This Frost & Sullivan research service titled North American Videoconferencing Services Markets provides an in-depth analysis of important characteristics of the market, identifying market challenges, drivers, and restraints that are shaping the future of the videoconferencing industry in this region. In this research, Frost & Sullivan's expert analysts thoroughly examine videoconferencing services that include bridging, conversion, transcoding, event management, managed services, and other value-added services.

　　This analysis is available through our Conferencing and Collaboration Growth Partnership Services program. With this program, clients receive industry-leading market research such as this, along with technical and econometric data and many interactive features including Analyst Inquiry Time and Client Councils.

　　Transition to IP and Advent of HD Systems Rejuvenate the North American Videoconferencing Services Markets

　　After a prolonged slump, the North American videoconferencing services markets witnessed renewed demand in 2007. This revival was largely due to the dramatic changes effected by the migration from integrated speech and data net (ISDN) to IP networks, the emergence of high definition (HD) systems, and the advent of Telepresence. The transition to IP was inevitable as the limitations of ISDN, especially bandwidth and cost constraints, became more apparent. HD was the new technological component that added to the total videoconferencing experience, boosting its uptake. Meanwhile, Telepresence, which enables face-to-face meetings, had greatly impacted room-based conferencing.

　　Another factor that fuelled the growth of this sector was the increased adoption of unified communication, which allows the integration of diverse communication systems. Enterprises are opting for multipurpose, real-time applications that allow a wider reach to individuals outside the periphery of their network to enhance business processes. "The ongoing move to unified communications will bring videoconferencing into the fold of new enterprise applications, further accelerating the use of video as an integral part of a bigger communications product suite," notes the analyst of this study. Although videoconferencing is perceived as a stand-alone solution, the shift to unified communications is likely to blur the distinction between videoconferencing and allied technologies.

　　Heightened Competition Encourages Service Providers to Roll Out High-value Offerings to Increase Market Footprint

　　As the market is gaining momentum, videoconferencing service providers are offering high-value, fully customizable services at lower cost, in a bid to get end users to outsource their service requirements. Service providers are competing to offer best-of-breed solutions and provide a whole gamut of services, encompassing on-demand videoconferencing, end-to-end managed services, comprehensive management and web-based access, enhanced directory services, and flexible billing options. "As the preference for in-house solutions is unlikely to diminish, competitors need to provide an integrated managed services portfolio to capture revenues from new and more value-added services that complement in-house videoconferencing deployments," notes the analyst.

　　Conferencing service providers (CSPs) are proactively exploring untapped growth opportunities and providing managed services that are customized on site or off site solutions. With the ongoing migration to IP, the task of implementing videoconferencing and other collaborative solutions is becoming difficult. Consequently, enterprises are leaning toward third-party service providers to take charge of their conferencing solutions to obtain the twin benefits of lowered cost and increased efficiency. On-demand conferencing and self-service solutions are also gaining wider acceptance, especially since the latter has si