SIP Trunking Services Systems Market Size, Share, Growth, Trends, and Global Industry Analysis: By Deployment (On-premises, Cloud-based), By Organization Size (Small and medium-sized enterprises (SMEs), Large enterprises), By Application (VoIP, Unified communications (UC), Contact center, Video conferencing), By Industry (Financial services, Healthcare, Retail, Manufacturing, Information Technology), and Region Forecast 2020-2031

SIP Trunking Services Systems Market size was valued at US$ 5,900 million in 2024 and is expected to reach US$ 10,200 million by 2031, growing at a significant CAGR of 7.8% from 2025-2031. Moreover, the U.S. SIP Trunking Market is projected to grow significantly, reaching an estimated value of US$ 3,400 million by 2031. The market is expanding rapidly as organizations seek scalable, flexible, and cost-effective ways to manage voice and unified communications across distributed operations. By replacing legacy telephony trunks with IP-based SIP trunks, businesses reduce CAPEX and streamline global voice traffic via VoIP platforms. With hybrid work models gaining permanence, SIP trunking enables integration of voice, video conferencing, contact center, and unified communications (UC) tools into a cohesive system. The shift toward cloud-based architectures and remote communications drives demand from enterprises seeking operational resilience and seamless connectivity across locations and devices.

Cloud-first communication strategies have elevated SIP trunking from a backend telephony function to a critical digital infrastructure layer. The growing adoption of UCaaS platforms and remote contact center setups is accelerating deployments in both SMEs and large enterprises. Industries such as healthcare, financial services, IT, retail, and manufacturing rely on reliable connectivity for business-critical operations. Healthcare facilities, in particular, leverage SIP trunking to support telemedicine and around-the-clock communications. Regulatory needs for secure, traceable interactions add urgency to adoption. SIP trunking now serves as a foundational component of modern enterprise communications.

Facts & Figures

• The transition from traditional PBX systems to IP-based communication platforms is accelerating due to the rising demand for cost-effective voice solutions.
• Cloud-based SIP trunking is gaining strong traction among SMEs due to its scalability, low infrastructure cost, and minimal maintenance.
• Integration of SIP trunking with Unified Communications (UC) platforms is helping enterprises streamline internal communication and improve customer interaction.
• Regulatory flexibility and number portability benefits are encouraging large-scale enterprises in North America and Europe to shift toward SIP-based infrastructure.

Key Developments:

• In May 2025, BT Group partnered with AWS to integrate SIP trunk services into global cloud communication suites.
• In March 2025, Twilio expanded its global SIP trunking presence by launching dedicated voice regions in Southeast Asia for improved latency.
• In January 2025, AT&T announced a bundled SIP trunking and UCaaS solution tailored for healthcare customers.

SIP Trunking Services Systems Market Segmentation:

Based on the deployment:

• On- Premises
• Cloud Based

Cloud-based SIP trunking dominates due to scalability, ease of access, and lower total cost of ownership. Hosted services enable rapid deployment, remote provisioning across multiple locations, and reduced reliance on physical infrastructure. They integrate seamlessly with unified communications, video conferencing, contact center platforms, and mobile endpoints. Businesses, particularly SMEs, benefit from subscription models without upfront capital expenditure. Enhanced reliability and disaster recovery features align with enterprise continuity strategies. Cloud providers also deliver continuous updates, analytics, and value-added AI services. These advantages make cloud deployment the preferred model for modern organizations seeking agility, remote collaboration, and IT simplicity.

Based on the organization size:

• Small and medium-sized enterprises (SMEs)
• Large enterprises

Large enterprises lead SIP trunk adoption, holding about 45–60% of the market share, due to their need for reliable, high-capacity communication infrastructure. These firms manage wide-reaching operations with multiple locations, requiring seamless voice, UC, and contact center integration. Their investment in secure, resilient networks supports convergence of VoIP and digital collaboration tools. Large organizations also prefer vendors that offer regulatory and compliance visibility, SLAs, and global reach. They are more likely to deploy hybrid or fully hosted models with advanced features like AI analytics, redundancy, and global routing. Their scale makes SIP trunking a core element of enterprise digital transformation strategies.

Based on the application:

• VoIP
• Unified communications (UC)
• Contact center
• Video conferencing

The unified communications (UC) segment is a leading application area for SIP trunking services, as it combines voice, messaging, conferencing, and collaboration tools into a unified workflow. SIP trunks power UC platforms, enabling integration of VoIP calls, video conferencing, presence, and team messaging. Organizations using UC platforms benefit from cost savings, streamlined operations, and enhanced productivity. UC adoption is particularly strong in digital-forward sectors like IT, call centers, financial services, and healthcare. Combining SIP trunks with UC reduces infrastructure complexity and centralizes communication management, making it operationally efficient and scalable for businesses of all sizes.

Based on the industry:

• Financial Services
• Healthcare
• Retail
• Manufacturing
• Information Technology

Healthcare is one of the fastest-growing industries for SIP trunking services, as medical providers increasingly rely on telemedicine, remote patient coordination, and 24/7 connectivity. Hospitals and clinics require secure, scalable voice and messaging platforms for clinician communication, appointment scheduling, and coordination across access points. SIP trunking offers cost-efficient, centralized voice infrastructure that supports continuity and allows rapid scaling to support surges in demand. During emergencies or widespread disruptions, reliable SIP infrastructure ensures critical communication channels remain operational. The healthcare sector is under regulatory scrutiny, increasing preference for communications systems that offer encryption, traceability, and resilience.