UCaaS Market to Hit $37B by 2022

The global unified communications as a service (UCaaS) market will be worth $37.85 billion by 2022.

According to Transparency Market Research’s latest report, the market will expand at a CAGR of 23.4 percent between 2014 and 2022, growing from its 2013 valuation of $5.68 billion.

For the most part, growth in the global UCaaS market will stem from the percolation of the bring-your-own-device (BYOD) and enterprise mobility culture, the firm said. More people are joining the mobile workforce, which increases their dependence on smartphones and tablets. Although large enterprises are familiar with the advantages offered by UCaaS, there is still an awareness gap that exists in the small and medium businesses space. Given its status as a high-potential emerging technology, the global UCaaS market has whetted the interest of enterprises and developer communities alike. The report states that UCaaS, by virtue of being pre-integrated and standardized, makes for a ready-to-go solution that many enterprises can deploy in short turnaround time.

Hosted and on-premise UCaaS solutions are increasingly deployed in healthcare institutions, government organizations, as well as financial institutions where data integrity is paramount. According to the report, telephony services contributed the largest share (35.33 percent) to the revenues of the global UCaaS market in 2013. According to the projections of TMR analysts, telephony services will continue to remain the leading revenue contributor to the global UCaaS market through the report’s forecast period as the number of hosted telephony solutions is forecast to rise. Integrated services will report appreciable growth in the global UCaaS market, as they are expected to post a 27.3 percent growth rate through the forecast period.