FROST & SULLIVAN: Shift from proprietary-based to open architecture systems promises to boost CTI
February 16, 1999
M2 PRESSWIRE:
According to a new study by Frost & Sullivan,
the international marketing consulting
company, the major trends impacting and
driving growth behind the total European CTI
(Computer Telephony Integration) boards and
software market include the switch to open
standards and Windows NT-based operating
systems as well as the availability of a whole
new array of applications.
Dwindling prices luring first-time buyers,
integration with the Internet and the
penetration of new potential markets, such
as utilities services, represent further factors
pushing revenues in the total European
market from US$1.17 billion in 1998 to
US$6.10 billion in 2004.
Triggered by established software companies'
product launches, such as Microsoft's
telephony applications programming interface
(TAPI) and Novell's telephony services
applications programming interface (TSAPI),
the migration of CTI technology from
proprietary-based systems to open
architecture systems has enabled the SME
(small to medium sized enterprises) sector to
apply CTI technology.
Market consolidation over varying industry
standards will add further dynamism to the
total European CTI market. Market players
are beginning to realise the advantages that
common standards have over the use of
proprietary technologies. A whole raft of
system manufacturers and technology
vendors are now developing their latest range
around standards which are common to the
industry, the study says.
"Customer demand for modular systems is
expected to further boost sales in the
European CTI market. An increasing number
of customers of CTI systems manufacturers
and technology vendors find the modular
concept to be most suited to their business
growth, especially within the SME sector,"
says Sapna Capoor, Research Analyst at
Frost & Sullivan.
Desktop CTI usage will continue to be
primarily be steered through software
loadable modules. Thus, upgradability and
scalability of CTI applications will
progressively become a more affordable
reality. As far as CTI call centres are
concerned, the same principles for software
loadable modules will apply with the
incorporation of Windows NT, making usage
more user-friendly and informative. Software
development has also allowed the possibility
of remote access, such as virtual call
centres.
The number of companies that are engaged
in developing CTI applications is growing as a
consequence of lower entry costs into the
market. This has resulted in rising numbers
and types of applications on offer - the vast
array of CTI applications is set to fuel
revenue growth over the forecast period.
The product market is dominated by the
software boards sector, accounting for 46.8
per cent. of total revenues in 1998. The most
active segment, however, is the CTI voice
and fax boards market, mainly due to the
rapid technological changes experienced in
the market such as multifunctionality of
boards and a rise in port density per board.
Sapna Capoor continues: "Interoperability of
CTI technology is another factor that will
lend itself to open client/server architecture
in the CTI market."
Key strategic recommendations include
finding the right kind of partnerships in the
CTI industry for manufacturing, development,
marketing and distribution of CTI technology.
Major challenges faced by the CTI industry
are the ability of manufacturers and software
houses to devise strong marketing strategies
in order to capture niche markets and thus
gain wider acceptance and heightened
interest in CTI technology.
The main markets are expected to be those
of the United Kingdom, Germany and France.
In 1997, these countries accounted for 53.4
percent, 17.3 percent and 9.6 percent,
respectively of total European revenues.
These countries are expected to continue
having a stronghold on the CTI market.
Frost & Sullivan's study concludes: "CTI
technology is increasingly becoming a
permanent feature in large sized companies
with the SME's slowly following suit. The lack
of in-house expertise identified in Frost &
Sullivan's study is expected to result in more
frequent usage of consultancy and
management services. Thus, CTI
management and consultancy services
offering sound advise on planning,
implementation, and monitoring should
progressively develop with these advances."
Frost & Sullivan is an international marketing
consulting company that monitors a
comprehensive spectrum of high-tech
markets, including the telecommunications
industry for market trends, market
measurements and strategies. This ongoing
research is utilised to complement a series of
research publications such as the European
market for Desktop Videoconferencing (3358)
to support industry participants with
customised consulting needs. Free executive
summaries of all Frost & Sullivan reports are
available to the press. |
