What is the looming US recession doing to the Voice over Internet Protocol VoIP industry?

It is well known that the current situation in the United States has led to a significant slowdown in the economy. This ominous event is seen with: skyrocketing gas prices, rising prices of precious metals like gold, falling US dollar, high unemployment rates, and plummeting home values. All of this leads to lower business-to-business (B2B) and consumer-to-business (C2B) spending. These elements have fueled the media firestorm and terrified many Americans.

On a positive note, VoIP is very inexpensive compared to traditional PSTN phone services, so it’s in a good position to weather a cyclone like a likely looming US recession. More businesses could switch to VoIP to save money. This is especially true due to high travel costs due to rising fuel prices. VoIP allows employees to telecommute at low prices. Webex and 1videoconerence, also known as vmukti, are examples of low-cost video conferencing providers. Conferences are a green solution because they allow people to get on planes and cars less often, saving on personal carbon footprints. If some small VoIP termination providers go out of business due to this virtual recession, other companies will be able to increase their share of the VoIP market, improving their bottom line. VoIP customers will benefit from reduced VoIP provider prices due to excess network capacity. It may be brutal, but the VoIP industry is better established than it was in 2001 and it won’t be eliminated indefinitely.

On the negative side of the spectrum, companies using VoIP can reduce it. VoIP service providers must be able to handle small amounts of traffic, or they may not get any business. VoIP software providers and equipment manufacturers will see less sales due to reduced business. They will need to find creative new ways to get more business with less demand.

Service delivery platforms provide VoIP service providers with hosted PBX solutions, callback, SIP blocking solutions, policy control, softphones, and other features. Providing open source technology that makes many of their services free and available to everyone is one way that hosted platforms for network and application providers are overcoming the problems that the looming recession is causing. Open source initiatives are growing internationally faster than on US soil due to more aggressive proprietary attitudes in the US and a lazy attitude abroad.

We will have to wait and see how this all plays out, and see how far the nadir of this upcoming recession will go. Despite this, the VoIP industry appears to be in good shape. Perhaps VoIP industry analysts are right because low VoIP costs won’t hurt the VoIP industry as much as they would a manufacturer of luxury goods that are highly vulnerable to a faltering economy like Apple, which makes DVD players. mp3 for iPod, iPhones, Apple TV, accessories. and more. Perhaps industry insiders are too confident about how VoIP will hold up in the likely downturn. I think in this case the coach is right.