In economic down times, companies look to technology
more than ever to stay ahead. And as businesses tighten
their belts, travel budgets are often among the first
items sacrificed. Recently, people have turned to
collaborative technologies to conduct business at a
fraction of the cost and time required to fly somewhere,
rent a car, stay at a hotel, and eat out. Particularly
for video conferencing, advances in technology are
making alternatives to face-to-face meeting just as
effective as being in the same place at the same time.
Video conferencing today essentially is intended to
raise productivity and save money by reducing travel
time, bringing down costs, and making it easier for
people in remote locations to work together. Advances in
the compression facilities have reduced transmission
costs by allowing more information to be sent over lower
capacity digital networks. Video conferencing also has
been boosted by the availability of switched digital
telephone services and the use of Internet protocol (IP)
networks. The evolution of telecommunications networks
to IP will mean more effective use of bandwidth and
significant cost savings over the long term. Video and
audio quality are also improving, giving users the
chance to see and hear their colleagues as if they were
in the room with them. Versatility is another virtue of
this collaborative technology, as the healthcare
industry and our judicial system have reaped dramatic
benefits.
Unfortunately, just as the economy was seeing some
early signs of a recovery amid the corporate budget
cuts, the events from September 11 in New York,
Virginia, and Pennsylvania exacerbated the country's
financial vulnerability. Consumers simply have less
desire to spend or incur debt as freely as before and
don't want to take new risks. Businesses will surely do
what they can to soften the blow as a result of the
disaster. At the same time, it may have created an added
window of opportunity for people to take a look at how
technologies such as video conferencing can fit in their
business plan.
Today, major players -- PictureTel, Intel, NEC
America, Lucent, Nortel, and PolyCom, to name a few --
are developing new and improved products to allow for
people in different locations to discuss virtually
anything -- from implementing a new marketing plan, to
conducting criminal proceedings, to discussing
advancements in treatments by healthcare officials. The
possibilities are virtually endless.
If your business is reducing employee travel to
maintain existing accounts, or if you are still
interested in cultivating new opportunities, video
conferencing could prove to be an attractive option.
CORPORATE COMMUNICATIONS
The market for video conferencing equipment and services
is expected to grow exponentially, thanks to the recent
breakthroughs in technology mentioned above, in addition
to the fact that companies are operating on more
fiscally responsible terms, including reduced travel.
The obvious answer for many facing tougher economic
times is the deployment of video conferencing units -- a
technology that has come a long way since the first
public video conference back in 1930 between AT&T
headquarters and their Bell Laboratory in New York City,
and also the 1964 invention of the Picturephone.
From the perspective of corporate communications,
video conferencing can certainly improve the
effectiveness of decentralized executives by enabling
them to hold strategic planning meetings without needing
to leave their desks. Facilitating meeting attendance is
probably the most traditional, simple, and widely
implemented use of video conferencing. Recent
advancements into IP-based video conferencing, including
equipment to make effective use of bandwidth (thereby
lowering costs) and improved video and audio quality,
have made this technology more attractive to the
enterprise, no matter how good or bad the economy looks.
In the past, you had to sit in a conference room or
your office to participate in a video conference. Now
technology is being developed so that you can carry the
meeting with you. As enhanced wireless services are
getting prepared to enter the North American market,
companies like PacketVideo are working on software that
will deliver streaming video and audio to mobile devices
including phones and personal digital assistants (PDAs).
Whether you're at an offsite office or on the street, it's
only a matter of time before you will be able to tune
into a video conference from any place in the world.
Telemedicine
Video has become a much more affordable option for most
of the healthcare industry, and it is quite versatile in
this field. Teleradiology, telepathology, and
teledermatology are niche applications of medical video
conferencing in which doctors and nurses can work
simultaneously in multiple locations. As a result, video
conferencing in telemedicine is widely regarded as one
of the fastest-growing areas of conferencing, even
without an economic downturn. Telemedicine, as many
people are calling it, can allow for specialty
consultations for both physicians and patients in remote
sites using a combination of computer databases and
real-time video networks. With stepped-up cost controls
for hospitals, this technology is allowing doctors to
more easily review a patient's medical records, x-rays,
and other information without travel and waiting for
records to be received by mail. Resources are also
readily shared among smaller and rural hospitals. And
medical personnel are now taking continuing education
courses without leaving home.
In the past, most hospitals have had to rely on phone
calls and e-mails to relay patient information to
specialists. This was the case for Landstuhl Regional
Medical Center (LRMC) near Ramstein Air Base in Germany.
LRMC is a military facility that provides primary care,
hospitalization, and treatment for more than 60,000
personnel onsite and specialized care for more than
250,000 personnel as a referral center around Europe.
However, thanks to a supply of equipment from PictureTel
Corporation, the medical staff is now able to move
information more effectively without moving patients and
doctors.
LRMC has two special designed multimedia rooms with
ISDN and IP capabilities that they use for telemedicine
consultations, distance learning programs, medical
awareness, and command and control video conferences.
The biggest benefits to their investment in video
conferencing technology are things that you'll see
regularly from users -- money saved and time not wasted
getting to and from far-reaching locations.
PictureTel has also been involved in bringing
together patients and specialists who are spread out
over a large area in Michigan's Upper Peninsula. Health
care organizations that make up the Upper Peninsula
Health Care Network (UPHCN) have found that joint
purchasing and information sharing through video
conferencing is enabling them to do a more effective job
serving more than 300,000 citizens who live in a part of
the country where population density averages 19 people
per square mile. The greatest benefit of video
conferencing in this example is realized in the quality
of patient services -- today, patients are getting the
care they need without extensive travel. Many small
clinics in the Upper Peninsula use some of this
cost-effective, low bandwidth technology to communicate
with the bigger hospitals that are far away and have
more advanced technology -- a several hour drive in many
cases.
Video conferencing may also work its way to the
operating table on a regular basis. For example, a gall
bladder surgery was recently conducted robotically on a
woman in France while the surgeon performed the
operation from New York City. While the doctor viewed
the surgical field on a television monitor, remote
controls were manipulated by hand-over-high-speed
telecommunications. The key to the success of this
implementation of technology was that the time lag
between the surgeon's hand motions on the remote
controls and the robotics across the Atlantic were
barely more than one-tenth of a second -- essentially
real-time.
Furthermore, telemedicine is a service now visible in
jail-hospital relationships. Security doesn't have to be
compromised now, as on-site physicians at prisons can
consult with remote specialists on operative and
post-operative treatments. The only movement necessary
for an inmate today is from his cell to a diagnostic or
surgical center onsite.
Telejustice
If you don't want to think about how much of your tax
dollars are spent to care for prisoners during their
jail sentences, then consider what companies such as
Teleco, Inc., are doing by teaming up with local
governments in an effort to cut costs. In Greenville
County, SC, roughly $1.4 million was spent in the past
year transporting prisoners to and from hearings,
meetings with psychologists, and hospitals for medical
care. Today, the county government has videoconferencing
equipment connecting its 13th Circuit courtrooms to the
Greenville County Detention Center for bond hearings.
Without having to leave the facility, inmates are taken
to a secure area in the jail where they are able to see
the judge, hear what is said, and take part in the
proceedings. "Using video conferencing for criminal
proceedings will reduce the cost of transporting
prisoners, reduce security risks by eliminating excess
transportation of prisoners in jail, and reduce time
wasted while waiting for prisoners to be brought from
the Detention Center," says 13th Circuit Solicitor Bob
Ariail. "It will certainly be cost-effective for the
citizens of Greenville County and will help us handle
cases quicker, which should benefit victims, witnesses,
and those who are in jail."
Norm MacDonald, vice president of marketing for
Teleco, says future applications of video conferencing
can move into other non-jury proceedings, such as
motions, parole and sentence violations, guilty pleas,
juvenile detention, and psychological care for inmates.
In South Carolina, prisoners with mental problems are
entitled to seek treatment on a monthly basis, and with
jail-to-psychologist video conferencing, valuable time
and money are saved while maintaining quality of care.
MacDonald adds that while the systems currently used
by Greenville County are ISDN-based for the purpose of
securing remote depositions and testimony from expert
witnesses, many of the systems Teleco has sold over the
past few years are IP-based, so the flexibility in the
equipment is readily available. And with savings
generated like the example in Greenville County -- use
of a video conferencing system could cost a tenth as
much as the amount that was spent on inmate
transportation -- most cities with a jail can justify
the investment of video conferencing systems.
A PROMISING OUTLOOK
The TIA 2001 MultiMedia Telecommunications Market
Review and Forecast predicts that the market for
video conferencing equipment will rise at a compound
annual growth rate of 21 percent, reaching $3.3 billion
by 2004. Furthermore, the report predicts that in 2002,
more than $12 billion will be invested in video
conferencing equipment and services for corporate
communications. Today, despite the sagging economy and
the events of September 11th, the video conferencing
equipment market is still on track to match and
potentially exceed those early predications. And
telemedicine and telejustice are just a few of the
markets expected to yield robust financial opportunities
for suppliers of video conferencing solutions. As the
economy (and our industry) regain their respective
footing and Americans continue to search for alternative
methods of conducting business, the video conferencing
market as a whole will continue to enjoy increased
profitability.
Mary
Bradshaw is the vice president of global enterprise
market development for the Telecommunications
Industry Association (TIA).
TIA is a leading trade association serving the
communications and information technology industry.
Through its worldwide activities, the association
facilitates business development opportunities and a
competitive market environment. The association provides
a market-focused forum for its more than 1,100 member
companies that manufacture or supply the products and
services used in global communications.
[ Return
To The November 2001 Table Of Contents ]
|