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Q&A: Avaya CEO Discusses The Battle For IP-Telephony Market Share

The fast growing voice-over-IP and IP-telephony market has attracted participation from a large number of vendors. For those looking to implement IP-telephony systems, potential benefits include operational cost savings, enhanced communications, and eventually, improved business processes, according to research firm Gartner.

InformationWeek recently discussed this market with one of its participants: Donald Peterson, chairman and CEO of Avaya Inc. The vendor, which provides business-communications systems and services, has taken a solid step toward ensuring stable migration and operation of enterprise-class IP telephony, according to Gartner.

InformationWeek: What has attracted so many vendors to entering the IP telephony space, and are most of them going to evaporate?

Peterson: In the PBX space, there are a lot of companies that have come and gone, but in IP telephony it is arguably easier because the networking is there; you can come into different places in the market. It's still, though, a battle of the more capable firms.

There is differentiated value that people will come up against. You can get into [the] business and offer cheap and dirty connectivity, and it may attract a fair number of small customers. At the high end, you need the added features and functions, and you also need the credibility and the experience.

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