Mass migration to VoIP expected within a decade

Small business and consumer VoIP ramp-up will mark the period from 2005 to 2009 and migration to VoIP will peak in the 2010-2014 time frame, reports In-Stat. The time frame is largely dependent on carriers' strategies for migration to the NGN (Next-Generation Network), according to Keith Nissen, an In-Stat analyst. "A carrier's NGN migration strategy is heavily influenced by factors such as the cost of maintaining the Public Switched Telephone Networks (PSTN), available investment funds, technology, regulatory policies, pricing trends and competition…each carrier will develop its own unique NGN migration strategy," he said.

A press release states that carriers around the world are developing migration strategies that include network optimization, next-generation overlays and PSTN replacement. These strategies will directly impact the type, quantity and timing of future equipment purchases. In-Stat has concluded that as VoIP competition and demand increases over the next five years, incumbent carriers will increasingly opt for PSTN replacement to lower operating costs.