Belmont, CA – February 28, 2025 – Exact Ventures today released its latest market analysis for the IMS (IP Multimedia Subsystem) and VoLTE (Voice over LTE) segments, highlighting robust growth in 4Q24 and a positive outlook for 2025. The total IMS market, encompassing both wireline and wireless/VoLTE segments, surged 22% sequentially and 13% year-over-year to reach $642 million in the fourth quarter of 2024. For the full year, the market grew by 2% to $2.2 billion, with strong contributions from China and Latin America offsetting declines in North America and Europe/Middle East/Africa (EMEA).

Key Market Highlights:
• 4Q24 Performance: The wireline IMS market posted a solid 10% year-over-year growth in 4Q24, while the wireless/VoLTE segment grew by an impressive 13% compared to the same period in 2023.
• Regional Trends: Growth was fueled by accelerating investments in China and Latin America, where operators are rapidly transitioning from legacy 2G/3G voice systems to IMS-based VoLTE. Meanwhile, North America has largely completed its transition away from legacy networks.
• 2025 Outlook: The total IMS market is forecasted to grow by 3% in 2025 as operators worldwide continue modernizing their voice infrastructure to support 5G services and cloud-native architectures.

Driving Factors Behind Market Growth:
1. Transition to VoLTE and 5G Readiness: As regions outside North America catch up in retiring legacy 2G/3G networks, operators are investing heavily in IMS to enable VoLTE services. This transition not only prepares networks for the widespread adoption of 5G but also frees up spectrum for enhanced 4G and 5G services.
2. Network Modernization: Operators are increasingly adopting cloud-native and hybrid cloud architectures to modernize their voice infrastructure. This shift ensures scalability, flexibility, and resilience against evolving security threats.
3. Enhanced Security Measures: With rising concerns over privacy breaches and fraud attacks, operators are prioritizing investments to secure voice services and maintain operational reliability.
4. Emerging Value-Added Services: The integration of APIs into voice infrastructure is enabling operators to offer innovative services such as real-time translation, AI-driven call assistance, and “5G New Calling” features that enhance user experiences.

Industry Implications:
The continued investment in IMS and VoLTE underscores the critical role of voice services in the evolving telecommunications landscape. As operators transition to advanced architectures and embrace artificial intelligence capabilities, they are well-positioned to deliver differentiated services that meet the demands of both consumers and enterprises. Exact Ventures’ findings highlight that the IMS market remains a cornerstone of global telecom evolution as it bridges today’s networks with tomorrow’s innovations.

For additional insights or to purchase, please contact [email protected]

About Exact Ventures:

Exact Ventures is a market intelligence firm that provides in-depth analysis and strategic insights for the telecommunications and networking industries. With a focus on emerging technologies and market trends, Exact Ventures helps clients make informed decisions in rapidly evolving technology and communications markets.