DECT Phone Use To Rise In Business: Report

By Staff On Oct 27 2008 - 6:00am

Worldwide revenues from DECT phones will grow from $280 million in 2007 to $318 million in 2014, according to a new report from Frost & Sullivan.

New products, such as SIP DECT and IP DECT phones, combined with improvements to existing DECT phones will drive “the continuous penetration of DECT technology in untapped markets,” the report noted.

While well established in Europe, DECT has only just emerged in the U.S. and other regions, which will be the center of future growth.

Introduced into the U.S. in 2005, DECT phones claimed a majority of the dollar volume at retail through the middle of 2008, according to The NPD Group.

In the business market, firms tend to chose IP DECT or SIP-based DECT products if they're saddled “with legacy or hybrid systems, enterprises with mobility needs and no planned WLAN infrastructure.” Small businesses are also ripe for DECT adoption, the report concluded.

DECT will not march unchallenged into the business market however, the report cautioned.

“Another challenge for DECT manufacturers and providers is the rising popularity and penetration of different types of IP endpoints such as IP desktop phones, softphones, and VoWLAN single- and dual-mode devices,” the reported noted. “Price reductions, due to advances in technology, and intense competition are severely constricting profit margins for both DECT manufacturers and resellers.”

The technology will also need to be refined to scrub the perception that it is simply a consumer-based technology, the report said.

“DECT manufacturers and suppliers must also showcase the general characteristics of DECT handsets, including durability, battery life and user density in order to boost sales and marketing efforts. With the entry of new market participants and the growing popularity of DECT 6.0 products in the consumer space, the market expects to maintain its current growth trajectory.”

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