The International Data Corporation (IDC) Worldwide Enterprise Videoconferencing Equipment QView showed mixed results in the second quarter of 2016 (2Q16) with overall videoconferencing equipment revenue increasing 2.0% quarter over quarter but down slightly (-0.4%) year over year.
Total worldwide enterprise video equipment revenue in 2Q16 was more than $505 million, up from about $495 million in 2Q15. The total number of videoconferencing units sold in 2Q16 (104,209) increased 2.8% quarter over quarter and 5.2% year over year.
From a market segment perspective:
- Multi-codec telepresence equipment revenue ($31.0 million) was up 29.9% quarter over quarter, but down 2.8% year over year. Unit shipments were up 23.8% sequentially and 9.8% year over year.
- Room-based videoconferencing system revenue ($352.5 million) decreased 2.0% quarter over quarter but increased 3.8% year over year. Unit shipments increased 4.2% quarter over quarter and 13.2% year over year.
- Personal videoconferencing systems revenue ($38.7 million) – including executive desktop systems – decreased 7.4% quarter over quarter and declined 35.8% year over year. Likewise, unit shipments were down 2.3% quarter over quarter and 16.0% year over year.
- Video infrastructure equipment revenue ($82.9 million) – including MCUs and other video-related infrastructure – increased 18.5% quarter over quarter and 9.9% year over year.
Regional results in 2Q16 were as follows:
- North America revenue decreased both quarter over quarter (-4.8%) and year over year (-3.1%).
- Latin America revenue decreased both quarter over quarter (-12.1%) and year over year (-14.0%).
- Europe, Middle East & Africa (EMEA) revenue decreased both quarter over quarter (-1.2%) and year over year (-15.2%).
- Asia/Pacific revenue increased 14.2% quarter over quarter and 19.5% year over year.
“Worldwide videoconferencing equipment revenue managed a modest 2% sequential gain in the second quarter, thanks mostly to strength in the Asia/Pacific region. Year-over-year revenue was slightly negative in the quarter, as the challenge continues for vendors to maintain positive video equipment revenue growth,” said Rich Costello, senior analyst, Enterprise Communications Infrastructure. “We also saw a good trend continue in this quarter, as the number of video units sold increased both quarter over quarter and year over year, albeit at modest growth levels.”
Key Vendor Highlights
- Cisco’s results showed decreases in both quarter over quarter (-0.6%) and year over year (-3.2%) revenue in 2Q16. Cisco remained the leader in enterprise videoconferencing equipment with a 44.3% share of the worldwide market.
- Polycom’s results showed decreases in both quarter over quarter (-3.6%) and year over year (-20.8%) revenue in 2Q16. Polycom ranked second in enterprise videoconferencing equipment with a 19.7% share of the worldwide market.
- Huawei’s results showed increases in both quarter over quarter (30.1%) and year over year (41.6%) revenue in 2Q16. Huawei ranked third with a 14.2% share of the worldwide enterprise videoconferencing equipment market.
IDC’s Worldwide Quarterly Enterprise Videoconferencing and Telepresence Qview provides total market size and vendor share data in an easy-to-use Excel Pivot Table format. The overall market is further segmented by product type [Immersive Telepresence, Room-based Videoconferencing, Personal Videoconferencing, Video MCU and Other]; form factor (Endpoint, Infrastructure); and screen definition (High Definition, Standard Definition). Measurement for the enterprise videoconferencing and telepresence market is provided in factory revenue, and unit shipments.
For more information about IDC’s Worldwide Quarterly Enterprise Videoconferencing and Telepresence Qview, please contact Kathy Nagamine ([email protected]).
