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Worldwide UC&C revenues to hit $69.1B mark this year, IDC projects
The worldwide unified communications and collaboration (UC&C) market is forecast to reach US$69.1 billion in revenue in 2024, an increase of 7.5% compared to last year, according to a new report from International Data Corporation (IDC) released on Tuesday.
IDC defines UC&C as a “bundled, integrated UC/UCaaS and UC collaboration solution stack that may include an advanced telephony solution integrated with messaging (i.e., email, voice, and fax), instant messaging (IM) or chat, presence, and conferencing platforms for web conferencing, audioconferencing, and/or videoconferencing.”
The research firm notes that during the 2023-2028 forecast period, the market is expected to witness a slightly lower compound annual growth rate (CAGR) of 5.7%, reaching $85 billion by 2028.
Two software segments — UC collaboration (meeting software without voice telephony subscriptions) and unified communications as a service (UCaaS) (meeting software including voice telephony subscriptions) — accounted for most of the worldwide market revenue (89% in 2023), IDC said in a release.
Their share, the research firm said, “is expected to rise further as growth in the hardware segments (IP telephony and enterprise videoconferencing systems) turns negative over the forecast period. Meanwhile, the UC collaboration segment is forecast to outpace the overall market with a five-year CAGR of 7.6%.”
The study noted that among the drivers of UC&C adoption is the continued introduction of AI capabilities into offerings. This, said IDC, includes AI-enabled videoconferencing and telephony solutions that help improve productivity, as well as capabilities that improve business outcomes across employees and customers.
Jitesh Gera, research manager of unified communications and collaboration at IDC, said in an email, “AI appears to be the primary focus area for all UC&C vendors at the moment, especially since early 2023 when Microsoft launched Copilot.
Most companies, he said, “started with focusing on AI-based meeting transcriptions that power the creating of automated meeting summaries, notes, and action items. However, many are now moving towards more advanced capabilities like live coaching assistance for employees in customer-facing roles and productivity enhancements through automated content creation via integrations with email, presentation, and document management applications. These capabilities are also being applied to voice telephony for better customer interactions.”
Asked if these extra AI features are going to be bundled or come at an extra cost, straining CIO budgets, Gera said that while these are deemed to be valuable capabilities for businesses, they are still “nascent in terms of how they are packaged into UC&C solutions and the extent of time they have been used by organizations. Therefore, the market has not yet been able to properly quantify the productivity and collaboration enhancements AI capabilities can lead to.”
Some companies, like Cisco and Zoom, are including AI features in all their paid subscription plans, and others, like Microsoft, are charging separately for Copilot, he said.
Gera said, “it is important to note, though, that the value proposition for these organizations varies, as Microsoft’s Copilot takes a more holistic approach by covering many office productivity applications in addition to Microsoft Teams. Therefore, I think the monetization approach towards AI would vary by UC&C vendor, depending on factors like the stickiness of the platform with users, value added to the users businesses, and the sheer breadth and accuracy of the features to actually improve user experiences.”
Microsoft continued to lead the worldwide UC&C market with a 44.7% market share by revenue in Q1 2024, the release stated. It added that Zoom and Cisco followed distantly with a 6.4% and 5.5% market share, respectively. Other companies or offerings named in the report include Slack, Google Meet, Unify and Avaya.
IDC said it also expects cloud-based UC&C deployments will increase over time, replacing on-premises deployments as security and data integrity continue to improve. In addition, “the integration of UC solutions with contact center platforms will continue as buyers look to simplify their technology stacks and reduce their administrative load to work with single unified providers of UC, CC, and CPaaS capabilities.”
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UK proposes giving digital workers the ‘right to switch off’
Britain’s new Labour government is the latest legislature to consider how it might make it easier for digital workers using always-on technologies to turn them off at the end of the working day.
In Labour’s Plan to Make Work Pay, published before it won the UK’s July general election, it promised to address the issue, saying “We will bring in the ‘right to switch off’ so working from home does not result in homes turning into 24/7 offices.”
And this week it brought the issue back into the spotlight, with a government spokesperson telling the BBC, “Good employers understand that for workers to stay motivated and productive they do need to be able to switch off, and a culture presenteeism can be damaging to productivity,” a government spokesperson told the BBC on Monday.
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Zoom ups webinar cap to 1 million attendees
Zoom has raised the webinar attendee limit to one million users to enable large-scale events on the video meeting platform.
Zoom has proved an effective fundraising and voter engagement tool for Democratic political groups in the run-up to the 2024 US presidential election, with several celebrity-led events held in support of candidate Kamala Harris pushing the limits of the app.
One call, targeting white women, was so popular that it exceeded Zoom’s pre-existing 100,000 attendee cap, prompting the vendor to raise the limit to 200,000 on a temporary basis. Another three-hour event held last month, “White Dudes for Harris,” was even more popular, with almost 200,000 attendees, according to reports, raising over $4 million.
On Monday, Zoom announced that it has officially raised the webinar limit to 1 million attendees for all customers. Event organizers can now select the intended size of an event, with a cap of 10k, 50k, 100k, 250k, 500k, and 1m attendees, the company said in a press release. Webinars can last up to 30 hours and feature up to 1,000 “interactive” video panelists.
Zoom made no specific reference to the Democratic political group fundraisers in the press release. It said that it envisages a range of uses for such large-scale, one-off events, including massive internal corporate “all-hands” meetings, celebrity-hosted events such as fan “meet and greets,” brand product launches, and crisis communications for government agencies.
“Now event organizers have the flexibility and power to host truly interactive experiences on an unprecedented scale and the ability to purchase large single-use webinars,” said Smita Hashim, chief product officer at Zoom.
Holding such large events isn’t cheap, however, with reports that a webinar with 1 million attendees will cost around $100,000.
Zoom also stated that webinars that last longer than three hours may require “additional paid consulting services” from its Event Services team.
Microsoft intros ‘Loop 2.0’ with UI upgrades
Microsoft has unveiled Loop “2.0,” bringing several UI updates to the productivity app.
Announced in 2021, Loop is essentially Microsoft’s answer to the emergence of a new breed of flexible document creation apps such as Notion and Coda.
The Loop app, available with certain Microsoft 365 subscriptions since November 2023, is more complex than it may seem at first glance. It can serve as a shared workspace that multiple colleagues can edit in real time, with the ability to embed a variety of content, such as tables, polls, and even third-party apps. Loop “components” can also be inserted into other Microsoft 365 apps, with all components updated simultaneously as any changes are made. (Here’s a full explanation of how Loop functions.)
In a series of X (formerly Twitter) posts on Tuesday, the company highlighted several additions aimed at improving the Loop app’s UI:
- A “Create new” button now lets users add workspaces or draft ideas from anywhere in the app, rather than just the Loop homepage.
- Loop components and pages can be added to an existing or new workspace from a menu at the top of a Loop doc.
- A tab for Microsoft Teams meetings notes has been placed on the Loop sidebar.
- There’s a new “Favorites” section in the sidebar for frequently accessed workspaces.
- A “Recent” section on the sidebar provides quick access to the most recently opened Loop pages and components across Microsoft 365 apps.
Microsoft is rolling out the new Loop features now; they should be available to all users “very soon,” the company said.
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