entering the market, these heavyweights in the field are continuing to dominate for now, increasing their combined share by the year.

MZA suggest that even though the three vendors above might be leading the way, there’s still plenty of room for smaller vendors to grow too. Various companies gained market share during 2017, with vendors of all shapes and sizes promoting things like cloud services, and interoperability to drive user adoption.

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