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Study: Corporate IM Market Set to Explode

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The corporate Instant Messaging market is exploding, according to a new report that predicts the current 590 million accounts will multiply into 1.4 billion by 2007.

The report, done by the Radicati Group Inc., a consulting firm based in Palo Alto, Calif., also notes that the market is expected to hit $344 million by 2007.

While only 26 percent of companies today have standardized on a common corporate IM solution, about 70 percent are using some form of IM, notes the report, which was issued this morning. However, while companies are increasingly looking to log, manage and secure corporate IMs, they say they are not willing to pay more than an average of $11.95 to do it.

Security is listed as the top concern that IT managers have with users having Instant Messaging, followed by skepticism of its corporate business value.

The report also notes that Radicati analysts predict the rise of IM management and enterprise development tools vendors. They'll grow in response to the current lack of interoperability and standards that plague the market today.

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