VoIP has over 120 million subscribers worldwide having grown 12.6% during 2010.
“VoIP has all the hallmarks of a classic substitution commodity,” said John Bosnell, senior analyst at Point Topic.
“This is where customers look at the service that is delivered by a new product and decide that it meets, or exceeds, the service they are currently receiving and when it is appropriately priced they will switch from one to the other.”
End-users are moving from traditional telephone systems to an end-to-end IP service that provides voice services at a lower cost and adds the possibility for more services.
The report points to France as a “test bed” for VoIP, where an active supplier base in the country has been made available to a larger percentage of the population.
