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VoIP IC market to get big boost from cell phone sales

VoIP integrated circuit (IC) revenue will rise from US$137.6 million in 2003 to US$938.4 million in 2008, according...


January 10, 2005  


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VoIP integrated circuit (IC) revenue will rise from US$137.6 million in 2003 to US$938.4 million in 2008, according to In-Stat.

The research firm says the main driver for this rapid growth will be the integration of VoIP functionality with many “dual-mode” cellular/VoIP (over WLAN) handsets gaining mainstream traction in 2006 and ramping up extremely quickly in 2007 and beyond.

“In-Stat believes that Voice over Internet Protocol (VoIP) is the future of voice communications,” said Sam Lucero, In-Stat analyst.

“And while stationary VoIP deployments have been the first to gain traction in the market, mobile VoIP actually represents the greater market opportunity for VoIP silicon and equipment vendors.”

In-Stat has also found that:

* Similar to how quickly handset manufacturers integrated camera functionality in their products, virtually all cell phones will come integrated with Wi-Fi functionality toward the end of the forecast period;

* Texas Instruments (TI) currently dominates the VoIP IC market, particularly the IP phone IC and CPE VoIP Gateway IC segments, and

* Several dozen vendors nominally participate in the VoIP IC market, but only a handful of vendors account for the majority of shipments in each of the three main segments.

Entitled Hearing the Call of Cellular: VoIP IC Market Analysis, the report costs US$2,995.