- Posted
- Aug 13, 2008
- | By
- Kylie Wilson-Field
Videoconferencing contributes to productivity
According to a new report released by Frost & Sullivan, a leading market research company, the videoconferencing market has recently seen a substantial growth in users. In fact, experts in the IT sector are saying that growth is as high as 41% in the past year alone. The report by Frost & Sullivan found that end users in the Asia–Pacific region are fast shifting from integrated service digital networks (ISDNs) to IP-based videoconferencing that comes with better compression features and lower bandwidth costs. Currently, the report says, more than two-thirds of videoconferencing is done through IP networks. While countries such as China, Australia and New Zealand boast of first-rate IP infrastructure, other nations in the region are also making fast progress. As the acceptance of IP technology continues to grow, enterprises are keen on adopting a common platform that unifies the various conferencing elements. This, says Frost & Sullivan, would allow them to dynamically scale bandwidth and work on diverse applications in a cost-effective and more environmentally friendly manner.
Peter Witts, from Cisco, says that they have found the arrival of true, high-definition meeting technology, available over video, has allowed their customers to experience what traditional videoconferencing only promised; interacting with other people in real time over great distances without having to worry about the technology.
“Without exaggerating, Cisco TelePresence is a transformative technology,” he said.
“Customers can not only reduce their travel costs and the related impact on the environment but it allows them to drive productivity, make decisions more effectively and collaborate to improve business in ways which would previously have taken a lot longer.”
Witts said, “Cisco TelePresence is an extension of the existing unified communications network which many of their customers are currently using before they deploy Cisco TelePresence.
“In other words, TelePresence is really just a big phone, sitting on the same network which runs the customers’ email, web servers and other network-based services.
“We see few downsides to it, but one of the few challenges it has created has been the need to manage the workflow and usage of the technology because, in the Cisco experience, in Australia at least, TelePresence has been so popular with staff as a way to reduce travel, it often gets booked up all day.”
Over the past two years, the introduction of products that deliver high-definition videoconferencing and 'telepresence' have been terrific for market awareness says Kirstie Smith, senior marketing manager, Tandberg ANZ.
“These products demonstrate to customers what is possible for videoconferencing technology to deliver. As a result, like many in the unified communications industry, Tandberg is experiencing significant sales growth of our products year over year. Our largest increase in sales is from infrastructure and network services products that make videoconferencing easier to use, more reliable and deliver better performance.
“In addition, outstanding growth has been achieved from sales of products that deliver bandwidth management, least-cost routing and multi-site bridging. These products reduce costs related to excessive ISDN cost, make better use of existing IP network bandwidth and eliminate the need for external conferencing bridging services," said Smith.
Polycom, an international company that specialises in media collaborative applications, believes that Australia is in line with the 41% growth in videoconferencing.
“There are a couple of reasons why there has been a significant uptake in the technology," said Michael Chetner, country manager for Polycom.
“The standard return on investment for video has been less travel. That’s probably a very simplistic way of describing the dynamics of business today but productivity is something that all businesses talk about in comparison to their competitors and video can address that, in respect of not having to use your time sitting in airports or waiting for taxis. It’s about creating a healthy life/work balance.
“On the other side, high-definition is certainly the buzzword in video right now as we have seen a massive growth in high-definition as opposed to standard definition. The bandwidth is getting cheaper and more abundant. [Videoconferencing] does require more bandwidth but it has become much cheaper even in the last 12–24 months. Having a good network means that the high-quality experience is accessible to everyone,” said Chetner.
Max Kaye, business manager, LaserJet Enterprise Solutions, IPG, HP South Pacific, agrees it’s important for companies to strike the right balance between work and life, particularly with travel.
“Videoconferencing also offers businesses an effective face-to-face communication medium without the associated travel. As a result, businesses reduce travel expenses while also reducing their carbon emissions. As both land and air travel contribute to carbon emissions, videoconferencing is a green alternative for those companies that require face-to-face meetings between employees who work in separate locations.
“Rising energy costs and the desire to reduce the environmental impact have resulted in businesses using greener product alternatives and services, especially with the emergence of serious issues such as global warming. We have found that businesses are factoring ‘green’ attributes to their purchasing decisions.
“For effective communication to take place, people need natural eye contact and the ability to assess verbal and non-verbal cues. This is why videoconferencing has also had such success as a communication tool.”
And the last word goes to Smith: “We are seeing organisations looking at their video strategically and not just an ad hoc purchase, therefore purchases are covering the meeting room to the desktop and then the infrastructure to support this.”
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