UC and Service
Providers
RUN!
. . . BECAUSE IN BUSINESS, SOMETIMES THE WINDOW OF OPPORTUNITY IS LIMITED
October 5, 2010
prepared for:
Ingate’s SIP Trunk –
Unified Communications
Summit
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Market Strategy
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Market Strategy
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Topics
Before we Start
UC Definitions and Description and Vendor Evolution
Some UC Research
Types of UC Architectures
SPs – SIP and UC
What to do …
Discussion
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So, Who Are You?
Audience Demographics Poll
 End-User Enterprise
>500 employees
 End-User Small Business
<500 employees
 Service Provider
Traditional
 Service Provider
Non-Traditional
 Route-to-Market
 Vendor
 Other
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Unified Communications
from UCStrategies.com
UC integrates real-time and non-real time
communications with business processes and
requirements. Uses presence capabilities for
coordination, and presents a consistent unified user
interface and experience across multiple devices
and media types
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What is Unified Communications
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Market Strategy
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And UC Comes From 2 Bases
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Some UC Research
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VoIP Penetration Forecast to Reach 79%
of US Businesses by 2013
VoIP penetration among US businesses will increase rapidly over the
next few years, reaching 79% by 2013, compared to 42% at the end of
2009, reports In-Stat (http://www.in-stat.com). This penetration reflects
companies having a VoIP solution deployed in at least one location.
Hosted IP Centrex has now surpassed Broadband IP Telephony as the
leading revenue-generating, carrier-based business VoIP solution.
33% of businesses that have already deployed VoIP solutions report
that recent economic conditions have caused them to slow additional
deployment plans, compared to 30% reporting no change in plans.
Broadband IP Telephony revenues continue to grow and will more than
double by 2013, compared to 2008. This growth will be fueled by
single-user applications among increasingly distributed and mobile
workforces.
This Market Alert is drawn from the In-Stat research, U S Business VoIP Overview: Optimization
Trumps Expansion
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Gartner’s Views of Corporate Telephony and UC
Differ Significantly
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Gartner’s 2009 UCaaS MQ for North America,
Named No Players to Leaders Quadrant
Large Telephone
Companies
 AT&T, Verizon, BT,
Telus, Bell Canada,
Orange Business
Services
Large UC Vendors
 Cisco, Microsoft,
Nortel/Avaya, IBM
Specialists
 CallTower, Cypress
Communications,
PanTerra Networks,
LightEdge Solutions
Wildcards
 Google, Skype
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What of UC: UC Capabilities by User Interest
Source: CIO Magazine, 2009
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When of UC: UC Deployment Plans
Source: CIO Magazine, 2009
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Why of UC: Perceptions of UC Benefits
Source: CIO Magazine, 2009
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UC Decision Factors
How important are the following
factors in your decision to implement
unified communications solutions?
Very
Somewhat Not very Not at all
important important important important Not sure
Ease of implementation
49.90%
36.60%
5.60%
1.90%
6.10%
Ease of use
78.70%
13.60%
1.20%
0.70%
5.80%
End user/customer demand
47.70%
35.60%
6.80%
1.70%
8.20%
Level of service
54.20%
34.60%
3.90%
1.00%
6.30%
Price
51.30%
37.00%
4.60%
1.00%
6.10%
Product features
42.40%
42.60%
7.50%
1.20%
6.30%
ROI
56.90%
29.50%
5.60%
1.50%
6.50%
Technical support
47.50%
40.70%
4.80%
1.20%
5.80%
Source: CIO Magazine, 2009
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Types of UC Architectures
but NO Diagrams
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Datacenter Platform Model
Centralize UC platforms in customer or SP (MSP-hosted)
datacenter
 Becomes a Private or Public “Cloud” Service
New Architecture/Topology standard
 Supported by “virtually” all UC vendors
Common to all Models
 Deploy SIP Trunks to deliver services to corporate locations with
some degree of survivability in each location
 Gateways/SBCs and Failover to PSTN
 Support Mobility/Teleworking in evolving methods
 FMC
 VPN or not
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Distributed on Premises Model
Essential UC component assets deployed in all company
locations
 Ownership/financing models evolving – some “Utility Pricing”
emerging
 Networking/integration complex and provides opportunities for
professional services
Primary situation today – includes lots of legacy and non-SIPenabled equipment – and multi-vendor
Common to all Models
 Deploy SIP Trunks to deliver services to corporate locations with
some degree of survivability in each location
 Gateways/SBCs and Failover to PSTN
 Support Mobility/Teleworking in evolving methods
 FMC
 VPN or not
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Hybrid Model
Some locations served out of centralized private or public
(hosted) datacenter platform
Balance of locations/users either served with on-prem or
cloud/hosted solutions
Most companies will face this through migration period, if not
“end-state”
Common to all Models
 Deploy SIP Trunks to deliver services to corporate locations with
some degree of survivability in each location
 Gateways/SBCs and Failover to PSTN
 Support Mobility/Teleworking in evolving methods
 FMC
 VPN or not
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Delivery Models – Lots of Confusion
Managed vs. Hosted
 Not just “On-Prem” vs. “Cloud”
 What is done by the provider and customer or third-party
The financial model
 Mix of Capital and Operating financial arrangements
 Perhaps moving to “Utility” pricing
Who Delivers?
 Vendors
 VARs/VADs/SIs
 SPs
 OTTs
 Other?
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How Does SIP and UC Get to These 27M US
Businesses (RTMs)?
<250,000 businesses have >50
employees
The mean SMB employer (0-999
employees) had one location and
11 employees
Among just the medium sized
firms (100-999 employees) the
average business has 5 locations
and 239 employees
Large businesses (1000+
employees), on the other hand,
had 62 locations and 3,300
employees
The median employer size was
about 2 employees for SMB firms
and 1,900 employees for large
firms
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SPs – SIP and UC
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UC Relevant SP Types and Characteristics
Traditional Telcos
 Historical Network Services Focus – but at odds with SIP (although
diminishing)
 Long Voice Heritage – Centrex, PBX and Key Systems
 Extensive Customer Base and “Channels”
 Mobility Big Driver
 Wrestling with Hosted/Cloud and On-Prem models
 Legacy migration/transformation is major issue
 Triple/Quad play migrates from Consumer to Business, generally
from small to large
Likely to Deploy Multiple Vendors’ Solutions – often driven by
Customer Choice
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UC Relevant SP Types and Characteristics
Competitive Telcos
 Created to compete with traditional SPs
 Faster to adopt new technologies to deliver services
 Easier to transition the UC and SIP as less legacy
 May deploy multiple UC solutions from multiple vendors
 Major competition is services, price and customer care
 Ubiquity is a challenge
 Channel coverage is also challenging …
 Partnering models evolving for expertise and geographic coverage
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UC Relevant SP Types and Characteristics
CableCos
 Just entering business markets with, generally, hosted VoIP voice
 Offers, channels and models being developed
 Start at small end and evolve upward
 Initially a price competition vs. incumbent
 UC may be a way off, as are SIP trunks, especially on owned
networks
 May be distracted by desire to add mobility to keep consumer
presence
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UC Relevant SP Types and Characteristics
ITSPs/MSPs
 Built to provide hosted IPT
 Many spawned locally/regionally across country
 Use technology from several players or internally developed
 Generally target specific customer segment demographics
 Size
 Multi-location
 Verticals
 Often Provide other “Managed Services”
 E-mail
 Web site hosting
 Desktop support
 Adding UC capabilities
 Often use other SPs’ SIP trunks
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UC Relevant SP Types and Characteristics
OTTs/Wild Cards
 Skype and Google are models here
 Business/Enterprise segment is a new market for them
 Providing infrastructure, like SIP trunks, will require partnering
 Business models vastly different than traditional SPs
 Advertising and “Free”
Are they/will they ever be true SPs?
 Do they become regulated?
 What customer segment focus?
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What to Do …
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What to Do … Focus on the Business Process
Develop a Plan – Where does UC fit in IT Prioritization?
 What to accomplish
 Build a team
 Business
 IT
 Finance
Maybe select an advisor/consultant
Do RFI/RFP
Choose Partner(s)
 SPs
 Vendors
 Other partners
Decide where to Start and How-to-Measure
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About the Speaker and Additional Resources
Market Strategy and Analytics Partners custom designs
marketing and sales strategies that are consistent with client
core competencies, market focus and competitive environment,
and coupled with operationalized go-to-market plans across the
value chain to ensure elimination of bottlenecks and complete
consideration of end-to-end financials. Our clients include
equipment and software providers, service providers and
information intense enterprises.
Founding Partners
 David Yedwab
[email protected]
 Paul Robinson, PhD
[email protected]
Find UCStrategies.com Use Case Study library at
www.ucstrategies.com/unified-communications-case-studylibrary.aspx
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Discussion
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