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Multi-Service Business Gateway for SMB Apps

Multi-Service Business Gateway (MSBG) equipment manufacturers have shifted their focus from the U.S. enterprise branch-office market to small businesses and selected vertical markets around the world, according to the latest market study by In-Stat.

Here in Austin Texas, CLEAR recently launched its 4G WiMAX wireless service -- continuing their Cisco 4G WiMAX solutions deployment -- including service offerings specifically targeted at local small businesses.

According to In-Stat, worldwide MSBG revenue is expected to grow slowly from $729 million in 2009 to $951 million in 2013. MSBGs are defined as products purposely designed for small business and branch office applications that integrate multiple communication voice, data, and video functions into a single device.

Since 2007, the number of enterprise branch offices in the U.S. has declined by nearly 6 percent to 1.48 million establishments. Small business start-ups and the expansion of enterprise branch offices are expected to climb, but not until 2011.

Full economic recovery in the U.S. will not be realized for an extended period of time. Keith Nissen, In-Stat Principal Analyst, points out that MSBG equipment suppliers are increasingly focusing on international markets, especially India, China and Latin America that were less hard hit by the global downturn.

In-Stat's market study found the following:

- MSBGs sales in developing countries are being justified based on the replacement of expensive TDM trunks with less expensive IP connections.

- A market for MSBGs with WiMAX, or cellular mobile network connectivity, is now also emerging in Europe and North Africa.

- In-Stat forecasts negligible small business and branch office growth in the U.S. through 2013, but in other regions the number of these offices will be expanding by up to 4 percent annually.

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