The combination of fewer subscribers and declining usage with the same fixed cost structure means that the per-subscriber costs are on the rise. Voice margins are being compressed from the bottom as well as the top with ARPU also under pressure.
Some vendors do not even exist anymore and parts, skills or support for switches is non-existent. Whether you have TDM or early generation VoIP, these solutions are nearing end-of-life and will soon need to be replaced. It might not be this month but change is coming to your network. You can get ahead of that change and avoid pain and disruption by upgrading now.
Old-iron boxes and softswitches of yesteryear are complex, clunky and lack innovation. And they are increasingly inadequate to deliver the right features at the right price in the age of unified communications. The product life cycle of VoIP hardware is on the downward slope due to new cloud and virtualization technologies.
New technologies and evolving user habits are profoundly impacting the market and government regulations is in flux. This leads to uncertainty and risk. The voice networks of tomorrow need to adjust to this new reality.
You know you need a virtualized software solution, but building the next network is risky, expensive and the path to get there will take multiple years. In fact, The Standish Group reports that only 31% of software projects are successful, of these successful projects only 46% return high value. The state of voice demands change now. You need a road map to the next network solution today.
While voice remains a huge market and there are opportunities to grow revenue with business VoIP, you need to focus on your core competencies and growth initiatives. Building your own voice network is no longer a strategic imperative. Broadband, mobility, APIs and customer service are where your resources are best spent.