Ribbon Research Reveals More than 100% increase in Interest in Deploying Microsoft Teams by Small Businesses

Rhea-AI Summary

Ribbon Communications (Nasdaq: RBBN) announced findings from its annual Unified Communications (UC) survey, revealing a substantial rise in interest for UC technology, particularly triggered by the COVID-19 pandemic. Small businesses showed a remarkable 103% increase in deploying Microsoft Teams, while 36% of large companies reported similar growth. Despite advancements, 76% of small, 67% of medium, and 61% of large companies have yet to invest in IP-based communications solutions. The survey indicates a significant market opportunity for IP communications as remote work becomes a lasting trend.

Positive

• 103% increase in small business interest in deploying Microsoft Teams.
• 36% increase in Microsoft Teams adoption among large companies.
• 38% of small businesses plan to invest in UC solutions over the next two years.
• 66% of large companies intend to invest in UC solutions within two years.

Negative

• 76% of small companies have not invested in IP communications solutions.
• 67% of medium-sized companies are yet to invest in IP communications solutions.
• 61% of large companies have not yet made investments in IP communications solutions.

WESTFORD, Mass., Feb. 4, 2021 /PRNewswire/ -- Ribbon Communications Inc. (Nasdaq: RBBN), a global provider of real time communications software and IP optical transport solutions to service providers, enterprises, and critical infrastructure sectors, today unveiled the latest findings in its annual Unified Communications (UC) survey, which measures the UC purchase drivers and buying behaviors of leaders from small-to-medium sized business (SMB) and enterprises around the world. Responses from over 4,500 technology decision makers across 18 countries in the Americas and Europe indicate that companies both large and small are accelerating their adoption of UC technology in response to the COVID-19 pandemic and there is significant opportunity for growth in the IP-based communications market.

Compared to the previous year's results, the data showed a 103% increase amongst small businesses (less than 100 employees) who have either deployed, are in the process of deploying or are planning to deploy Microsoft Teams. Respondents from large companies (more than 1,000 employees) reported an increase of 36%. Additionally, the survey found that 76% of small companies; 67% of medium-sized companies (100 – 1000 employees); and 61% of large companies had yet to invest in IP-based communications solutions.

"The data reveals that there is still a significant market opportunity for IP communications and the COVID-19 pandemic has dramatically accelerated interest in adoption of Unified Communications and Collaboration (UC&C) tools across the board, but particularly amongst small companies," said Steven Bruny, EVP of Sales for the Americas at Ribbon. "The demands of the shift to remote work, and the widespread availability of popular platforms like Microsoft Teams and Zoom are key drivers in the increased interest in adopting UC&C."

The survey found that the three most popular UC&C platforms for supporting remote workers during the pandemic for large companies were Microsoft Teams (27%), Zoom (27%) and Skype for Business (21%). Other key findings included the number of companies planning to institute some form of remote working post-pandemic increased by approximately one-third across all business sizes: large (36%); medium (35%); and small (31%). In addition, the number of small businesses planning to invest in UC&C solutions over the next two years increased 2.5 times from the previous year to 38%. Two-thirds or 66% of large companies plan to invest in some form of UC solution within the next two years.

Approximately 70% of respondents who intend to deploy Teams for calling say they will use Direct Routing for Microsoft Teams, which allows them to keep their existing dial tone provider and leverages Microsoft-certified Session Border Controllers (SBCs) to connect their existing phone system to Teams. The remaining respondents indicated they planned to use Microsoft Phone System and Business Voice calling plans, which allows them to make Microsoft their dial tone provider.

Bruny added, "Ribbon's market-leading portfolio of Microsoft-certified SBCs and our Ribbon Connect Teams Direct Routing as a Service offering enables companies, especially those who intend to use Direct Routing for Microsoft Teams, to maintain their investments in legacy phone systems, keep relationships with their existing service providers, and support specialized groups like contact centers."

View the survey.

About Ribbon                                                                               
Ribbon Communications (Nasdaq: RBBN) delivers global communications software and packet and optical network solutions to service providers, enterprises and critical infrastructure sectors. We engage deeply with our customers, helping them modernize their networks for improved competitive positioning and business outcomes in today's smart, always-on and data-hungry world. Our innovative, end-to-end solutions portfolio delivers unparalleled scale, performance, and agility, including core to edge IP solutions, cloud-native offers, leading-edge software security and analytics tools, as well as 5G-ready packet and optical networking solutions acquired via our recent merger with ECI Telecom. To learn more about Ribbon visit rbbn.com.

Important Information Regarding Forward-Looking Statements
The information in this release contains forward-looking statements regarding future events that involve risks and uncertainties. All statements other than statements of historical facts contained in this release, including those regarding market trends, expected growth and the expected benefits from use of Ribbon Communication's products, are forward-looking statements. The actual results of Ribbon Communications may differ materially from those contemplated by the forward-looking statements. For further information regarding risks and uncertainties associated with Ribbon Communications' business, please refer to the "Risk Factors" section of Ribbon Communications' most recent annual or quarterly report filed with the SEC. Any forward-looking statements represent Ribbon Communications' views only as of the date on which such statement is made and should not be relied upon as representing Ribbon Communications' views as of any subsequent date. While Ribbon Communications may elect to update forward-looking statements at some point, Ribbon Communications specifically disclaims any obligation to do so.

Investor Relations
Tom Berry
+1 (978) 614-8050
tom.berry@rbbn.com        

North American Press
Dennis Watson
+1 (214) 695-2224
dwatson@rbbn.com 

APAC, CALA & EMEA Press
Catherine Berthier
+1 (646) 741-1974
cberthier@rbbn.com 

Analyst Relations
Michael Cooper
+1 (708) 212-6922
mcooper@rbbn.com

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SOURCE Ribbon Communications Inc.

FAQ

What does the recent Ribbon Communications UC survey reveal about Microsoft Teams adoption?

The survey shows a 103% increase in small businesses adopting Microsoft Teams, with a 36% increase for large companies.

What percentage of companies have yet to invest in IP-based communications solutions according to Ribbon's survey?

The survey revealed that 76% of small, 67% of medium-sized, and 61% of large companies have not yet invested in IP-based communications.

How many small businesses plan to invest in Unified Communications solutions over the next two years?

38% of small businesses plan to invest in Unified Communications solutions within the next two years.

What is the significance of the COVID-19 pandemic on the adoption of UC technology?

The pandemic has accelerated interest in Unified Communications, particularly for small businesses.

What are the key drivers for increased interest in UC&C tools as per Ribbon Communications?

The shift to remote work and the availability of platforms like Microsoft Teams and Zoom are key drivers.