For the third consecutive year, RingCentral has earned the top position in the UC as a Service (UCaaS) North America Service Provider Scorecard report from business information provider IHS Markit.
For the third consecutive year, RingCentral has earned the top position in the UC as a Service (UCaaS) North America Service Provider Scorecard report from business information provider IHS Markit (Nasdaq: INFO). The scorecard analyzes and rates the top 10 UCaaS providers in North America: RingCentral, Mitel, 8x8, Verizon, Nextiva, Vonage, Comcast, Star2Star, Windstream and West.
As the market-share leader with above-average market growth and a strong financial score, RingCentral came out on top in this year’s report as the number one provider by a large margin. RingCentral separated itself from the rest of the group with its continued focus on expanding the customer base, addressing enterprise requirements and making investments in product development, professional services and customer care.
Coming in second was Mitel, which made a jump from fourth place in last year’s report as it kept pace with the market and grew its installed base. With Mitel splitting its UCaaS business into its own unit in 2019, the company is expected to be more agile in how it expands its customer base and service set moving forward.
Competitors 8x8 and Verizon came in close together for the second year in a row, with the slimmest of margins separating them. Third-place 8x8 has consistently been near the top of IHS Markit’s UCaaS Scorecard and is a long-standing stalwart in the market. Verizon, in fourth place, is the third-largest UCaaS provider in North America, serving a full spectrum of customers from small businesses to multinationals.
Nextiva rounded out the top-five UCaaS providers, having made the largest jump in this year’s report due to strong growth that gave the provider the largest market momentum score.
An important trend in the UCaaS market during the last five years is the growth of larger enterprise deals. As adoption has risen, requirements are changing around security, quality, support for hybrid environments and support for SD-WAN.
These deals involve public and private sector firms ranging in size all the way up to tens of thousands of endpoints. Many of the larger deals are with organizations that are highly distributed, where the benefits of cloud across many locations are readily apparent. With the rise of such opportunities, many providers are evolving their businesses to chase these deals down. However, not all cloud providers are suited for the rigors of large enterprise deals, and there are risks to chasing and winning them.
The steadiness of companies in the rankings indicates that the top providers are continuing to take the right steps to remain competitive, often through acquisitions or via organic growth.
About the IHS Markit UCaaS Scorecard
The 11th edition of the annual The UCaaS North America Service Provider Scorecard ranks the top-10 leading UCaaS providers according to five criteria: installed base, financials, market momentum, service development and support options. The scorecard offers a comparative analysis that shows which service providers lead the UCaaS market and which are best positioned to succeed in the long term.