UCaaS Manufacturing Market Size
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 12.89 Billion |
| Market Size (2029) | USD 31.91 Billion |
| CAGR (2024 - 2029) | 19.88 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | North America |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
UCaaS Manufacturing Market Analysis
The UCaaS In The Manufacturing Market size is estimated at USD 12.89 billion in 2024, and is expected to reach USD 31.91 billion by 2029, at a CAGR of 19.88% during the forecast period (2024-2029).
- Unified Communication as a Service (UCaaS) is transforming the manufacturing industry by offering integrated communication and collaboration solutions that enhance operational efficiency, streamline processes, and foster innovation.
- The growth of the UCaaS market in manufacturing is driven by the increasing need for seamless communication across geographically dispersed teams, the rise of remote work, and the digital transformation initiatives within the industry. Manufacturers are leveraging UCaaS to improve internal and external communication, reduce downtime, and enhance decision-making processes through real-time data sharing and collaboration tools.
- Moreover, the scalability and flexibility of UCaaS solutions make them ideal for manufacturing companies of all sizes. Small and medium-sized enterprises (SMEs) in the manufacturing sector can benefit from the cost-effective and scalable nature of UCaaS, which allows them to access advanced communication and collaboration tools without significant upfront investment. This democratization of technology is enabling SMEs to compete more effectively with larger players by enhancing their operational efficiency and agility.
- For instance, in August 2024, Reinvent Telecom, which is a provider of wholesale unified communications, SIP trunking, business messaging, direct routing for Microsoft Teams and contact center solutions, launched MyCloud UCaaS, its next-generation unified communications and collaboration (UC&C) platform. MyCloud UCaaS was designed from the ground up to maximize revenue for Reinvent's white-label and co-branded reseller partners.
- In addition to this, Microsoft Teams, integrated with Office 365, enables manufacturing teams to collaborate on documents, hold virtual meetings, and integrate with various business applications, thereby streamlining workflow and enhancing productivity. RingCentral's UCaaS solutions provide a comprehensive suite of communication tools, including voice, video, messaging, and contact center capabilities, which are crucial for maintaining efficient communication channels within manufacturing operations.
- In conclusion, the growth of the UCaaS market in the manufacturing industry is being propelled by the need for enhanced communication and collaboration, the rise of digital transformation, and the integration of advanced technologies such as IoT.
UCaaS Manufacturing Market Trends
Cloud Deployment Model Segment is Expected to Hold Significant Market Share
- Cloud deployment of UCaas (Unified Communication as a Service) in manufacturing offers various benefits to organizations seeking to enhance their collaboration and capabilities. Manufacturing operations can experience varying communication demands based on production cycles and business growth. These solutions allow manufacturers to scale their communication resources up or down as needed, ensuring they can accommodate changing requirements without over-committing resources.
- Cloud deployment eliminates the need for substantial upfront investments in hardware, software, and infrastructure. Manufacturers can avoid the costs associated with purchasing, maintaining, and upgrading on-premises equipment and instead pay for UCaas services on a subscription basis.
- Furthermore, in November 2023, NTT DATA announced EX Managed Services which is a two-tier service that’s designed to address the challenges faced by organizations in optimizing their collaboration tools particularly in the areas of unified communications (UC) and unified communications as a service (UCaaS). A cloud-delivery model such as UCaaS makes a comprehensive set of communication and collaboration applications and services available to enterprises. UCaaS can bring together a range of communication tools, such as voice calling, videoconferencing and instant messaging, into a single unified platform.
- In addition to this, these solutions can be deployed relatively quickly compared to traditional on-premises systems. This is particularly valuable in manufacturing, where operational agility and responsiveness are crucial. Cloud-based Ucaas enables remote and mobile access to communication tools. This is important in manufacturing environments where employees may locate on the production floor remotely. Remote access enhances collaboration and communication efficiency.
- IoT devices in manufacturing environments collect vast amounts of data from machines, sensors, and equipment. This data can be sent to the cloud for storage, analysis, and visualization. Cloud platforms provide the computational power and storage needed to process and derive insights from this data. According to Cisco Systems, the Internet of Things (IoT) has become a prevalent system in which people, data, processes, and things connect to the Internet and each other. M2M connections are expected to grow 2.4-fold globally, from 6.1 billion in 2018 to 14.7 billion by 2023. There would be 1.8 M2M connections for each member of the global population by 2023.
Asia Pacific Expected to Witness Significant Growth in the Market
- Asia-Pacific is expected to witness significant growth owing to the presence of the global manufacturing hub, i.e., China, and other big economies such as India and Japan. The region is home to several emerging economies and an established manufacturing powerhouse. As these economies continue to develop, there is a growing need for efficient communication and collaboration solutions, making UCaaS a valuable proposition.
- According to IBEF, India is gradually progressing on the road to Industry 4.0 through the Government of India's initiatives like the National Manufacturing Policy, which aims to increase the share of manufacturing in GDP to 25% by 2025, and the PLI scheme for manufacturing which was launched in 2022 to develop the core manufacturing sector at par with global manufacturing standards.
- According to the GSMA, by 2025, 40-50% of China's mobile users may be using 5G. The country is gaining more regarding network virtualization, convergence, and slicing. The government also started to include standalone as part of its initial 5G deployment, owing to building a 5G network from the ground rather than spending the time to evolve a 4G network into a 5G network. It has also helped the growth of local vendors.
- Moreover, in June 2023, RingCentral launched Cloud Telephony Service in India. RingCentral announced the move makes it India's first global cloud provider to provide compliant enterprise-grade cloud telephony. The vendor establishing a cloud phone service in India enables multinational organizations with a basis in India to access cloud phone capabilities, empowering smoother communication with customers, partners, leaders, and workers.
- Additionally, Indian government initiatives such as Make in India which encourages companies to manufacture their products in India and enthuse with dedicated investments into manufacturing, are providing an opportunity for the market to grow exponentially. Therefore, all the factors are expected to complement the growth of the unified communication-as-a-service in the manufacturing market in the region.
- Furthermore, government initiatives such as Made in China 2025, which aim to make China dominant in the global high-tech manufacturing sector, are influencing other regions, which in return is driving the market. This initiative is focused on manufacturing electric cars and other new energy vehicles, next-generation information technology (IT) and telecommunications, and advanced robotics and artificial intelligence. It is expected to drive the unified communication-as-a-service in the manufacturing market.
UCaaS Manufacturing Industry Overview
Unified Communication-as-a-service in the Manufacturing market is highly fragmented, with the presence of major players like Cisco Systems, Inc., Tata Communications, Avaya Inc., 8X8, Inc., and Microsoft Corporation. Players in the market are adopting strategies such as partnerships and acquisitions to enhance their product offerings and gain sustainable competitive advantage.
UCaaS Manufacturing Market Leaders
-
Cisco Systems, Inc
-
Avaya Inc.
-
8x8, Inc.
-
Microsoft Corporation
-
Tata Communications Limited
*Disclaimer: Major Players sorted in no particular order
UCaaS Manufacturing Market News
- July 2024: Vodafone Business, together with its strategic partner RingCentral, Inc., is now offering its cloud-based unified communications-as-a-Service (UCaaS) platform, combining voice calling, video conferencing and instant messaging, in 20 countries globally with plans to extend it to more than 30 markets during early 2025. In addition, Vodafone Business is adding Contact Centre-as-a-Service (CCaaS) to its Unified Communications (UC) product portfolio, based on RingCentral’s RingCX contact centre solution.
- February 2024: ASC Technologies AG, a provider for advanced software and cloud solutions, specialized in compliance recording and analysis of communication, has announced the partnership with CDM (Communications Design & Management), one of Australia's key ICT service providers. Within their Unified Communications practice, they have chosen ASC to provide global recording and analytics across their entire technology stack. With the strong uptake of Microsoft Teams, ASC’s solution Recording Insights means recordings are no longer just stored to disk but now provide invaluable information to shape customer's business decisions.
UCaaS In The Manufacturing Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Overview
4.2 Industry Value Chain Analysis
4.3 Industry Attractiveness - Porter's Five Forces Analysis
4.3.1 Threat of New Entrants
4.3.2 Bargaining Power of Buyers
4.3.3 Bargaining Power of Suppliers
4.3.4 Threat of Substitute Products
4.3.5 Intensity of Competitive Rivalry
5. MARKET INSIGHTS
5.1 Market Drivers
5.1.1 Growing Trends Towards Mobility and BYOD
5.1.2 Integrated Supply Chain Management
5.2 Market Restraints
5.2.1 Lack of Awareness About the Unified Communication-as-a-service
6. MARKET SEGMENTATION
6.1 By Business Size
6.1.1 Small and Midsize Business
6.1.2 Enterprise
6.2 By Deployment Mode
6.2.1 On-Premises
6.2.2 Cloud
6.3 By Geography
6.3.1 North America
6.3.1.1 United States
6.3.1.2 Canada
6.3.2 Europe
6.3.2.1 Germany
6.3.2.2 United Kingdom
6.3.2.3 France
6.3.3 Asia
6.3.3.1 China
6.3.3.2 India
6.3.3.3 Japan
6.3.3.4 Australia and New Zealand
6.3.4 Rest of World
7. COMPETITIVE LANDSCAPE
7.1 Company Profiles
7.1.1 Cisco Systems, Inc.
7.1.2 Tata Communications Limited
7.1.3 Avaya Inc.
7.1.4 8X8, Inc.
7.1.5 Microsoft Corporation
7.1.6 Dimension Data
7.1.7 DXC Technology Company
7.1.8 Getronics
7.1.9 IBM Corporation
7.1.10 Mitel Networks Corporation
7.1.11 RingCentral, Inc
7.1.12 Verizon Wireless (Verizon Communications)
- *List Not Exhaustive
8. INVESTMENT ANANLYSIS
9. FUTURE OF THE MARKET
UCaaS Manufacturing Industry Segmentation
Implementation of UCaaS in the manufacturing industry brings various advantages, such as improved scalability, reliability, and collaboration among disparate workgroups. Types of unified communications as a service package include messaging tools, videoconferencing tools, and resources for facilitating different kinds of text and voice communications.
The unified communication-as-a-service in the manufacturing market is segmented by business size (small and midsize businesses, enterprises), by deployment model (on-premise, cloud), by geography (North America (United States, Canada), Europe (Germany, United Kingdom, France, Fest of Europe), Asia Pacific (China, India, Japan, Rest of Asia pacific), rest of world). The market sizes and forecasts are provided in terms of value in (USD) for all the above segments.
| By Business Size | |
| Small and Midsize Business | |
| Enterprise |
| By Deployment Mode | |
| On-Premises | |
| Cloud |
| By Geography | ||||||
| ||||||
| ||||||
| ||||||
| Rest of World |
UCaaS In The Manufacturing Market Research Faqs
How big is the UCaaS In The Manufacturing Market?
The UCaaS In The Manufacturing Market size is expected to reach USD 12.89 billion in 2024 and grow at a CAGR of 19.88% to reach USD 31.91 billion by 2029.
What is the current UCaaS In The Manufacturing Market size?
In 2024, the UCaaS In The Manufacturing Market size is expected to reach USD 12.89 billion.
Who are the key players in UCaaS In The Manufacturing Market?
Cisco Systems, Inc, Avaya Inc., 8x8, Inc., Microsoft Corporation and Tata Communications Limited are the major companies operating in the UCaaS In The Manufacturing Market.
Which is the fastest growing region in UCaaS In The Manufacturing Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in UCaaS In The Manufacturing Market?
In 2024, the North America accounts for the largest market share in UCaaS In The Manufacturing Market.
What years does this UCaaS In The Manufacturing Market cover, and what was the market size in 2023?
In 2023, the UCaaS In The Manufacturing Market size was estimated at USD 10.33 billion. The report covers the UCaaS In The Manufacturing Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the UCaaS In The Manufacturing Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
UCaaS In The Manufacturing Industry Report
Statistics for the 2024 UCaaS in Manufacturing market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. UCaaS in Manufacturing analysis includes a market forecast outlook 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
UCaaS In The Manufacturing Market Report Snapshots
