face to face without ever leaving the office internet telephony expo 2003 craig colin director...
TRANSCRIPT
Face to Face Without Ever Leaving the Office
Internet Telephony Expo 2003
Craig Colin
Director Strategic Accounts
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 ?
Healthcare
Financial
Engineering/Mfg
Legal/Judicial
Education
What are they doing with it ?
Healthcare
Remote specialists
Medical education
Video “house calls”
Financial
Investor relations
Conference calls
Video tellers, brokers...
Engineering/Mfg
Workgroup collaboration
Process control
Customer support
Legal/Judicial
Contract negotiations
Video arrangement
Prisoner consultation
Education Distance learning Tutoring, mentoring Remote experts At home schooling
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 $200,000*
# of meetings/month 4 Annual maintenance 10%
Meeting length (hrs) 2 Management cost/month
($)
$7,000
Round trip travel time (hrs) 7 Network costs/month ($) $1000/system
Logistic time (hrs) 0.5 % of meetings done by
video
40%
Travel to/from airport time (hrs) 2
Average annual wage ($) $100,000
Burdened cost (%) 33%
* Includes MCU, gatekeeper and network upgrade.Source: Wainhouse Research
ROI-How does it look on a graph?
Breakeven occurs at month 12!
Face-to-Face vs IP Video Conferencing(40% VC Scenerio)
-
200,000
400,000
600,000
800,000
1,000,000
1,200,000
1 2 3 4 5 6 7 8 91
01
11
21
31
41
51
61
71
81
92
02
12
22
32
4
Month
$ Face-to-Face Aggregate
Video Aggregate
Breakeven point
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
VIDEO
Voice, Video and Data-Enabled 3G
PDA
DoCoMo Video 3G
Cell Phone
Cisco SIP-Based Voice/Video
Phone
MS Windows Messenger Merges
Voice, Video and Data
PCs Become Integrated
Voice, Video, Data, and Web
Portals
IP-Based Video End Point Now Features Robust Voice and Data Functionality
DATAVOICE VIDEO
One Example …
LET’S …
meet… Face to Face
..without leaving our desks