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Telepresence Successfully Establishes its Position in the Complete Portfolio of Visual Communications Products and Services - Telepresence has finally and most definitely arrived and – despite its apparent higher price – is successfully proving its ability to serve companies' more demanding communications needs
Telepresence Successfully Establishes its Position in the Complete Portfolio of Visual Communications Products and Services

 

NewswireToday - /newswire/ - London, United Kingdom, 2008/09/16 - Telepresence has finally and most definitely arrived and – despite its apparent higher price – is successfully proving its ability to serve companies' more demanding communications needs.

   
 
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In addition to replacing the types of executive business meetings for which travel was long regarded as essential, telepresence is now also making a wider impact within organisations, to facilitate project meetings and help foster a closer team spirit between distantly located workers.

New analysis from Frost & Sullivan (conferencing.frost.com) Telepresence Global Markets, finds that the markets generated revenues of $165.3 million in 2007 and estimates this to reach $1.44 billion in 2013.

"While telepresence has been around for a number of years, it is only in the last two years that it has made a major impact," comments Frost & Sullivan Principal Analyst Dominic Dodd. "It has re-wakened C-level executives to the massive potential of visual communications to provide real answers to several key issues facing organisations today."

Telepresence is not a technology, but rather a tightly linked solution of systems and services, which, when delivered properly, can provide companies with a highly reliable, consistent and usable communications capability.

Specialist companies such as Teliris have since 2001 very successfully created a niche market at the top end of the visual communications spectrum – delivering telepresence rooms and supporting services on a global basis. However, only since the market debuts of Cisco Systems and HP in 2006 has telepresence burst into the mainstream, with many corporations now viewing it as a very realistic alternative to business travel, with ROI values that justify the high price tag.

"Faced with spiralling travel costs and demands from stakeholders to reduce the environmental impact of their business operations, organisations are now again evaluating telepresence and video conferencing as viable and cost-effective solutions," remarks Dodd.

However, telepresence is a complex solution, consisting of critical technology systems and service components that require vendors to work closely with network services providers and systems integrators to deliver consistently. While a number of vendors are capable of providing customers with a 'one-stop shop', others are building key alliances to create the complete solution. The ability of the telepresence market to grow will depend on the quality of these partnerships, and the consistency with which solutions are delivered.

While telepresence has successfully established a reputation for delivering a high quality, highly productive user experience there is a real danger that over-use or possible misuse of the telepresence 'brand' will lead to its devaluation.

"Telepresence is now firmly part of the visual communications portfolio, with an increasing number of customers able to testify to the solution's ability to resolve a number of key organizational communications issues, while still producing a good return on investment," says Dodd. "Vendors and service providers operating in this segment of the market will need to keep a careful eye on the values that customers associate with telepresence, and ensure these do not become diluted, impacting the premium this high-end solution can command."

It is possible that a global economic downturn will severely impact the potential for telepresence to continue growing at its present strong rate. Customers faced with having to make capital spending cuts may simply defer these, or opt for the cheaper HD video conferencing products now coming into the market. Equally, companies may see in telepresence an opportunity to create additional agility within their organisations, reducing travel costs, and re-engineering productivity to position themselves for the upturn.

"Telepresence offers service providers an excellent opportunity to build additional value and customer loyalty around high quality, managed visual communications services," concludes Dodd. "Telepresence offerings that do not deliver the promised user experience risk failing, in the same way that many earlier standalone video conferencing systems failed to create sustained use within organisations through the lack of consistent support services."



Overtime, 'out-of-the-box' high-definition video conferencing products will approach the capabilities that are today delivered by the multi-screen, immersive telepresence solutions. This will create further opportunities for service providers and systems integrators to create new telepresence offerings, particularly around the needs of specific vertical sectors and business applications.

If you are interested in a virtual brochure, which provides manufacturers, end users and other industry participants with an overview of the telepresence global markets, then send an email to Joanna Lewandowska, Corporate Communications, at joanna.lewandowska[.]frost.com with your full name, company name, title, telephone number, company email address, company website, city, state and country. Upon receipt of the above information, an overview will be sent to you by email.

Telepresence Global Markets is part of the Conferencing and Collaboration Growth Partnership Services Programme, which also includes research in the following markets: Videoconferencing Endpoints Markets, Videoconferencing Infrastructure Markets, and Web Conferencing Software and Services Markets. All research included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants. Interviews with the press are available.

Frost & Sullivan, the Growth Partnership Company, partners with clients to accelerate their growth. The company's TEAM Research, Growth Consulting and Growth Team Membership™ empower clients to create a growth-focused culture that generates, evaluates and implements effective growth strategies. Frost & Sullivan employs over 45 years of experience in partnering with Global 1000 companies, emerging businesses and the investment community from more than 30 offices on six continents.

Telepresence Global Markets
M228-64

 
 
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Telepresence Successfully Establishes its Position in the Complete Portfolio of Visual Communications Products and Services

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Frost & Sullivan |
Publisher Contact: Joanna Lewandowska 
+48 22 390 41 46 joanna.lewandowska[.]frost.com
 
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