UCaaS Growth Continues, Led by 8X8

Public cloud deployments still account for well over half of unifed communications as-a-service (UCaaS) business suite subscribers, according to third-quarter data from Synergy Research Group, though the private cloud segment is higher growth with subscriber numbers having increased 51 percent in the last four quarters.

“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.”

Public cloud accounts for 56 percent of all UCaaS business suite subscribers and 50 percent of quarterly revenues. In total, UCaaS subscriber numbers are growing at 30 percent annually.

In aggregate, five operators account for over 50 percent of UCaaS service revenues, with 8×8 holding on to the lead with a 14 percent 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 percent of UCaaS subscribers.


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