AVoIP faces short-term pressures and long-term promise, Futuresource to release new market data

The global market for AVoIP encoders and decoders retreated in 2024, with sell-in to professional AV falling. That’s according to Futuresource Consulting’s forthcoming AVoIP Market Outlook report, which points to macroeconomic pressures, a lack of industry standards and the ongoing pull of hybrid solutions as key factors shaping adoption patterns.

“AVoIP remains a transformative technology for professional AV, but the pace of transition is being tempered by external pressures,” says Helen Matthews, Senior Market Analyst at Futuresource Consulting. “Inflationary environments and broader political uncertainty are making end users cautious with capex. Combine that with ongoing interoperability concerns, and the result is a very measured pace of adoption”

Standards still in question

The Futuresource study highlights a continued hesitation among integrators and end users to commit fully to AVoIP in the absence of uniform industry standards. With most solutions still tied to proprietary ecosystems, organisations are wary of vendor lock-in and the risk of stranded investments.

“While many do see the long-term efficiencies that can be achieved with AVoIP, the lack of clarity around standards remains a sticking point,” says Matthews “This uncertainty is pushing some buyers to hold back, or to hedge with hybrid approaches that allow them to manage both legacy and IP-driven workflows.”

HDBaseT maintains a strong role

Although IP-based solutions capture much of the industry conversation, HDBaseT continues to hold a strong position in the market. Its ease of deployment, resilience and legacy footprint made it the preferred option for many non-expert end users in 2024. Futuresource data shows HDBaseT inputs declining by just 6% year-on-year, underscoring its ongoing importance in hybrid environments.

Looking Ahead

Despite short-term pressures, Futuresource expects the market to grow throughout the next five years as macro conditions stabilise and standards frameworks become more widely adopted. In the interim, hybrid solutions will remain the dominant mode, with HDBaseT and AVoIP coexisting across installations.

“AVoIP’s long-term potential is undiminished,” says Matthews. “The question isn’t whether the shift will happen, but how fast. Vendors and integrators that can deliver interoperability and lower barriers to entry will be best placed to capture the next wave of growth. And once we finalise the research for this report, we’ll have a deeper understanding of the proliferation of AVoIP across multiple pro AV applications. These include enterprise, education, government, hospitality, healthcare, house of worship, residential and broadcast.  We’ll also explore which brands are leading the way, and what the future outlook holds for this sector.”

The forthcoming AVoIP Market Outlook report explores the market dynamics, forecasts, and vendor strategies shaping the future of AVoIP encoders and decoders, offering essential intelligence for manufacturers, distributors and integrators.

To learn more or to pre-order the report, which will be launched in September 2025, please contact amit.patel@futuresource-hq.com or visit here.

About Futuresource Consulting

Futuresource Consulting is a leading research and consulting firm, providing in-depth analysis and strategic insights across the professional AV, technology, and media sectors. Established in the 1980s, Futuresource helps global brands understand market trends, innovate effectively, and navigate change.

Press Contact: Nicola Finn, Marketing Manager, Futuresource Consulting, nicola.finn@futuresource-hq.com