The global video conferencing market is navigating a period of steady expansion, with volumes expected to approach four million units by the end of 2024, according to a report from Futuresource Consulting.
Despite economic pressures, value is expected to surpass $5.1 billion (€4.9bn), up from $4.9 billion in 2023, driven by the rising adoption of peripherals such as meeting room cameras and video bars.
Adaptable solutions aiding peripheral growth
As enterprises refine their hybrid working policies, video conferencing peripherals have become essential tools. All-in-one video bars offer a cost-effective solution for companies looking to integrate audio and video capabilities while managing budgets. This trend highlights the importance of adaptable, scalable solutions in today’s evolving workplace.
Meeting room cameras are also thriving, growing by 8 per cent in value over the past year and accounting for 59 per cent of total video conferencing peripheral shipments.
Room system and BYOD battleground
The competition between Bring Your Own Device (BYOD) and room systems continues to shape deployment strategies.
“Room systems provide a streamlined, user-friendly experience and enhanced equipment management,” says Scarlett Woodford, Head of Collaboration at Futuresource Consulting. “Their higher price point means that they are most popular among well-resourced enterprises, yet they accounted for 58 per cent of video conferencing revenues in 2024.
“Meanwhile, BYOD solutions appeal to organizations seeking lower initial costs and minimal user training, particularly for small meeting rooms and huddle spaces.”
Logitech leads the way
Logitech remains the largest manufacturer of video conferencing peripherals, capturing 21 per cent of global volumes in H1 2024. Futuresource attributes this success to popular products such as the MeetUp video bar and the Rally Camera/Rally System.
Yealink takes third position with single-digit market share, leveraging competitive pricing to gain traction. However, challenges in pre- and post-sales support are hindering its growth in Western markets.
Americas maintains market share
The Americas accounts for 40 per cent of global video conferencing peripheral volumes, maintaining its market share from 2023. That’s despite the U.S. education sector feeling the effects of election-driven spending slowdowns. EMEA holds the second-largest share, although economic challenges in Europe have dampened growth. These include factory closures in Belgium’s automotive sector.
AI potential or pitfall?
The integration of artificial intelligence in video conferencing remains a hot topic. While AI promises transformative capabilities, enterprises are hesitant to invest without clear, immediate return on investment. Concerns about obsolescence and budget constraints have slowed adoption, leaving manufacturers focused on refining existing product lines.
However, as AI capabilities in video conferencing systems become more sophisticated, ranging from automated participant framing to real-time transcription, its potential to revolutionize collaboration should not be underestimated.
A market primed for growth
“The future of video conferencing is gearing up for greatness, with total market value expected to close in on $7 billion by 2028,” commented Woodford. “Despite macroeconomic challenges, enterprises are poised to replace hardware purchased post-Covid, aligning these upgrades with clearer hybrid work strategies. What’s more, the rollout of new Android-based models, supported by the Microsoft Device Ecosystem Platform (MDEP), is expected to drive BYOD adoption, adding additional functionality to USB spaces.”