Fierce

Is video-conferencing market due for cloud burst?

Monday 29th August 2011 - 18:20

Fierce

Interest in using videoconferencing platforms undoubtedly had been on the rise in recent years as corporate enterprises have been forced to look at ways to cut travel costs for purely economic reasons, as well as reduce their carbon footprints.

Heavy interest may not always translate to heavy usage though, and the high price of some videoconferencing systems, particularly the high-end telepresence systems, may still be keeping many companies on the sidelines.

At least one analyst, Robert Poe, principal analyst with VoIP Evolution, is cautiously predicting that the market could be ready to explode on greater acceptance of the technology by small and medium-sized businesses.

Light Reading notes that Poe said a major factor in the possible market shift could be increasing availability of cloud-based videoconferencing platforms from companies like Blue Jeans, among others. (Poe's report on the potential shift is titled, "SMB Video Conferencing: Getting Beyond Clouds & Interoperability.")

It will be interesting to see if vendors of the high-end telepresence systems can adapt their offerings to be more economically attractive to smaller customers. Cisco Systems (Nasdaq:CSCO) has already taken a shot at the residential market, which would seem to indicate that small businesses are within reach. Meanwhile, Vidyo offers a telepresence system that does not require dedicated bandwidth to function, thus lowering the price.

For more:
-see this Light Reading report

Related articles:
Polycom just landed a major telepresence deal with Merck
Ovum sees videoconferencing as a $3.8 billion business by 2016

Source: Fierce
More about: Cisco , Systems
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Dan O'Shea
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