
SA voip Industry Analysis Industry Analysis The South African voice over Internet protocol (VoIP) market was set up in 2005 and is still in the growth phase of the development lifecycle. Considering market age and the relatively low penetration of broadband infrastructure – only 60,000 users of VoIP services in 2008 – there exists a large opportunity for growth. The fiscal crisis has exerted direct pressure on margins in the financial services and retail sector. “Historically, the South African telecommunications market was dogged by high pricing owing to a lack of true competition in the industry,” notes the analyst of this research service. “VoIP offers a low cost alternative to traditional fixed line calls; this is the technology’s most compelling feature, particularly in the light of the economic meltdown.” With authorities expected to introduce regulatory measures such as geographic number
