In-Stat believes that LAN Telephony will ultimately be the dominant architecture of enterprise voice systems. LAN Telephony involves using the local area network: Ethernet cabling, routers, and data switches, with an application server for all voice communications. While the market is just ramping up to ship, the technology promises to offer innovative new applications never before seen in telecommunications. Complete handset and extension portability to remote locations, integration with contact management software, and worldwide IP based contact centers, are just a few examples of the benefits of LAN Telephony.

Large enterprises represent a multibillion-dollar market opportunity for providers of Internet Protocol (IP) telephony equipment and services. These enterprises have a growing need to increase corporate profits by reducing telecommunications costs. They also need to position their company's intranets and extranets to exploit emerging IP-based multimedia applications. It will not be easy for providers of IP-based telephony products and services to win business in this marketplace.

Internet Protocol Telephony: New Markets for Systems and Service Providers gives carriers/ISPs and software/ hardware companies the insights needed to seize the IP opportunity--use the Internet or an intranet to bypass the PSTN for long-distance voice and fax communications. The study provides: A strategic view of the markets and insights into new customer requirements and developments that create opportunities for all systems and services stakeholders Forecasts of key market segments for voice and fax communications over IP networks, so suppliers can quantify the real opportunities Insights and recommendations to help make the business case for IP telephony Scenarios of how key players are positioning themselves to help allies and competitors identify winning approaches Vendor profiles of leading ISPs and hardware/software suppliers.

This report details the current state of implementation for Internet protocol (IP) telephony in the enterprise and evaluates the growing demand for the various packet-based telephony technologies. Additionally, it reviews key carrier strategies associated with the rollout of these advanced services. For this study, Cahners In-Stat Group surveyed an audience of 128, consisting of technology decision-makers, strategic and technical planners, IT and operations managers, and telecommunications equipment buyers. The sample was comprised of small, medium, and large businesses.

CTI implements systems to support the convergence of voice and data. CTI supports applications integration. CTI supports IP telephony. CTI can be used in local area networks (LANs) to stem fax costs.

The IP voice equipment and services needs of more than 30 million small- and medium-sized enterprises (SMEs) worldwide make up a multibillion-dollar global market opportunity for IP telephony providers. These SMEs are increasingly well equipped with PCs that can process IP voice, and with LANs to transport IP voice packets. They are starting to use gateways and gatekeepers. They can take advantage of the special relationships of IP voice with data applications such as Internet call centers.