As businesses and educational institutions prepare for the return to work, meeting rooms and classrooms will see heavy technology investments to support hybrid work and learning. Frost & Sullivan’s recent analysis, State of the Global Video Conferencing Devices Market, Forecast to 2025, finds that by 2025, the number of video conferencing devices, including room-based endpoints, USB room devices, and personal video communication devices, will be six times as high, reaching 12.5 million units. The global market is estimated to hit revenues of $7.71 billion by 2025, from $2.75 billion in 2020, representing a secular growth opportunity driven by the long-term, sustainable demand for video meetings to connect remote workers and geographically dispersed teams.
“The market is seeing an unprecedented pace of innovation with rampant proliferation of device form factors. A few years ago, users had limited choice of video conferencing devices. Today, a growing array of device types and flexible deployment models are allowing end users greater choice for video conferencing at home, at the office, and on the go,” said Roopam Jain, senior director at Frost & Sullivan’s Connected Work Practice.
Artificial Intelligence (AI) is emerging as the new frontier driving better user experiences, enhanced technology, and improved meeting space utilization. A growing focus on improving the user experience (UX) is also leading to robust feature sets such as intelligent framing, background noise suppression, virtual backgrounds, and flexible presentation modes.
“Office spaces will be optimized and restructured to build more meeting rooms and collaborative spaces that accommodate frequent, ad-hoc collaboration between on-site and remote workers,” Jain added. “The video conferencing penetration rate is projected to grow five times by 2025, driven by video enablement of small spaces, huddle rooms, and classrooms.”
What’s driving the growth?
- More AI-based analytics and features will drive quicker adoption
- Video is being integrated everywhere – not just in meeting rooms and conference rooms; users are expecting it places there was once just audio
- New technology opportunities such as virtual concierges and tech support
- Ability to seamlessly join meetings from desktop to a room
- Growth of BYOM systems
- Consumer brands to enter space – potentially Apple and Facebook