In 2009, sales of telepresence hardware, software and services grew to $567 million, according to ABI Research

Telepresence (News - Alert) is a kind of video conferencing that is becoming very popular as it makes two individual feel they are together in the same room. Due to its popularity, last year the technology saw a great deal of activity in the telepresence supplier market - which is expected to drive growth.

Last year, Cisco also acquired Tandberg (News - Alert) and this strategic move helped the former company to strengthen its position in the industry.

David Lemelin, director of the Enterprise Communications Research Service said that today companies of all sizes have access to telepresence and video conferencing services.

Businesses that want to transition to telepresence are helped by the suppliers that are quick to introduce personal and room-based HD video conferencing solutions. Lemelin said that the popularity of Telepresence room rentals is also increasing.

Even though the popularity of this technology is increasing ABI says it is important for service providers to expand the options for access to telepresence products and services so that they are able to maintain strong market growth.

"Video conferencing products that are a step above 'talking heads' at reasonable price points allow companies to experience the benefits and incorporate them into their business processes," adds Enterprise practice director Dan Shey (News - Alert). "This begins a cycle of growth that will lead to using true telepresence systems."

ABI has forecasted few other significant trends and suppliers' contributions that will drive the market in 2010 and in the coming years. The research firm says that in the coming months more companies will be focused on saving travel costs and this will be especially important for firms expanding their supply chains.

ABI Research's (News - Alert) "Enterprise Telepresence and Video Conferencing" study also shows that more suppliers will target companies with legacy video teleconferencing systems and expanding telepresence system interoperability.

In 2010 and beyond, telepresence will be enhanced with unified communications features and there will be more growth of managed and cloud telepresence services from vendors such as Glowpoint, BT Onesource, Verizon (News - Alert) and AT&T.

Also, this year customers will see telepresence products for mobile employees and devices such as laptops and smartphones.