Iceland Volcano Incident & Travel Ban Forces Companies to Use Videoconferencing Solutions

By Kelly McGuire, TMCnet Editor

The erupting volcano in Iceland has done more damage than just keeping an anxious bride and groom stuck in Dubai and forced to have a virtual wedding.

In fact, many companies that frequent Europe for business deals and meetings are now using videoconferencing technology as an alternate.

According to Cisco (News - Alert) Systems' Head of the TelePresence Technology Group, there's been a huge spike in usage within the company's own facilities due to the lack of availability to travel. 

The volcano incident, which has reportedly caused the worst air travel chaos since the September 11 attacks, has allowed Cisco, the biggest manufacturer of videoconferencing equipment - announced after its $3.3 billion acquisition of Tandberg (News - Alert) in October 2009 - to boost equipment sales.

But, Cisco's not the only one stepping up the product initiatives. Norwegian tech start-up Videoworks, which opened for business on Monday, said it would begin supplying a range of high-definition conferencing systems based on technology from Sony. One of the company's founders came from a top sales position at Tandberg.

The videoconferencing sector has seen a flurry of acquisitions and, analysts say, is a key growth area as companies seek to cut business travel costs. And, while the volcano incident is an unfortunate one, it may be just what the videoconferencing industry needed to gain appreciation and acceptance from consumers.

(source: http://data-voice-solutions.tmcnet.com/topics/telepresence/articles/82353-iceland-volcano-incident-travel-ban-forces-companies-use.htm)