Comprehensive Study on SIP Trunking Reflects Emerging Enterprise Adoption

Independent Report by Webtorials Reveals Nearly One in Three Enterprises Have Deployed SIP Trunking with an Average Cost Savings of Approximately 33%

Key Takeaways:

  • VoIP is a fully mature technology within corporate networks for intra-company communications, as approximately two-thirds of respondents reported either "Significant Use" or "Extensive Use."
  • SIP Trunking is in the early stages of deployment, with about one-third of the respondents reporting either "Significant Use" or "Extensive Use" of SIP Trunks at an average savings of 33%.
  • The top two drivers for implementing SIP Trunks relate to direct cost savings, however, the ability to "Add new SIP-based features such as presence or Unified Communications" was a strong driver for half of the respondents.
  • The primary inhibitors of SIP Trunking are readily being addressed; most prominent among respondents being that services were not available at all of their network locations.
  • Session Border Controllers, as an integral part of SIP Trunking, are entering a second generation of security and other capabilities to enable SIP-based applications.

WESTFORD, Mass. – (BUSINESS WIRE) –  Sonus Networks, Inc. (NASDAQ: SONS), a global leader in SIP communications, today released the results of a global study which quantifies large enterprises deployment status, plans and attitudes about SIP Trunking and, by extension, Session Border Controllers (SBCs). Commissioned by Sonus and conducted by Webtorials Editorial and Analyst Division, the "2012 SIP Trunking State-of-the-Market Report" found that while VoIP is a fully mature technology within corporate networks for intra-company communications, SIP Trunking, by contrast, is still in the early stages of deployment. In fact, roughly two-thirds of the respondents reported either "Significant Use" or "Extensive Use" of VoIP, while only about one-third of the respondents reported either "Significant Use" or "Extensive Use" of SIP Trunks. Among those using SIP Trunks, significant cost savings have been realized, with an average savings on the order of 33%.

Key Drivers: Direct Cost Savings and Ability to Add SIP-Based Features

The study featured responses from IT professionals at nearly 300 large enterprises. Among those respondents who have "Significant" or "Extensive" use of VoIP the study found that saving money is most important, but increased functions are also important.

  • 68% of respondents indicated their decisions are driven "Mostly by cost savings" or "About equally" by cost and capabilities
  • 73% of the respondents indicated SIP Trunks and consolidation were a strong purchase driver
  • The ability to "Add new SIP-based features" was a strong driver for 50% of the respondents
  • VoIP (89%), Unified Communications (69%) and video conferencing (65%) are the most important types of media to be controlled via SIP

The top inhibitor among "non-implementers" was not surprising, as 29% responded that services were not available at all of their network locations.

The Session Border Controller - An Essential Component of SIP Trunking

With the second generation of SBCs emerging, a number of additional features beyond security are now becoming available. Because of the critical role of SBCs in all types of communications, unrelated to security, "Reliability" ranks as the most important SBC feature for users at 88%. "Scalability" is a very strong second — at 78%, the high rank underscores that respondents understand multimedia communications mandate scalability for both multiple users and modes of communication. On a related note, 59% of respondents stated that their SBC must be "Capable of handling different types of multimedia traffic." "Support for trunks with SIP and non-SIP traffic" was also significant at 58% as users clearly desire the capability to support both SIP and non-SIP traffic on the same trunk, allowing for dynamic utilization of all available bandwidth.

To download a copy of the ‘2012 SIP Trunking' State of the Market report click here.

Quotes

"SIP has been a relevant topic for almost a decade but we are just now seeing the adoption and implementation of the technology take off as the barriers to implementation disintegrate," said Steve Taylor, Editor-in-Chief and Publisher for Webtorials. "The ‘2012 SIP Trunking' State of the Market report identifies the growing trend of large enterprise SIP Trunking deployments and outlines how the value users seek goes beyond cost savings to enable new features and applications."

"Large enterprises continue to seek more and more efficient and flexible communications network foundation as a way to reduce complexity and cost, while increasing capability," said Wes Durow, Vice President of Global Marketing at Sonus. "This study from Sonus and Webtorials reflects the growing momentum behind SIP Trunking deployments as a way to drive cost savings, while enabling new features such as Unified Communications or video across the whole of a company."

Other Facts

  • Enterprises can reduce their traditional telecom bills by up to 75% through SIP trunking, trunking centralization and the deployment of VoIP
  • A SIP-based Unified Communications infrastructure could reclaim 23% of the productivity lost on inefficient communications in large enterprises, or 1.21 hours per employee per day, as noted in the '2012 Economic Impact of SIP in the Enterprise' State of the Market Webtorials report commissioned by Sonus and Webtorials
  • Infonetics Research shows Sonus as the fastest-growing SBC vendor ("Service Provider VoIP Equipment and Subscribers," 4Q11 report); growing almost 4x faster than the market average
  • A new Infonetics Research report shows the Enterprise SBC market up 60% in 2011 from 2010 as SIP trunking adoption grows while the global SBC service provider market is expected to grow 20% year-over-year through 2016
  • Sonus counts several Fortune 500 enterprises among its SBC customers, including some of the world's largest banks, airlines, retailers and healthcare providers

Additional Resources

  • Attend a free half-day event powered by TMC and sponsored by Sonus and Arrow S3 to get all of your questions answered about successful SIP implementations. Visit http://sip-seminars.tmcnet.com/ for more information
  • '2012 Economic Impact of SIP in the Enterprise' Webtorials 'State of the Market' report and savings calculator sponsored by Sonus
  • Sonus recently published the first-edition of the Session Border Controllers For Dummies reference book in partnership with John Wiley & Sons, Inc. Download a complimentary copy here

Tags/Keywords

Sonus, SONS, Webtorials, IT priorities, IT cost savings, session border controller, SBC, session initiation protocol, SIP, SIP trunking services, IPsec, media transcoding, ipv6 interworking, Sonus SBC 5100, Sonus SBC 5200, Unified Communications, UC, Cloud VoIP communications, Session Management, enterprise communications.

About Sonus Networks

Sonus helps the world's leading communications service providers and enterprises embrace the next generation of SIP-based solutions including VoIP, video and Unified Communications through secure, reliable and scalable IP networks. With customers around the globe and 15 years of experience transforming networks to IP, Sonus has enabled service providers and enterprises to capture and retain users and generate significant ROI. Sonus products include session border controllers, policy/routing servers, subscriber feature servers and media and signaling gateways. Sonus products are supported by a global services team with experience in design, deployment and maintenance of some of the world's largest and most complex IP networks. For more information, visit www.sonus.net or call 1-855-GO-SONUS.

Important Information Regarding Forward-Looking Statements

The information in this release may contain certain forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995 regarding future events that involve risks and uncertainties. Although Sonus believes that its expectations are based on reasonable assumptions, readers are cautioned that these forward-looking statements are only predictions and are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. All statements other than statements of historical facts contained in this report are forward-looking statements. Our actual results may differ materially from those contemplated by the forward-looking statements. For further information regarding risks and uncertainties associated with Sonus' business, please refer to the "Management's Discussion and Analysis of Financial Condition and Results of Operations" and "Risk Factors" sections of Sonus' filings with the Securities and Exchange Commission. Any forward-looking statements represent Sonus' views only as of the date on which such statement is made, and should not be relied upon as representing Sonus' views as of any subsequent date. While Sonus may elect to update forward-looking statements at some point, Sonus specifically disclaims any obligation to do so, except as required by law.

Sonus Networks
Kerry Brackett, 978-614-8784
kbrackett@sonusnet.com
or
Lois Paul & Partners
Jackson Connell, 1 617-986-5748
sonus@lpp.com

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