Covad Gets In-Stat Kudos Print E-mail
Written by Adam Gosling   
Friday, 05 January 2007
American hosted VoIP services provider, Covad is the largest national provider in the business segment according to industry research outfit In-Stat.


Little surprise however, it is the fourth year in a row In-Stat has named the SMB service provider as market leader.

But the increased competition in the US market for hosted services makes the achievement more difficult each year. The rewards for dominating this market are getting increasingly significant, however.

In-Stat predicts the market for hosted VoIP services will continue to grow, with domestic revenues exceeding US$2 billion by 2010. This represents an 80 percent compound annual growth rate over 2005.

"Covad has remained the hosted VoIP market leader by providing businesses with the right value proposition," said David Lemelin, In-Stat senior analyst and the author of the report.

"Covad has adapted well to the changing dynamics of the business marketplace. The introduction of their Clear Edge Office product is designed to meet the needs of smaller businesses where we expect to see increasing adoption of hosted solutions. This gives Covad a complete portfolio of hosted VoIP services, designed to meet the needs of businesses of all sizes."

In his report, Lemelin recognises Covad for its effective use of existing broadband distribution channels to market its voice solutions. He also identifies Covad's Voice Optimized Access, which enables voice traffic to be prioritized over data traffic, as a competitive differentiator.


Lemelin concludes that VoIP is now in an accelerated adoption stage as businesses are beginning to better understand the multiple IP voice alternatives available to them and accordingly seek out business-class solutions.

Covad offers these small and medium-sized businesses (SMBs) an alternative to more expensive or complex solutions that were designed for much larger businesses, as well as a long-term solution for outsourcing communications needs to a trusted partner.

www.covad.com
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