TDM PBX Slide Accelerates

Traditional TDM PBX phone systems continue their steady decline in popularity, evidenced by a 22% drop in worldwide TDM PBX manufacturer revenue between 2005 and 2006, while IP PBX phone system sales continue to surge, growing 18% in the same period, says Infonetics Research in its latest Enterprise Telephony report.

The strength of IP PBX equipment sales buoyed the overall enterprise telephony market to a 9% gain in 2006, reaching $8.9 billion worldwide.

“The PBX market had another good year, with lines posting double- digit growth for the third year in a row,” said Matthias Machowinski, directing analyst at Infonetics Research.

“On the market share front, the big story continues to be Cisco, the only company with significant market share gains in 2006, contributing almost half of the overall market growth for the year. Though Cisco is still fifth in the worldwide market, they moved from second to first place in the North American IP PBX market this year.”

Market Highlights

– Annual worldwide PBX/KTS equipment revenue is forecast to increase 33% between 2006 and 2010, from $8.9 billion to $11.8 billion

– In 4Q06, the worldwide PBX/KTS market decreased 2% sequentially, but was up 4% over the same period a year ago

– 46% of worldwide PBX revenue came from the EMEA region, 32% from North America, 18% from Asia Pacific, and 6% from CALA in 4Q06

– Siemens leads in the growing worldwide IP PBX market in terms of lines shipped in 2006, followed by Nortel and Alcatel-Lucent; Nortel leads in line market share in 4Q06, followed by Siemens

– Cisco maintains its strong lead in IP deskphone and IP softphone sales, accounting for almost half the units shipped worldwide in 2006