
The CPaaS Revolution: APIs, AI, and the New Era of Communication
Description
Frost & Sullivan’s 2025 IT decision-maker (ITDM) survey was conducted to gain insights into the following end-user organizations’ priorities:
- Current communications and collaboration technology adoption rates and future adoption plans.
- Demand for communications platform as a service (CPaaS) and programmable communications functionality through flexible application programming interfaces (APIs)
- Demand for the various communications modalities or digital channels currently available in CPaaS solutions
The survey also aimed to understand:
- Growth opportunities within the CPaaS market for the entire enterprise communications ecosystem, including telecommunication carriers, unified communications as a service (UCaaS) providers, unified communications (UC) technology vendors, and other ecosystem partners.
- Buying preferences and obstacles to adoption
- CPaaS adoption trends by vertical industry
The vast majority, more than 84%, of surveyed organizations in the 2024 Frost & Sullivan study expected to have adopted programmable communications by the end of 2026, suggesting significant growth potential for CPaaS providers. More than 50% of organizations are likely to increase their CPaaS investment over the next three years across various API-enabled communication modalities (e.g., email, messaging, voice, video).
Even when many organizations undergo technology transformation, the majority are challenged by their fragmented systems/ platforms as a productivity barrier. CPaaS, initially adopted to enhance customer interactions, is now primarily valued by IT decision-makers for driving internal productivity and workflow automation. About 35% of IT decision-makers lack understanding of the technology’s benefits, potentially hindering adoption and highlighting the need for increased awareness and ROI discussion.
- Current communications and collaboration technology adoption rates and future adoption plans.
- Demand for communications platform as a service (CPaaS) and programmable communications functionality through flexible application programming interfaces (APIs)
- Demand for the various communications modalities or digital channels currently available in CPaaS solutions
The survey also aimed to understand:
- Growth opportunities within the CPaaS market for the entire enterprise communications ecosystem, including telecommunication carriers, unified communications as a service (UCaaS) providers, unified communications (UC) technology vendors, and other ecosystem partners.
- Buying preferences and obstacles to adoption
- CPaaS adoption trends by vertical industry
The vast majority, more than 84%, of surveyed organizations in the 2024 Frost & Sullivan study expected to have adopted programmable communications by the end of 2026, suggesting significant growth potential for CPaaS providers. More than 50% of organizations are likely to increase their CPaaS investment over the next three years across various API-enabled communication modalities (e.g., email, messaging, voice, video).
Even when many organizations undergo technology transformation, the majority are challenged by their fragmented systems/ platforms as a productivity barrier. CPaaS, initially adopted to enhance customer interactions, is now primarily valued by IT decision-makers for driving internal productivity and workflow automation. About 35% of IT decision-makers lack understanding of the technology’s benefits, potentially hindering adoption and highlighting the need for increased awareness and ROI discussion.
Table of Contents
Pricing
Currency Rates
Questions or Comments?
Our team has the ability to search within reports to verify it suits your needs. We can also help maximize your budget by finding sections of reports you can purchase.