11/14/2005 -- Broadband IP telephony products and services are in many cases still gestating, but broadband IP telephony as a technology solution is starting to capture serious mindshare.

That’s the conclusion of a recent report from market watcher In-Stat, which says there will be more than 3.2 million broadband IP telephony subscribers by the end of this year. The upshot, In-Stat claims, is that VoIP is radically transforming the world of telecommunications, with service providers and even enterprisers shifting from traditional circuit-switched infrastructures to VoIP.

"The future growth of broadband IP telephony will continue to be driven by cost savings and feature service innovation," said In-Stat analyst David Lemelin in a statement. "The integration of cellular, WiFi and VoIP, which is already taking place on a limited basis, will likely be the next big step in the growth of broadband IP telephony."

Elsewhere, In-Stat says, neither broadband IP telephony nor VoIP are lead pipe cinches as far as most customers are concerned. Many potential adopters have qualms about service quality and availability, for example, and combating such perceptions is a major challenge for service providers. Other issues include concerns about loss of connectivity during power outages and emergency/911 limitations. Broadband IP growth has exploded over the last twelve months. At the end of 2004, In-Stat estimated that there were over 1.3 million broadband IP lines in use in the United States. -Stephen Swoyer