Entrepreneurs considering entry into the world of Internet phone service may be having second thoughts these days. In the wake of high-profile flameouts like Sunrocket and poor stock performance from the likes of Vonage, anyone looking to become a provider of Internet phone service might have good reason for pause. And yet, one should never judge a book by its cover. A closer look at the Internet phone service market shows some positive signs. According to market researcher In-Stat, the global consumer Internet phone service market experienced major year on tear growth from 2005 to 2006. The forecast posits that by 2011, 38% of broadband households worldwide will subscribe to some form of Internet phone service.
The consumer market speaks to just one side of the opportunity in Internet phone service. There is the business market as well.
One company addressing this space is RingCentral, a leading provider of web-based communications products for small businesses. Recently the company demonstrated integration of its Internet phone service with Microsoft’s Office Live platform.
The goal of the demonstration was to show business customers that integrating with Office Live would enable them to manage components of their RingCentral Internet phone service from within Office Live. Examples includes the ability to add ‘click-to-call’ capabilities to their Web site, accessing detailed call log information, listening to voicemail, viewing faxes and more.
According to Jay Blazensky, vice president of strategic partnerships at RingCentral, ‘Partnering with Office Live makes it easy and affordable for small businesses to establish a professional image over the phone and the web.’
Partnering with market leaders like Microsoft, whose products and services are already found in most businesses, shows that Internet phone service indeed has a place in today’s business environment.
The point is that opportunities exist in the nascent Internet phone service market. Research shows that as customers become more familiar with the technology and more accepting of Internet phone service, the market will soar. So if you are an entrepreneur looking at Internet phone service, don’t despair. Look to the examples set by successful players in the space, and look away from the headlines that highlight only the negative news in the Internet phone service market.