Makers emphasize video capability, intelligent systems and cable-free technology to extend market reach.
China makers of VoIP phones are emphasizing added value under efforts to raise performance and consequently competitiveness.
More suppliers are releasing models with multimedia system functions, wireless connectivity and intelligent OS, broadening the slew of features-laden units.
Although output of media phones is currently small, the technology used can transform a VoIP handset into an interactive device combining a touchscreen, browser and multimedia player. This segment is therefore expected to spur demand and production in the line. Among those that have released such variants are Grandstream, Xiamen Yealink and Fanvil Technology Co. Ltd.
Makers are also offering more cable-free selections, including 2.4GHz, DECT and Wi-Fi versions. The last, in particular, is foretold to be a major growth driver in years ahead, together with video streaming. Dual-mode WLAN models are gaining ground as well.
The broadening adoption of mobile VoIP is fueling wireless penetration further. Traffi c is forecast to jump by more than 100 percent annually till 2014, with the user base reaching 288 million by end-2013, according to Morgan Stanley and In-Stat, respectively. At the end of this year, the global industry will have seen 6 billion mobile VoIP program downloads, up from 2.4 billion in 2009, ABI Research forecasts.
The increasing presence of smartphone and mobile application stores provides superfluous impetus, giving people wider access to VoIP services.
The merging of the wholesale computer, communication and consumer electronics industries is aiding expansion further.
Another fast-rising trend is the innovation of intelligent systems, which enables users to develop their own platforms for specifi c applications such as hotel management and digital home.
Fanvil’s media wholesale phone serial S300 and IS600 have attracted buyers’ attention because of this feature. The latter boasts an intelligent OS and multimedia program that allows the user to control the device and access the Internet via a 7in touchscreen TFT LCD. It supports VoIP and PSTN modules, and enables photo frame and Internet TV.
Strengthening exports
Companies are optimistic of sustained growth in the next few years despite restrictions on VoIP implementation in some countries, including China. In 2008-09, VoIP service revenue from residential, SOHO and business installations increased by 20 percent to $41.6 billion, according to Infonetics Research.
Penetration in US businesses is forecast to reach 79 percent by 2013, compared with 42 percent last year. This refl ects widening technology deployment.
These developments augur well for China’s VoIP sphere, which remains the largest hub world(a). Approximately 60 to 70 percent of global stand-alone handset supplying and close to 100 percent of USB versions are made in the country. Output last year was estimated at 40 million phones, including USB types. Shipments are expected to rise by about 15 percent by end-2010.
While stand-alone variants are foreseen to expand in share in coming years, the USB segment will likely shrink.
At today, makers’ outbound deliveries average below 10,000 units due to VoIP restrictions in some countries and regions. Most have moderate growth projections and will rely on developments in the local telecommunications industry to boost sales.
Product range
China’s supply, which includes stand-alone, USB and wireless VoIP phones, encompasses low to high-end categories. Several companies are providing gateways, ATAs and PBXs as well.
Some manufacturers offer complete VoIP solutions constituting PBX systems, gateways and wireless handsets. Atcom, for instance, produces stand-alone and USB VoIP phones, PBXs and ATAs.
Models usually support SIP, MGCP or H.323. They incorporate G.711, G.726, and G.729 codecs. Power-over-Ethernet is an optional function.
Some midrange and upscale types enable multiple VoIP lines and programmable keys.
FOB prices of China-made VoIP units range from $35 to $350. Those classifi ed as low-end have elementary call functions, a phone book, incoming, outgoing and missed call log, an LCD and customizable language. These are quoted from $35 to $50.
Midrange variants, priced from $51 to $100, support the G.722 broadband codec, multiple VoIP lines, SMS capability, Wi-Fi and expansion modules.
New IC solutions are more and more adopted to enhance performance. Key components such as control ICs are procured from Infineon, Broadcom, TI and Myson Century.
Many manufacturers are also improving wholesale cosmetic designs to raise marketability.
Models in the high end are from $101 to $350 and are mostly multimedia phones. These have Internet access, photo frame and browser, and use H.264 and H.263 video codecs. Some have DECT, Wi-Fi, 3G and camera modules as add-ons.
At present, only versions from Fanvil are furnished with touchscreens. The company’s R&D efforts will center on 3G and DECT in the next 12 months.
Interviewed suppliers foresee price reductions of not more than 5 percent in coming months. Some project the cost of major control ICs will decline if shipments increase but expect very little growth in exports in months ahead.
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