IDC has forecast WLAN equipment spending to show a five year compound annual growth rate (CAGR) of almost 20 percent within each sector. Retail industry spending on IP PBX equipment is expected to grow at a 7.6 percent CAGR between 2005 and 2009
Dan Corsetti, senior analyst in Vertical Market Research, explained that spending on IP PBX equipment by retailers is in an effort to improve communications between branch locations and headquarters, between branch offices, and with suppliers, in order to address difficult inventory management issues.
''Retailers' overall business objective is reducing costs to protect slim margins,'' Corsetti told VoIPplanet.com. ''However, navigating the precarious balance between reducing out-of-stocks while simultaneously reducing inventories is an inventory management challenge that demands the features and functionality IP PBX equipment can provide.''
The largest spenders on IP telephony and WLAN equipment in 2004 was government. According to IDC, government spent $118 million on IP telephony equipment and $100 million on WLAN.
In the category of government spending IDC includes federal, state, and local government agencies, as well as public libraries and other state-owned entities. ''Spending on IP PBX equipment is high due to the overall size and scope of the government and efforts to improve communications between distributed offices,'' Corsetti said.