COMPLIMENTARY ADVISORY REPORT

Telepresence Evolution Alerts Market Players to Challenges Ahead

| Sep 30, 2009 | Business Network Services - U.S. | Advisory Report

| Analyst: Brian Washburn, Research Director, Network Services

In 2008-2009, telepresence services captured the attention and dollars of more large, global enterprises. These companies look toward the packaged service to reduce their travel costs, and to save on time spent out of the office by busy executives. In the months following Current Analysis' initial roundup coverage carriers continue to work on expanding their geographic reach, value-adds, and service options.

The telepresence market is easy to describe in broad terms. Global enterprises are interested in these services because they can save executives' travel time and associated costs. Carriers differentiate these services from other forms of video conferencing through the “fully immersive” experience of sitting face-to-face with remote attendees, and they augment basic equipment and connectivity with concierge services, online tools, and applications integration to make it easy for non-technical executives to set up and use these services. Global carriers are interested in telepresence services, because they tend to be bought by multinational enterprise customers, which can afford to pay for the large amount of premium-class bandwidth these services use. Finally, the major carriers are working out how to interconnect the islands of telepresence customers that each carrier has managed to sign to date; if it can be done simply and without high extra costs, inter-carrier (and inter-platform) telepresence will raise the value of these services for all industry players.

The above top-level trends set the basic groundwork for telepresence services. However, behind the top-level trends, there are competing conceptual models as well as additional technology and business challenges that carriers need to address. These additional observed trends are outlined in the Advisory Report.

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