Transcript E-1 - TMCnet

Face to Face Without
Ever Leaving the
Office
Internet Telephony Expo 2003
Craig Colin
Director Strategic Accounts
[email protected]
Tel: 972-539-3082
Agenda
 Who’s doing video conferencing and
collaboration today?
 What are we seeing out there?
 What’s the business case to support video
conferencing
 Technology - why IP makes the story
complete
Who’s using it ?

Education
 Healthcare
 Engineering/Mfg
 Financial
 Legal/Judicial
What are they doing with it ?

Education




Distance learning
Tutoring, mentoring
Remote experts
At home schooling
 Healthcare
 Engineering/Mfg
 Remote specialists
 Workgroup collaboration
 Medical education
 Process control
 Video “house calls”
 Customer support
 Financial
 Legal/Judicial
 Investor relations
 Contract negotiations
 Conference calls
 Video arrangement
 Video tellers, brokers...
 Prisoner consultation
Business Case?
Positioning Videoconferencing –
What’s the problem?
 Travel expenses – executives, sales,
marketing, field support, ect.
 Product development timeframes
 Team building with geographically
dispersed workforce
 Employment recruiting
 Customer relations
Business Case Elements
 Costs
 Network and infrastructure
 Reoccurring
 Hard
 Soft
 Benefits
 Real
 Intangible
 ROI
Video Conferencing Cost Structure
 Set up costs (some may be capitalized)
 Purchase of equipment
 Network upgrades and design
 Installation of equipment and network
 Training of people
 Scheduling, reservations, mgmt
software
 Fixed monthly costs
 Network access
 System mgmt and maintenance labor
and fees
 Variable monthly costs
 Network access charges
Real Benefits - $$$
 Eliminates airfare and hotel bills
 Eliminates taxis, food, beverage
expenses, etc
 Eliminates entertainment costs
Intangible Benefits
 Accelerates decision making
 Increases interaction and productivity of
dispersed teams
 Allows closer relationships with clients,
prospects, and suppliers
 More flexible training
 Travel reduction reduces employee:
 Wear and tear
 Stress levels
 Family issues
 Down-time
ROI – Travel Example
General Cost Data
Video Cost Data
# of travelers
10
# of video systems
11
Average cost/trip ($)
$1,200
Initial cost
$200,000*
# of meetings/month
4
Annual maintenance
10%
Meeting length (hrs)
2
Management cost/month
$7,000
($)
Round trip travel time (hrs)
7
Network costs/month ($)
$1000/system
Logistic time (hrs)
0.5
% of meetings done by
40%
video
Travel to/from airport time (hrs)
2
Average annual wage ($)
$100,000
Burdened cost (%)
33%
Source: Wainhouse Research
* Includes MCU, gatekeeper and network upgrade.
ROI-How does it look on a graph?
Face-to-Face vs IP Video Conferencing
(40% VC Scenerio)
1,200,000
1,000,000
$
800,000
Face-to-Face Aggregate
Video Aggregate
600,000
400,000
Breakeven point
200,000
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
Month
Breakeven occurs at month 12!
Source: Wainhouse Research
Why IP Makes the Picture Complete
 Wider network availability
 More favorable economics
 Better end-user experience
 New compelling applications
Better End-user Experience…..
 Less call latency!!
 Higher call completion rates
 Accepted call completion rates over
ISDN - ~85%
 Call completion rates over IP can
exceed 99% on a well designed
network
 Faster connect times
 No need to bond ISDN-lines over IP
 Better quality video
 Over IP, users can take advantage of
available bandwidth to achieve
broadcast quality video
New Compelling Applications
 This is what will ultimately drive the
market
 Early stages – but the possibilities are
exciting
 Central theme – adding video as a
feature to other products and services
 Some examples
 High-quality PC-based endpoints
 Integration with IP-PBXs
 Integration with PC-based IM
 Integration with audio and web conferencing
services
 Video conferencing over 3G cellular networks
Separate Networks .. Separate
Devices
VOICE
DATA
VIDEO
Converged Communications - Voice,
Video, and Data
VOICE
DATA VIDEO
IP-Based Video End
Point Now Features
Robust
Voice and
VIDEO
Data Functionality
DoCoMo
Video 3G
Cell Phone
Cisco SIP-Based
Voice/Video
Phone
PCs Become
Integrated
Voice, Video,
Data, and Web
Portals
Voice, Video and
Data-Enabled 3G
PDA
MS Windows
Messenger Merges
Voice, Video and Data
One Example …
LET’S …
meet…
Face to Face
..without leaving our desks