(April 29, 2003) - Over 20% of U.S. enterprises will implement IP telephony at more than five sites by year’s end, up from 8% at end-of-year 2002, according to new research conducted by InfoTech. The report found that once enterprises reach this deployment level, termed Stage 2, they have virtually locked-in their choice of preferred vendor for all future IP telephony purchases. Prior to reaching Stage 2, enterprises demonstrate a willingness to switch vendors or conduct trials with more than one supplier. As PBX and data network vendors become more aware of this Stage 2 threshold, the race for IP telephony market supremacy will intensify.

According to Terry White, senior director for InfoTech’s Convergence Practice, "By the end of 2003, over one third of all Stage 2 enterprises will have selected a data networking company as their Preferred IP telephony vendor, heavily favoring Cisco and 3Com. Since LAN-based IP telephony systems from these data vendors are designed to replace existing TDM phone systems, this will have a major impact on all of the incumbent PBX vendors, especially Avaya and Nortel Networks, which have the largest installed bases of traditional PBXs."

For more on InfoTech's report entitled Enterprise Convergence: The Race for IP Telephony Supremacy, see www.pbimedia-infotech.com.