Dell’Oro Group Forecasts PBX Market to Exceed $7.5 Billion in 2011

Unified Communications Enhances Future Productivity of Workplace

Redwood City, Calif. – January 25, 2007 – According to a recent report by Dell’Oro Group, the trusted source for information about the telecommunications and networking industries, total PBX revenues are projected to exceed $7.5 billion annually in 2011. Driven by expanding demand, Voice over IP (VoIP) continues to gain in popularity for all businesses, regardless of size.

“Large enterprises have led the way in the deployment of IP telephony, and now we are seeing small and mid-sized business also realizing the benefits of VoIP,” said Alan Weckel, Analyst of IP Telephony Enterprise Research at Dell’Oro Group. “Large enterprises are now testing the waters with Unified Communications solutions that promise to provide users with a cohesive communications experience in which voice, instant messaging, video, and email are integrated together,” Weckel added.

According to the forecast report, PBX market revenues will continue to grow over the next five years primarily on strong sales of IP PBXs. Other PBX segments are not expected to fare so well by 2011. Hybrid IP/TDM PBX revenues are predicted to decline starting in 2010, and by 2011, traditional PBXs are projected to make up less than 5 percent of the total market revenues – a steep decline from 2002 when the traditional PBX segments accounted for more than 85 percent of market revenues.

About the Report

The Dell’Oro Group 5-Year Forecast Report offers a complete overview of the IP Telephony Enterprise industry with tables covering manufacturers’ revenue, average selling prices, line (analog/digital and IP) shipments for IP PBX, Hybrid IP/TDM PBX, traditional PBX, traditional key systems, and IP telephones. To purchase this report, please contact Karen Yang, call +1.650.622.9400 x222 or email Karen@DellOro.com.

About Dell’Oro Group

As the trusted source for market information about the networking and telecommunications industries, Dell’Oro Group provides in-depth, objective research and analysis that enables component manufacturers, equipment vendors, and investment firms to make fact-based, strategic decisions. For more information, contact Dell’Oro Group at +1.650.622.9400 or visit www.DellOro.com.