Video Conferencing Market By Deployment mode (Hardware, Solution, Services) By Hardware (Multi point Control Unit, Hard Codec, Peripheral Devices) By Deployment mode (On-premises, Cloud) By Application (Corporate Communications, Training and Development, Marketing and client engagement) - Growth, Share, Opportunities & Competitive Analysis, 2016 – 2028

What role does technology play in the video conferencing market?

Video conferencing solutions boost team productivity across multiple locations and time zones throughout the world by enhancing communication, training and development, knowledge sharing, employee and client engagement, and marketing. To improve flexibility and reliability in internal company processes, enterprises and SMEs are increasingly turning to cloud-based video conferencing solutions. In addition, the incorporation of new technology represents a substantial opportunity for the video conferencing business in the next years. 5G networks give an upgraded internet experience with speeds of up to 1 Gbps and latency of 10ms, as well as a platform for cloud and AI-based video applications. IT and telecom, retail, healthcare, automotive, media and entertainment, BFSI, and agricultural all have varied video conferencing needs, such as high bandwidth, low power, ultra-low latency, and high speed.

To meet the growing demand for video conferencing, network Hardware must be raised by utilising new spectrum, which would result in widespread adoption of the 5G core for the 5G technology implementation for improved mobile broadband services. For instance, there were around664 million active 5G subscriptions in 2021. By 2027, this number is expected to have increased by more than sixteen fold, with around 4.39 billion active 5G subscriptions. Furthermore, Real-time visual conferences between one or more participants are known as video conferencing sessions. In the near future, market growth is likely to be driven by the integration of developed technologies such as Artificial Intelligence (Al), Internet of Things (loT), and cloud technology. In recent years, the Internet of Things (IoT) has become a big consumer trend. In 2021, the number of worldwide IoT connections increased by 8% to 12.2 billion active endpoints, a far slower rate than in prior years. By 2025, it is expected that there will be around 27 billion linked IoT devices as supply limitations ease and demand increases.

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What is the Market Size of Video Conferencing in terms of value?

The global Video Conferencing Market is projected to increase at a significant CAGR of 11.10% in the coming years. In 2021, the worldwide video conferencing market was worth USD 6279.5 million, and by 2028, it is expected to be worth USD 12655.15 million. The demand for Video Conferencing is projected to increase substantially in the coming years and is presumed to generate revenue opportunities for the key industry players worth USD 5925.65 million during the forecast period of 2022 and 2028. 

What impact has Covid 19 had on the video conferencing market?

The rising lockdown situation caused by COVID-9 affects all enterprises. As a result, with the adoption of the work-from-home model by all technological enterprises, demand for video conferencing solutions is likely to rise. With COVID-19, the entire workforce has shifted to remote working, paving the path for video conferencing systems and hardware devices. Post-pandemic, applications such as Microsoft Teams, an in-built application of Office 365 that is already used by most organisations for end-to-end productivity with email and storage capabilities, enjoyed tremendous growth. The Zoom meeting solution is also growing in popularity due to its feasibility and convenience of use. Due to the growing impact of COVID-19 on government work, the government and defence industry is likely to make a substantial contribution to the overall video conferencing market. During the shutdown in 2020, governments are expected to use video conferencing to connect with various government agencies in order to enhance output and operations.

Interesting Facts about Video Conferencing Industry

  • The key drivers of growth include the growing tendency of remote working, geographically dispersed company activities, and more globalisation. In addition, the market is expanding due to rising demand for video conferencing solutions in the education and healthcare sectors. As a result of the significant growth in the video conferencing business in recent years, the sector has gained tremendous traction, particularly during the COVID-19 outbreak following lockout restrictions.
  • North America region had a major share in terms of volume as well as value in the global Video Conferencing market in 2021 and is projected to continue its dominance over the forecast period.
  • Dedicated video conferencing networks, as well as high-priced end-points like high-definition (HD) monitors, cameras, and microphones, have contributed significantly to total video conferencing industry income.
  • The global video conferencing market includes both major and small manufacturers and suppliers. The video conferencing market's players are currently working on delivering advanced software and integrating new capabilities inside the software to enable video conferencing across business boundaries and to fulfil the demand to monitor video delivery and quality. Furthermore, suppliers are implementing partnership and acquisition tactics in order to compete effectively in the regional market.

Who are the Top 10 players/companies in the Video Conferencing market in term of value?

The key players in the global Video Conferencing market in terms of value include Microsoft (US), Zoom (US), Cisco (US), Adobe (US), Huawei (China), Google(US), Kaltura (US), BlueJeans Network (US), Kollective Technology (US), StarLeaf(UK), HighFive (US), Logitech(Switzerland), Barco(Belgium), Avaya (US), AWS (US), Poly (US), LogMeIn (US), Enghouse Systems (Canada), Pexip (Norway), Qumu (US), Sonic Foundry (US), Lifesize (US), Fuze (US), Haivision (Canada)and Premium Global Services (US). These key players are concentrating on new product developments as well as technological innovation to enhance their production in Video Conferencing to gain competitive market share at a global level. For instance, in January 2021, Microsoft collaborated with SAP to provide new connectors between Microsoft Teams and SAP solutions such as SAP S/4HANA, SAP SuccessFactors, and SAP Customer Experience. On the other hand, in September 2020, Zoom Video Communications, Inc. and Lumen Technologies, Inc. collaborated to integrate Zoom into Lumen's unified communications and collaboration platform. Using Zoom's video-first unified communications technology, Lumen will be able to provide expanded video communications services to its increasing global customer base.

Who are the Top 10 Countries in the Video Conferencing Market?

In the global Video Conferencing market, the major countries are US, Canada, China, Japan, Australia, Germany, France, Italy, Spain, and UK. The largest market share is in United States. The video conferencing market in the United States is expected to increase at a significant rate, owing to the increasing usage of cloud-based solutions. With the surge in video conference meetings, various video conferencing businesses, including Google LLC, Microsoft Corporation, and Zoom Video Communications Inc., have created technologically advanced cloud-based videoconferencing solutions to produce a more user-friendly application. Users can download the programme on numerous platforms, such as smartphones, Training and Developments, and Marketing and client engagements, boosting market income. According to a survey performed in June 2021, 70% of businesses intend to employ hybrid operations. Several organisations, including Spotify, Adobe, Twitter, and Salesforce, have adopted the strategy. Furthermore, according to Microsoft's Work Trend Index 2021, 66 % decision-makers in the United States are thinking about changing physical workspaces to match the needs of hybrid workplaces. Market players' initiatives are driving revenue growth in the market in the United States. For instance, in September 2021, Zoom Video Communications, Inc. joined the AWS Partner Network (APN) for Public Sector Partners and is scheduled to offer its Zoom for Government solutions to Amazon Web Services' public sector partners through the AWS Marketplace. Zoom Meetings and Chat, Zoom Rooms, and Zoom Video Webinars will be offered to AWS' federal, state, and local government customers via AWS Marketplace, which is housed on AWS GovCloud infrastructure and co-located data centres in the United States.

Which is the Key deployment mode segment in the Video Conferencing Market?

The on-premise category dominated the market in terms of deployment. This is mostly due to the increased acceptance of this deployment approach across large enterprises in response to growing data security concerns. However, the increased preference for cloud technology is projected to impede segment growth in the future years. However, the cloud deployment segment is expected to grow at a rapid pace. Cloud technology improves accessibility by providing easy access to video conferencing services via many channels, such as mobile devices and Marketing and client engagement computers. Furthermore, the growing adoption of the Software as a Service (SaaS) platform, which has attracted a large number of small and medium-sized businesses, is driving category growth. According to AmazonWeb Services, Inc., SME's will drive their cloud business in India in 2022.

What are the Major Driving Factors for Video Conferencing Market?

The rising trend of remote working, geographically dispersed corporate activities, and increased globalisation are the primary reasons driving growth. Furthermore, rising demand for video conferencing solutions in the education and healthcare sectors is driving market growth. The sector has gained tremendous traction in recent years, particularly during the COVID-19 epidemic following lockdown limitations, as a result of the rapid surge in the usage of video conferencing market. Furthermore, the introduction of conferencing platforms based on machine learning and artificial intelligence (AI) is providing the industry with promising growth opportunities. The growing demand for video conferencing to support offshore operations and a work-from-home culture, as well as the growing demand for better engagement than phone conferencing, are all expected to fuel revenue growth in the global video conferencing market.

What are the major market restraints for video conferencing?

The lack of experience with online meeting technology is likely to impede market revenue growth. Environmental changes, as well as software, hardware, and network issues, can disrupt remote connections. In the event of a service disruption, the lack of technical help may pose a difficulty. Furthermore, issues such as enhanced self-consciousness regarding appearance, gaze awareness, and transmission delays, which are likely to stymie market revenue growth during the projection period, might stymie productivity and generate anxiety in employees while video-conferencing.

Which Region Dominated the World Video Conferencing Market?

In 2021, North America dominates the Video Conferencing market over the forecast period. The market's rapid revenue growth rate can be ascribed to the increasing presence of a large number of enterprises and the growing adoption of work from culture. Factors such as the expanding work-from-home lifestyle and rising demand for high-speed video communication devices are driving the growth of the video conferencing market. Video conferencing increases productivity, saves time, lowers travel costs, and fosters overall collaboration in this region. Furthermore, the presence of prominent market competitors such as LifeSize Communications, Inc., Microsoft Corporation, Adobe, Inc., Cisco Systems, Inc., and Zoom Video Communications, Inc., among others, is likely to fuel the region's market revenue growth. These factors are projected to boost video conferencing adoption in the region. Moreover, several private organisations are investing in the development of video conferencing platforms to improve team collaboration and customer satisfaction, which is likely to fuel market revenue growth. For instance, in October 2021, 100ms, a video infrastructure platform, raised USD 4.50 billion in seed capital led by Accel and Strive.vc. Companies can integrate Zoom-style video conferencing to their products in hours thanks to 100ms. The startup was formed by the same team that built the live video infrastructure that powers billions of video minutes every day at Facebook and Disney.

Asia Pacific is expected to have the highest growth rate because of the region's strong presence of industries such as BFSI, healthcare, and IT, among others. Increased government initiatives and funding for research and development of new made-in-country video conferencing software will boost video conferencing demand. The Ministry of Electronics and Information Technology of India announced on 20 August 2020 that it will fund USD 128,932 (INR 1 crore) in the first year and USD 12,894.08 (INR 10 lakh) over the next three years for the creation and maintenance costs of a country-made videoconferencing programme to compete with Zoom video meeting application.

Segmentation of Global Video Conferencing Market-

Global Video Conferencing Market – By Deployment mode

  • Hardware
  • Solution
  • Services

Global Video Conferencing Market – By Hardware

  • Multi point Control Unit
  • Hard Codec
  • Peripheral Devices

Global Video Conferencing Market – By Deployment mode

  • On-premises
  • Cloud

Global Video Conferencing Market – By Application

  • Corporate Communications
  • Training and Development
  • Marketing and client engagement

Frequently asked questions about the global Video Conferencing industry

The global Video Conferencing market is expected to be affected positively by COVID-19.

North America accounted for the highest share in the global Video Conferencing market in terms of value.

The key drivers of growth include the growing tendency of remote working, geographically dispersed company activities, and more globalisation. In addition, increased demand for video conferencing solutions in the education and healthcare sectors is propelling market expansion. As a result of the rapid growth in the video conferencing business, the sector has gained considerable traction in recent years, particularly during the COVID-19 outbreak following lockout constraints.

Hardware segment had a major share in 2021 with more than 40% of the market revenue share.

On-premise segment had a major share in 2021 with more than 60% of the market revenue share.

Video Conferencing Market Scope

Report Attribute Details
Market Value in 2021 USD 6279.5 million
Market Value in 2028 USD 12655.15 million
CAGR 11.10%
Benchmarking Year 2021
Past Data 2016 – 2021
Forecast Period 2022 – 2028
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Published Date:  Jul 2022
Category:  Technology & Media
Report ID:   57718
Report Format:   PDF
Pages:   190
Rating:    4.7 (78)
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