Bigger is not always better and this is especially true when it comes to Telepresence systems for the SMB markets. As is always the case, major companies like Cisco and Polycom always look at the big companies first. Case in point -- you did not see Cisco come out with the small 500 system until the last few months and it is way over priced for the market.
First I want to take a look at a few different systems made for the SMB market or personal use. The Cisco Telepresence 500 system retails for $33,900. It either comes on a stand or can be a desktop unit. It does, however, include a built-in monitor, which is 37 inches. All the other products mentioned in this blog post need a monitor purchased seperately. Cisco Telepresence 500
The Polycom HDX 7000 Series system retails for around $14,000, according to the information we could find, and this did not include a monitor. But you can add one in a package from the company on a stand or wall mount if needed. Polycom HDX 7000
The closest system we could find that would work for an SMB customer is the LifeSize Express system that run around $4,995. This company only does HD video conferencing for customers. This system does not come with a monitor but is small enough for someone to put into a computer bag and take on the road. LifeSize Express
As you can see we have come down in price each time but we are still a ways away from a price that will really make this mainstream. I would imagine that we will need a system around $1,000 without a monitor for this to be mainstream with SMB customer, travelers and remote workers.
(Here's a link on the latest news with regards to Telepresense, Nortel is getting a very big customer by reselling Polycom.)
With many customers looking at the economy and current travel prices, videoconferencing and/or Telepresence is going to be the way people will do business in the future and that future will be here sooner than you think. But we come back to the main question, who will make a HD Telepresence System the SMB user can afford?
We would like to hear your opinion on this, what are you using, how does it work, what would you recommend? Rumors are running around the chat sessions that Skype or MSN might support HD video conference calls soon. Not the hacked high resolution video, true HD 720 or 1080.
Larry Chaffin Ph.D is the CEO/Chairman and founder of Pluto Networks, a consulting and VAR partner specializing in WDS, VoIP, WLAN, Telepresence and Security. Pluto Networks is a leader in WDS-Application Acceleration, Full Disk Encryption, End Point Security and Telepresence. While specializing in the needs of large and enterprise companies, Pluto Networks has been concentrating on the SMB customers to provide them with the same great service as larger companies. Pluto Networks holds SMB specializations from our partners to service all their needs. Pluto Networks has become a leader in SMB VOIP using Cisco and Linksys to service customers.
Managing Cisco Secure Networks, Skype Me, Practical VOIP Security, Configuring Check Point NGX VPN-1/Firewall-1, Configuring Juniper Networks NetScreen & SSG Firewalls, Essential Computer Security: Everyone's Guide to Email, Internet, and Wireless Security, How to Cheat at Microsoft Vista Administration, Microsoft Vista for IT Security Professionals, Asterisk Hacking, 2008 VoIP and Video Conferencing, Infosecurity 2008 Threat Analysis and author of Building a VOIP Network with Nortel's MS5100, along with co-authoring/ghost writing eleven other technology books for VIOP, WLAN, security and optical technologies. Larry is currently working on a follow up to Building a VoIP network with Nortel's MCS 5100 Book as well as new books on Cisco Telepresence Networks, Practical VoIP case studies and WAN Acceleration with Riverbed.
Larry has more than 29 vendor certifications and has been working on many others. Larry has been a principal architect around the world in 22 countries for many Fortune 100 companies designing VoIP, security, wireless and optical networks. He has expanded over time also to include application acceleration or WDS. Larry is working with major vendors now on updating current certification tests to make them real world focused.
The opinions expressed in this Weblog are those of the writer and may not represent the opinions of Network World.
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Affordable Telepresence
Hi Larry,
The problem with affordable telepresence is that delivering all the features that separate "telepresence" from videoconferencing is somewhat expensive. I put together a graphic that details some of the elements required to create a telepresence experience in this article. My dad has a ranch in south Texas and uses a somewhat expensive 6 wheel Ford Dooley to work the spread. He could "save money" by buying a cheaper pick up but what money is saved if it doesn't have the capacity or the power to get the job done.
If you want to achieve the end-user acceptance and usage that gets folks off planes and improves the quality of global collaborative work then you need the right tool for the job and the plastic-camera-on-the-tv-set-on-the-desert-cart only goes so far.
Affordable telepresence will come to SMBs through public availability of telepresence systems which will allow them to "punch over their weight" and connect with partners, clients, and potential clients around the world in a format that closely resembles an in-person expereince.
Best,
HSL
Howard S. Lichtman
President, Human Productivity Lab
Publisher, Telepresence Options
Entrepreneur, Powwow Virtual
Cost
The Lifesize solution at 5k is perfectly affordable for SMB. You will have to demonstrate an actual ROI though. The more a client travels, the faster they will realize that ROI from their purchase. There are plenty of other SMB solutions that come in around 5k. Storage and Voice are two that come to mind.
Cisco's pricepoint really makes the Telepresence 500 system a mid-market solution. Not really for SMB.
The other two are priced within reach of most SMB's.
My two cents
Better and less expensive than Lifesize, Tandberg, Polycom ...
There’s no arguing that Telepresence is breathtaking. And companies, that can afford to, are buying these systems because they really do work. If you invest that kind of money into owning and using them ($300K/room and $20K+/month to operate) they had better be darn good!
However as you suggest, these Telepresence systems are for the corporate ELITE. Relatively few in the Enterprise can reap their benefits because they’re just plain cost prohibitive for most of us.
However … there IS a new technology/line of products on the market that addresses this gap and answers your question: “who will make an HD Telepresence System the SMB user can afford? Earlier this year, a company called Vidyo (www.vidyo.com ) introduced something called “personal telepresence” -- an HD video conferencing system built from the ground up with an entirely new architecture.
Vidyo is the first and only company thus far to license technology and deliver products built upon this new video conferencing architecture that utilizes the recently approved H.264/SVC video compression standard.
Standard video conferencing systems – even the very high end ones - require an MCU (multipoint control unit ) which serves to bottleneck video coding and encoding and cause latency. Vidyo’s new architecture eliminates the need for an MCU – and consequently delivers very smooth, natural-looking HD conferencing. It delivers this unparalleled quality over unreliable networks including the Internet (particularly the Internet!). Cisco was one of the first to license this groundbreaking technology, earlier this year.
And Vidyo lets anyone have this incredible experience from anywhere. Not just from a specially equipped Telepresence Room over specialized networks! It offers high quality video (true HD 720 and up to 60 frames per second) over general IP networks!
Vidyo has “democratized” telepresence. With Vidyo, everyone is allowed access to high quality video conferencing … not just the corporate elite. Vidyo is the ONLY solution that offers HD to desktops that also interacts seamlessly with HD room systems (even with legacy systems from Polycom, Tandberg, etc.).
So ... finally there IS an answer for the SMB user who needs something within reach and affordable, but doesn’t want to sacrifice quality.
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