Customer Experience MetriCast 2025: Contact Center Platforms Market Share & Forecast: 1Q25

Metrigy’s Customer Experience MetriCast 2025 market study for contact center platforms shows the continued movement from premises-based contact center infrastructure to multitenant, cloud-based services that provide contact center operations with more flexibility and access to the latest features and capabilities. The study shows 34.0% use CCaaS, 45.8% use a dedicated hosted platform owned and managed by a third party, and 38.4% use on-premises platforms—either those fully on premises or those physically located in a third-party data center but hosted/managed by the enterprise organization. While always overly optimistic, another 18.9% plan to be using CCaaS by the end of 2025, 16.0% plan to use a dedicated hosted platform managed by a third party, and another 16.6% plan to be fully on-premises. This report provides details on contact center platform adoption and in-depth spending, market size, forecast, and vendor selection across CCaaS and on-premises/dedicated contact center platforms, along with segmentation by size and global region. Highlights of the study include the following:

• The global market for on-premises contact center platforms (license and system revenue) was $2.1 billion in 2024, a 5.3% year-over-year (YoY) decline as contact center operations continue to migrate to CCaaS. Metrigy forecasts the market to continue decreasing over the forecast period, with a negative 7% five-year revenue CAGR (2024-2029). Metrigy forecasts for on-premises contact center platforms do not include maintenance and support revenue.
• The number of dedicated contact center platform vendors is small, with the 1Q 2025 market share leader being Avaya (35.7% of global revenue), followed by Genesys (13.8%), and Cisco (9.4%).
• On-premises contact center platforms are most widely used by larger enterprises. Nearly 49% of companies with between 1,000 and 2,500 employees and a slightly lower percent (47.9%) of companies with more than 2,500 employees are using on-premises contact center platforms today as part of their CX strategy.
• Regionally, contact center platforms are most widely adopted in Europe followed by APAC and North America, though CCaaS platform adoption alone is steady across regions, ranging from 33.6% to 34.2%.
• Among companies that use dedicated contact center platforms, 35.5% have no plans to replace their primary vendor. The rest are either replacing, have plans to replace, are evaluating whether to replace their provider, or they are unsure. High cost is the top reason businesses are changing or evaluating a vendor, followed closely by lack of AI capabilities.
• The global market size for CCaaS was $7.2 billion in 2024, up 20.0% YoY. Metrigy forecasts the market to grow at an 11% CAGR from 2024 to 2029, reaching $12.2 billion by 2029. More than two-thirds of agent seats are still on customer-owned and -managed platforms, representing significant upsell potential for CCaaS.
• CCaaS is most prevalent in North America, with $5.2 billion in revenue in 2024; companies with 50 to 249 employees accounted for $3.0 billion in CCaaS 2024 revenue globally.
• There are a number of CCaaS providers, global and regional, with varying levels of capabilities. Based on 1Q 2025 CCaaS revenue, NICE is the global revenue market share leader with 22.2% share, followed by Genesys with 19.7% and Five9 with 13.1%. Other leading providers include 8x8, Amazon Web Services (AWS), Cisco, Content Guru, Dialpad, Sprinklr, Talkdesk, Twilio, Vonage, and others.
• Among those using CCaaS, 37.3% have no plans to replace their primary provider. For companies that do plan a change, the desire to use a single, integrated unified communications (UC)/contact center provider is the biggest reason, followed by company policy to re-evaluate providers at the end of current contracts.
• Customer service, security capabilities, and reliability are the most important CCaaS provider evaluation criteria.
• Most companies are still showing strong support for remote and hybrid working. While 17.1% have employees that are fully remote, 69.1% are allowing at least some type of hybrid remote/in-office working.