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Massive Growth (20.1% CAGR) on the Horizon for Global Enterprise Video Market

Dec 8, 2017 9:24:39 AM / by Pinnaca

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6-12.jpgVisuals have always been an extraordinarily powerful way to communicate a message, and video has proven over time to be the most powerful mode of all. Since the mainstream adoption of the television in the early 1950s, society has fallen in love with motion pictures, animation, television advertisements and subsequent versions of visual communication. In recent years, the power of video has reached new heights as the combination of the internet and the advent of 3G mobile devices have given us access to video on-demand, 4G enhanced access to video with live streaming and 5G is predicted to provide even greater video capability.  

The evolution of technology, particularly as it pertains to video, has also changed the way that people conduct business. Far gone are the days when in-person meetings were the most valuable way of communicating with a customer, partner or colleague. Today’s video collaboration platforms allow for instantaneous communication, without the hassle or expense of travel, from any device connected to the internet. Face-time is still an extremely important aspect of professional relationship building, it’s just much easier to come by with video collaboration technology.

Market Projections

A Research and Markets Report predicts that the global enterprise video market is poised for astronomical growth in the coming years. The current market value is approximately USD 16.34 billion (2017) and is expected to jump to a USD 40.84 billion industry by 2022. That’s a compound annual growth rate (CAGR) of 20.1% in just a five-year span. [1] Given its growth,  the video conferencing segment is projected to account for the largest total market share within the global enterprise video industry from 2017 – 2022.

So, What Are the Reasons for the Anticipated Growth?

  • The vast majority of business professionals carry a video-capable device with them at all times. In fact, an early 2017 Pew Research survey found that 77% of Americans own a smartphone.[2]
  • The demand for high definition video conferencing is rapidly increasing, as the visual displays of tablets, smart phones and other video-capable devices, continue to evolve.
  • The remote workforce is increasing and video conferencing allows remote employees to feel connected. According to Owl Labs, 52 percent of employees work remotely at least once a week and video conferencing performs 30 percent better for communications than audio-only options.[3]
  • Reduction in travel costs and project times make video collaboration an attractive option in terms of ROI.
  • Video collaboration allows for more regular communication with customers, partners and employees, making for enhanced relationships and ultimately a more productive work environment.

APAC: The Region of Greatest Video Growth Opportunity

As we recently covered in our “Technology to Pave the Way for Singapore’s Financial Industry Growth” blog post, the Asia-Pacific (APAC) region is forecasted for substantial technological growth in the coming years. The Research and Markets report referenced earlier in this article predicts that APAC will be the fastest growing region globally during the forecast period.

As a developing region, APAC is undergoing an increase in the user adoption of new technologies such as cloud technologies and mobile devices, leading to the anticipation of an enterprise video boom.

Pinnaca is Ready for the Anticipated Industry Growth

Pinnaca is an independent leading provider of managed videoconferencing, telepresence and visual collaboration services. It is a global certified partner of Cisco, Polycom, Pexip, Qumu, Vidyo, Avizia and Vyopta, and maintains strategic alliances with key vendors, including Ashton Bentley, in the company’s A/V integration practice.

Click here to learn about the cloud, managed, professional and vertical market solutions that we offer.

 

[1] Research and Markets - Enterprise Video Market by Type (Webcasting, Video Content Management, Video Conferencing), Deployment Mode, Application (Knowledge Sharing & Collaboration, Corporate Communications), Vertical and Region - Global Forecast to 2022

[2] Pew Research - Record shares of Americans now own smartphones, have home broadband

[3] Owl Labs – State of Remote Work 2017

Topics: Blog

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