Wednesday, August 01, 2007

Who is the Top VoIP provider in USA?

According to a Yankee group report released on Monday, Comcast os the comcastic service provider.
The Cable TV company with it's multi service model, bundled VoIP IP Telephony services, managed increase the service, 167 percent in 2006 from 3.9 million subscribers to 6.3 million, the report said. The same report predicts that the number will reach 26.2 million by 2011.

This is certainly comcastic for Comcast given that initial service was plagued by quality concerns and the 911 issues are still lingering. But the company seems to have reached the best segment in the market. Many cable users, however, are not aware that their phone service is basd on VOIP, not the traditional copper phone wiring. In a separate 2006 survey, the Yankee Group found that only 9.5 percent of cable telephony subscribers knew what powered their phone service.

Comcast recently emerged as the telephony leader when it reported 2.4 million subscribers during the first quarter of 2007, an 813 percent increase. Those numbers bested previous champ Vonage, a broadband VoIP provider, which struggled last year after a weak IPO and patent battles with Verizon, the report said.

Despite those issues, however, Vonage still managed to add 1.2 million lines in 2006, a 75 percent subscriber increase. The company also added 166,000 lines during the first quarter of 2007.

Maintaining that growth comes with a price – about $300 to attract every new subscriber, the report said. The hefty cost of acquiring new customers likely contributed to the downfall of another broadband VoIP provider, SunRocket, the Yankee Group suggested.

Nonetheless, the Yankee Group predicts that broadband VoIP will grow from 2.8 million customers in 2006 to 6.4 million in 2011. The growth will likely be led by innovative technologies and decreased pricing, the report said.

Going forward, fiber-to-the-home (FTTH) VoIP could be a major threat, the report said. This segment of the market is "almost negligible when compared with the overall consumer VoIP market" but it could explode in the coming years given ongoing fiber projects like Verizon's FiOS and AT&T's U-verse, it said.

Comcast Tops VOIP Providers in 2006


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