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Videoconferencing Results "Mixed" Says IDC

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IDC reports the global enterprise videoconferencing and telepresence equipment market shows "mixed" Q2 2014 results, as overall revenues are up by by 1.8% Q-o-Q but down by -9% Y-o-Y, reaching $482 million.

ConferencingSales are up by 7.2% Q-o-Q and 5.5% Y-o-Y.

In the meantime EMEA revenues show declines of -5.4% Q-o-Q and -4.1% Y-o-Y.

"We continue to see the impact of delayed customer buying decisions, lower-cost systems, more software-centric products, and competitive cloud-based video service offerings on the worldwide enterprise video equipment market," IDC says. "The mixed video equipment results are also indicative of the ongoing transition from a primarily hardware-based reporting model to one impacted by the interest in and growth of video subscription services."

When it comes to market segments multi-codec immersive telepresence revenues are down by -17.3% Y-o-Y as sales drop by -12.9% Y-o-Y. Room-based video system revenues drop by -4.5% Y-o-Y even as sales grow by 7.7% Y-o-Y, while video infrastructure equipment (including MCUs and other related products) drop by -14.1% Y-o-Y.

Cisco remains top enterprise videoconferencing vendor with 38.4% global market share, even as it sees revenue declines of -15.2% Y-o-Y. Polycom follows with 30.3% market share and -6.2% Y-o-Y revenue declines, while Huawei takes over 9.1% share with 8.6% Y-o-Y growth.

"Despite the mixed results, recent IDC survey data indicates that video is still a key component of collaboration and continues to place high on the list of priorities for many organizations," the analyst concludes. "[A]mong the challenges customers are currently working through is determining exactly when and how to provision their video deployments as more software-centric and cloud-based service offerings become part of the enterprise video market landscape."

Go IDC WW Quarterly Enterprise Videoconferencing and Telepresence QView