"It was a good quarter for carrier next-gen voice, with all segments showing gains except session border controllers (SBCs), which were down a bit for the quarter, but up significantly year-over-year," said Stephane Teral, principal analyst for service provider VoIP at Infonetics Research. "SBCs have become a strategic component of any next-gen voice equipment offering these days, and they are reshuffling the vendor ecosystem. Many vendors will likely shift from a standalone to an integrated SBC architecture, including Cisco, Juniper, and AudioCodes due to its acquisition of Nuera and Netrake."

Infonetics' Enterprise Telephony report shows Cisco had a record quarter in the worldwide PBX/KTS market, which grew 3% sequentially to $2.2 billion (10% higher than a year ago).

"Vendor results in the PBX/KTS market were very mixed this quarter, with a net result of a small sequential gain," said Matthias Machowinski, directing analyst for enterprise telephony at Infonetics Research. "We expected Cisco to do well since it was the end of their fiscal year, but they blew right past our expectations, for the first time breaking 1 million lines per quarter. Nortel had a great quarter, too, while the other major players were more or less flat. As a consequence, worldwide market share positions were shuffled around this quarter, with Nortel shooting to the top for IP PBX line share (up from third last quarter), and Cisco jumping from fifth to second."

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