The Global Market for Enterprise Media Gateways is Projected to Reach US$2.8 Billion by 2020

Coexistence of Legacy & IP Network Platforms Drives Demand for Enterprise Media Gateways, According to a New Report by Global Industry Analysts, Inc.

GIA launches comprehensive analysis of industry segments, trends, growth drivers, market share, size and demand forecasts on the global Enterprise Media Gateways market. The global market for Enterprise Media Gateways is projected to reach US$2.8 billion by 2020, driven by the current era of IP network coexistence with traditional networks.

The world telecommunication industry is in the midst of navigating the transition from aging network technologies to next generation, all-digital platforms. With IP becoming the networking technology of the future, both enterprises and communications service providers are focusing on migrating from legacy time-division multiplexing (TDM) to Internet Protocol (IP) networks. While the advantages of migrating to IP communication are enormous, decommissioning legacy networks brings in a host of operational and financial challenges. Unplugging a network that is offering reliable services results in the loss of long-term ROI that will otherwise be earned on sunken capital investments. Another challenge is the complexity of decommissioning as it requires expensive modifications and removal of millions of dollars’ worth of network assets. Mass migration will require significant re-design, network planning and capital expenditure. Companies in the current challenging economic and financial climate are being forced to protect their current investments, and control equipment and operating costs. Current telecom regulations in most countries worldwide largely tilt in favor of legacy networks. This is primarily due to the fact that the communications network is still dominated by TDM, as far as volumes are concerned.  

Against this backdrop, although legacy network migration is important to maintain long-term competitiveness and business relevance, the need of the hour is an intermediary network architecture that features a combination of old and new platforms. The industry is therefore in the midst of partial migration where legacy networks coexist with IP protocols. This strategy makes migration easy, less expensive, financially feasible and operationally non-disruptive. The interconnecting issues that emerge in a hybrid environment present a strong business case for equipment that enable interconnectivity, such as signaling and media gateways. Enterprise Media Gateways, also called the gatekeeper of the VoIP network or VoIP gateways, refer to translational devices that find use in transcoding between conventional PSTN networks and IP networks in enterprises. Other factors driving growth in the market include integration and interoperability issues associated with unified communication (UC), robust growth of SIP trunking, and technology developments that improve the performance of media gateways.   

As stated by the new market research report on Enterprise Media Gateways, the United States represents the largest market worldwide. Asia-Pacific ranks as the fastest growing market with a CAGR of 6.6% over the analysis period. The growth in the region is supported by the fact that developing countries have higher needs for network synchronization from TDM to IP, since TDM remains the most common multiplexing approach.  

Major players covered in the report include ADTRAN, Inc., Alcatel-Lucent S.A., AudioCodes Ltd., Avaya, Inc., Cisco Systems, Inc., Dialogic Corporation, GENBAND, Grandstream Networks, Inc., Huawei Technologies Co. Ltd., Matrix Telecom Solutions, Sangoma Technologies Corporation, Sonus Networks, Inc. and ZTE Corporation among others.

The research report titled “Enterprise Media Gateways: A Global Strategic Business Report” announced by Global Industry Analysts Inc., provides a comprehensive review of market trends, issues, drivers, mergers, acquisitions and other strategic industry activities. The report provides market estimates and projections in US$ for all major geographic markets such as the US, Canada, Japan, Europe (France, Germany, Italy, UK, Spain, Russia and Rest of Europe), Asia-Pacific, Middle East & Africa and Latin America. 

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