IP Telephony Carrier Equipment Revenues Soar to $1.6 Billion in 2004, According to Dell'Oro Group; High Density Media Gateway Revenues Key to Growth in Media Gateway Segment in 4Q04

Business Wire, Feb 22, 2005

REDWOOD CITY, Calif. -- According to Dell'Oro Group, the trusted source for market information about the networking and telecommunications industries, revenues from sales of IP telephony carrier equipment, including softswitches, media gateways, and hybrid media gateway softswitches, grew to $1.6 billion in 2004, a 26 percent increase over the prior year.

The report indicates that shipments of high density media gateway channels grew 30 percent sequentially in 4Q04, offsetting single-digit declines in low and medium density media gateways. "Service Providers are continuing to install gateways at the core of their networks to reap the cost and reliability benefits of the next generation voice equipment," said Steve Raab, Director of IP Telephony research at Dell'Oro Group. "These gateways also provide the PSTN connection for the Voice over IP (VoIP) subscriber services that Service Providers are introducing," he added.

4Q04 Worldwide Market Leaders in High Density Media Gateways
    (Channel Shipments)

          Total Market                             4Q04
          ------------                             ----

          Channel shipments (in millions):          3.5

          Vendor                                   Rank
          ------------                             ----

          Nortel                                     1
          Sonus                                      2
          Tekelec                                    3

About the Report

The Dell'Oro Group IP Telephony Carrier Quarterly Report offers complete, in-depth coverage of the market, including vendor market shares, manufacturers' revenue, units / licenses / channels, and average selling prices for the following technologies: softswitch, media gateways, and hybrid media gateway softswitches (next generation class 4/5 switches). The report also includes breakouts of high density, medium density, and low density media gateways. To purchase this report call 1.650.622.9400 x223 or email Julie@DellOro.com

About Dell'Oro Group

As the trusted source for market information about the networking and telecommunications industries, Dell'Oro Group provides in-depth, objective research and quantitative analysis that enables component manufacturers, equipment vendors, and investment firms to make fact-based, strategic decisions. For more information, contact Dell'Oro Group at 1.650.622.9400 or visit www.delloro.com.