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Leading VoIP Service Provider is in Japan

Worldwide VoIP service revenue jumped 66 percent to $15.8 billion in 2006 after more than doubling in 2005, and is expected to more than triple by 2010, according to Infonetics Research.

Hosted VoIP services continue to outpace managed IP PBX services by far, with residential services fueling the market, but the business segment is also growing, and will continue to grow.

"Asia Pacific has been leading the VoIP services scene for a couple of years, with Japan's SoftBank pioneering the service and taking a strong lead, but the EMEA and North America regions have gained some ground at the expense of Asia in the last two years. The Latin American & Caribbean region is also posting impressive growth and gaining share," said Stephane Teral, principal analyst at Infonetics Research and lead author of their report.

Other highlights from the report include:

- Worldwide revenue from residential hosted VoIP services jumped 68 percent between 2005 and 2006; managed IP PBX service revenue grew 45 percent.

- The number of worldwide residential/SOHO VoIP subscribers nearly doubled between 2005 and 2006, to 46.5 million -- 46 percent of which are in the Asia-Pacific region.

- 71 percent of worldwide VoIP service revenue came from residential/SOHO customers in 2006, 29 percent from business customers; revenue from both residential and business customers will increase steadily at least through 2010.

- SoftBank is the world's largest VoIP service provider with 18 percent subscriber market share, followed (in order) by NTT, Vonage, France Telecom, and Time Warner Cable.

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