SOURCE: Infonetics Research

Infonetics Research

February 25, 2009 18:31 ET

Infonetics Research: Cisco takes lead in 2008 enterprise telephony market; ALU, Shoretel sole 4Q08 winners

BOSTON, MA--(Marketwire - February 25, 2009) - Communications market research firm Infonetics Research released the fourth quarter (4Q08) edition of its Enterprise Telephony report yesterday. Highlights from the market research report follow.


-- The worldwide enterprise telephony market dropped 14% sequentially in
   4Q08 to $2.3 billion, with vendor revenue down for all types of
   equipment (pure IP PBX, hybrid PBX, and TDM PBX)
-- The main cause of the decline is the lack of new business creation and
   business  expansion due to the difficult economic climate worldwide
-- Year-over-year, the overall PBX market is up 1.1%, with the IP PBX
   segments up and the TDM segment down as the market continues switching
   over from TDM to IP equipment and the economy tightens up
   -- Pure IP PBX revenue grew 25% worldwide in 2008, sustained by new
      product introductions such as NEC's new line of pure IP PBXs
-- Alcatel-Lucent and Shoretel are the only vendors posting PBX equipment
   revenue gains in the tough fourth quarter, with ALU's revenue up 13%
   sequentially, due in part to seasonality, and Shoretel's revenue up 1%
-- Despite a quarterly revenue loss, Cisco maintains its lead in overall
   PBX/KTS revenue market share in 4Q08, and in 2008, grabbed the lead for
   the entire year for the first time as well
-- Worldwide IP phone shipments are down 9% in 4Q08, but are up from the
   year-ago quarter (4Q07) and for 2008


"Because of the significantly deteriorating worldwide economic conditions, we expect the overall enterprise telephony market to contract fairly significantly in 2009. Once the world's major economies start growing again, however, a recovery in the PBX market will follow. We expect the market to stabilize in 2010, resume growth in 2011, and hit double-digit annual growth by 2012."

Matthias Machowinski, Directing Analyst, Enterprise Voice and Data, Infonetics Research


Infonetics' enterprise telephony report tracks 3Com, Aastra, AudioCodes, Alcatel-Lucent, Avaya, Cisco, Dialogic, Mitel, NEC, Nortel, Quintum, Samsung, ShoreTel, Siemens, Tadiran, Toshiba, Vertical, and others. The report provides worldwide and regional forecasts and market size for TDM PBX/KTS systems, IP PBX systems with hybrid and pure IP splits, IP PBX by system size, VoIP gateways, and IP deskphones and softphones. Pivot tables are included.


To download this report if your organization has purchased it, or to download sample data from the report, log on to Infonetics' portal from

For sales, please contact Larry Howard, vice president, at or +1 (408) 583-3335.

Infonetics Research ( is an international market research and consulting firm serving the communications industry since 1990. A leader in defining and tracking emerging and established technologies in all world regions, Infonetics helps clients plan, strategize, and compete more effectively.

Contact Information

  • Lead Analyst:
    Matthias Machowinski
    Directing Analyst, Enterprise Voice and Data
    Infonetics Research
    +1 (781) 933-9868
    Email Contact