Gone are the days when the only way in which global businesses could communicate with each other was by telephone or in the meeting room. Thanks to the growth of IP markets a person in Hong Kong, for example, can very easily have an online meeting with their colleagues in London. The range of products on the market is large and their popularity is evident by recent results posted by the US telecommunications giant AT&T. An article in the FT analysed these results and revealed that most US companies are using IP products to “streamline their operations, expand into new markets and geographies and deliver next generation services to their own customers.” Such is the strength of this growth that the AT&T figures indicated that IP products now account for $6.2bn of turnover. John Stephens, the AT&T Finance Officer is bullish about this sector, saying, “‘we will continue to see large businesses willing to invest in strategic services and the efficiencies they bring”.
Conferencing over the internet can be either audio or visual or both. In the early days of video conferencing the reception was so poor that many companies became disillusioned, but the new generation of IP products means that they can now communicate clearly and efficiently through desktop and laptop PCs and IP connected telephones. One of the newest providers in this market is Masergy, which distributes IP facilities to its corporate clients. Obviously, one of the bonuses that US global network provider Masergy has observed is that companies that are looking to cut travel and meeting costs will embrace IP conferencing with open arms.
In the UK, telecommunications giant BT is leading the way with its provision of these systems. Interestingly, one of their major clients is the Department for Work and Pensions (DWP), who awarded BT their IP contract in 2010 at a cost of £237m. With a number of offices in a variety of locations, ranging from Belfast to Brighton, this contract makes good economic sense.
One of the new buzzwords around in this market is Voice over Internet Protocol (VoIP). The reduction in telephony costs through the use of VoIP is impressive and new research figures show that an increasing number of companies are investing in this technology. Managers feel that by holding conferences online, productivity can be increased and costs, in terms of time and travel, can be reduced. Another advantage of VoIP is that conversations can be connected all over the world. Recently, the global telecomms firm, Avaya, announced plans to buy Israeli videoconferencing firm, Radvision, for £146 million. Talking about the buyout, Avaya’s CEO, Kevin Kennedy, commented, “with this acquisition we will seek to extend videoconferencing to any device, anytime, anywhere, making it as easy as a phone call.”
