While total on-premise spending saw a decline, there was growth in video conferencing. The largest segments for spend were IP Telephony, video conferencing, on-prem email and content management.
Teams software-as-a-service (SaaS), conferencing SaaS and communications platform-as-a-service (CPaaS) all saw the most growth out of the hosting and cloud segments. As a result of this, Slack, Zoom Twilio and Vonage all now rank in the top ten of collaboration vendors.
Synergy Research Group chief analyst Jeremy Duke said: “We were already seeing a steady migration in the collaboration market away from on-premise products and towards cloud solutions. COVID-19 and the sudden radical change in working practices has resulted in an acceleration of that transition.
“CIOs need to find ways of maintaining communications and productivity in a world where remote working is the new norm and offices are sparsely populated. This is a world for which hosted and cloud solutions are perfectly suited.”