Virtual Meeting Software Market

Market Overview

The global virtual meeting software market size was valued at USD 11.9 billion in 2021. It is expected to reach USD 78.62 billion by 2030, growing at a CAGR of 26.5% during the forecast period (2022–2030).

The term virtual meeting software refers to the real-time interaction between employees on a software platform. This interaction is carried out with the assistance of the internet using integrated video, chat tools, audio, and application sharing systems. Additionally, individuals can share data and information in real-time through software that facilitates virtual meetings. This occurs even though the individuals are not physically located together.

A growing number of businesses worldwide are embracing the use of software that enables virtual meetings to boost the productivity of their employees and reduce the amount of time and resources wasted by the organization. In addition, businesses in various sectors have begun employing software that facilitates virtual meetings as their primary method of daily communication to interact with their customers, employees, and business partners efficiently and uncomplicatedly. Two key factors driving the growth of the virtual meeting software market are an increase in the adoption of virtual meeting software among corporate and governmental organizations and an increase in the number of virtual meeting software providers globally.

Additionally, the surge in the adoption of technologies such as facial recognition to detect and authenticate meeting participants is driving the expansion of the market. This is a significant driver of the market. On the other hand, the high software and hardware costs associated with virtual meeting software constitute an essential factor that is expected to inhibit the market's growth to some degree. On the other hand, it is anticipated that incorporating advanced technologies such as artificial intelligence and cloud-based technology will offer lucrative opportunities to expand the global market during the period covered by the forecast.

Market Dynamics

Market Driving Factors

Increasing Number of Businesses and Government Agencies Utilizing Virtual Meeting Software to Drive Market

The demand for software that enables organizations to hold virtual meetings is expected to rise as more companies focus on growing their businesses internationally and better managing their workforces. In addition, numerous companies across a variety of industries, including corporate, BFSI, education, government, and healthcare, are implementing this software to maintain a high standard of service delivery to their customers amid the global pandemic, thereby lowering their overhead expenses and raising the level of output achieved by their workforce. In addition, many of the most important market players are releasing brand-new software tailored to specific sectors, bolstering existing safety measures and narrowing the information gap between workers and employers.

Thus the expansion of the market is being driven by several developments of this kind occurring all over the world. In addition, various IT and telecom companies are adopting the software for virtual meetings to boost business continuity among enterprises and thereby increase their market value. This trend is one of the primary drivers of market expansion.

In addition, federal agencies and other government organizations are increasingly using software that facilitates virtual meetings. This is done to increase the operational efficiency of employees and organizations by reducing the need to travel to potentially dangerous or inaccessible areas. As a result of the significant reliance that many government organizations place on virtual meeting software for their day-to-day operations, the expansion of the market for virtual meeting software is anticipated to be presented with several lucrative opportunities.

Rising Adoption of New Technologies to Boost Market Progress

The market's growth is being driven by an increase in the adoption of facial recognition technologies by both the public and private sectors. This adoption is caused by concerns regarding transparency, accuracy and effectiveness, privacy and civil liberties, and evidence of biased outcomes. In addition, technologies that utilize facial recognition help businesses boost the level of security at their organizations and provide employees with a multi-faceted platform, both of which contribute to the expansion of the market. In addition, facial recognition technologies can assist business owners and internal and external stakeholders in determining and authenticating the number of individuals who attend meetings. In addition, businesses in all sectors can prevent identity fraud with the assistance of next-generation recognition technologies, which also aid organizations in cutting operational costs. As a result, the expansion of the market around the world is being driven by the combined effects of all of these different factors.

Market Restraining Factors

High Product and Solution Costs Associated with Virtual Meeting Software

The price of the software required for the increasingly widespread use of virtual meetings is the primary factor holding back its widespread adoption. In addition, the high product and service costs associated with virtual meeting software and the rise of hardware-related expenses act as barriers to expanding the market. The high price of the hardware component of virtual meeting software, such as cameras, virtual devices, and other smartphone devices, is a major factor restraining the market's expansion.

Key Market Opportunities

Incorporation of Cutting-Edge Technologies like Artificial Intelligence and Cloud Computing

The use of cloud computing and artificial intelligence are two examples of emerging technologies that provide businesses with options for facilitating virtual meetings and video conferences that are both dependable and flexible. Apple, Google, and Microsoft are among the key players in the market that integrate machine learning and the Internet of Things into their respective virtual meeting software solutions. The combination of artificial intelligence and machine learning will allow proprietors of businesses to improve their detection of visual barriers and optimize light balance.

In addition, virtual meeting software that is embedded with advanced artificial technology will assist companies in tracking the people who are physically present in the room using automatic camera panning. This will result in an increase in the level of security that the organizations provide. Enterprises are investing in cloud-connected video conferencing applications because they permit access to information whenever and wherever it is needed. This is because virtual meeting software has become an essential component of the modern workplace culture. This assists businesses in increasing their employees' productivity and preserving a healthy balance between their work and personal lives for those employees. As a consequence of these advantages, it is anticipated that there will be an increase in demand for software that facilitates virtual meetings over the next few years.

Regional Analysis

By region, the global virtual meeting software market has been studied across North America, Europe, Asia-Pacific, and LAMEA.

North America is the highest revenue contributor, growing at a CAGR of 26.7% during the forecast period. Because of this, the tool for video conferencing is becoming more widespread as an essential method of communicating with customers, employees, and workspaces located at a distance. In addition, the presence of leading market players and a professional culture that emphasizes employee contributions are both factors that contribute to the expansion of the market in this region. The market expansion is also driven by an increase in the number of small and medium businesses in North America purchasing virtual meeting software to meet their growing needs.

Asia-Pacific is the second-largest contributor to the market and is estimated to reach around USD 43,722.83 million at a CAGR of 29.5% during the forecast period because there are several large-scale manufacturers in the area and the availability of high-speed communication networks. In addition, an increase in the conduct of business meetings over telecommunication networks and higher bandwidth calls that enable higher quality audio and video are some of the major factors that boost the growth of the virtual meeting software market across the region.

The European market is experiencing rapid expansion due to improvements in internet connectivity and an increase in the number of people in this region who own smartphones. The market’s growth is also driven by the rise in consumers in countries such as the United Kingdom, Germany, and France using cloud-delivered video services. In addition, numerous start-ups and critical players in the market for virtual meeting software are investing heavily to boost their revenue opportunities and increase their customer base in various European countries, propelling the market's growth. This is one of the factors driving the market's development.

The expansion of the market is being driven by an uptick in the use of virtual devices among young people in developing nations in Africa and the Middle East, as well as an increase in the number of small and medium businesses in developing countries in Latin America that are adopting the software for virtual meetings. In addition, the growth of the market for virtual meeting software in this region can be attributed to the development of digital and environmentally friendly technologies as well as an increase in the focus of small businesses on the productivity of their employees.

Segmental Analysis

The global market for virtual meeting software has been divided into submarkets based on the component, deployment model, enterprise size, and industry vertical.

On the Basis of Component

Based on the component, the global virtual meeting software market has been categorized into solutions and services.

The solutions segment is the highest contributor to the market, growing at a CAGR of 27.2% during the forecast period. The need to monitor and manage many cloud meetings, as well as the rise in the demand to stream meetings with a combination of live video and screen sharing in various organizations, are the primary factors contributing to the expansion of the market. In addition, the capability of virtual meeting solutions to offer numerous features to participants, such as the ability to share slides and HD video, as well as the ability to conduct polls and question-and-answer sessions, is anticipated to boost the adoption of virtual meeting solutions by businesses and organizations, thereby augmenting the growth of the global market. This is expected to lead to an increase in the total value of the worldwide market.

The second-largest segment is the services segment which is expected to reach around USD 42378.29 million by 2030 at a CAGR of 29.4% during the forecast period. End-user adoption of services has increased in recent years as they aid in the efficient operation of software and platforms. In addition, the global health crisis is expected to increase the demand for cloud-based virtual meeting services during the forecast period, which is expected to boost the market. The global market for software services will likely grow shortly, partly because of its numerous advantages, such as scalability and low one-time customer acquisition costs.

On the Basis of Deployment Model

Based on the deployment model, the global virtual meeting software market has been categorized into on-premise and cloud-based.

The on-premise segment was the highest contributor to the market, growing at a CAGR of 26.6% during the forecast period. Compared to more traditional methods, on-premise virtual meeting software speeds up communication between businesses, employees, and customers. As a result, on-premise virtual meeting software has grown to be a significant market driver. Organizations can also benefit from the on-premise virtual meeting software, which enables them to connect with employees in different locations and share important files with them with enhanced security. On the other hand, cloud-based virtual meeting software is becoming increasingly vulnerable to cyberattacks, while on-premise virtual meeting software is becoming more secure.

The cloud-based segment is the second-largest segment and is estimated to grow at a CAGR of 29.3% during the forecast period. Virtual meeting software market growth is fueled by reduced travel costs for small businesses and increased organizational productivity by providing quick and hassle-free communication services. As a result, the market for cloud-based virtual meeting software is growing among large and medium-sized businesses.

On the Basis of Enterprise Size

Based on the enterprise size, the global Virtual Meeting Software market has been categorized into large enterprises and small & medium enterprises.

The large enterprise segment is the highest contributor to the market, growing at a CAGR of 26.7% during the forecast period. Many large organizations, such as educational institutions, health care providers, and government agencies, are adopting virtual meeting software solutions. During the pandemic, these companies use virtual meeting software to train their employees and better connect with their customers. Many large corporations are using video conferencing software to enhance communication with their workforces and increase productivity as the trend of working from home gains traction. In addition, virtual meeting software helps organizations maintain human connections and enhances the ability of employees to make decisions. It is also important to note that the virtual meeting software market's growth is driven by its many benefits, such as reducing redundancy, improving communication between employees and organizations, and simplifying management processes.

The small & medium enterprises segment is the second-largest segment and is estimated to grow at a CAGR of 29.8% during the forecast period. A growing number of small and medium-sized businesses are using virtual meeting software due to its versatility and affordability. Virtual meeting software's cost-effectiveness and reduced time and effort required for the meeting and learning process contribute significantly to the market's growth.

On the Basis of Industry Vertical

Based on the industry vertical, the global Virtual Meeting Software market has been categorized into BFSI, education, IT & telecom, government & public, healthcare, manufacturing, media & entertainment, and oil and gas.

The IT and telecom segment is the highest contributor to the market, growing at a CAGR of 24.9% during the forecast period. The global virtual meeting software market is fueled by factors such as reduced travel costs for IT and telecom companies, the ability to share critical documents with employees, and the provision of instant meeting services. Virtual meeting software is also being introduced by many telecommunications service providers so that their employees can work from home.

The manufacturing segment is the second-largest segment and is estimated to grow at a CAGR of 27.4% during the forecast period. Many toy manufacturing companies now use virtual meeting software to communicate with their remote offices and allow their employees to participate in multi-point video conferencing. Virtual meeting software services are increasingly popular in manufacturing because of their benefits, including the ability to interact easily with multinational teams, speed up the production cycle, and increase collaboration between departments.

Recent Developments

• On 5 May 2022, Cisco Releases Its Cloud Controls Framework to The Public, Making Security Certification Ever More Accessible.
• On 26 April 2022, Cisco Study: Employees say hybrid work makes them happier and more productive, but more needs to be done to make it more inclusive.