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Telepresence Revenues Set to Grow in Asia-Pacific Market

March 18, 2010 | Howard Lichtman

By Jai C.S., TMCnet Contributor

March 16, 2010

Telepresence (News - Alert) solutions are gaining acceptance among large businesses as a superior visual communications tool due not only to the solutions ability to offer a better collaboration experience but also because it helps people meet, share content, create high-quality video recordings and deliver powerful personalized services.

New analysis from Frost & Sullivan on the Asia-Pacific Telepresence Market, finds that the market - covering 14 Asia-Pac countries, including Japan - earned estimated revenues of $44.4 million in 2009 and is forecasted to grow at a compound annual growth rate 3-20-2010 6-10-22 PM.png of 22.9 percent between 2009 and 2015 per annum, before reaching a market size of $110.1 million by the end of 2015.

For 2010, Frost & Sullivan (News - Alert) expects a growth of 64.4 percent, with revenues of just over $73.0 million by year-end with weaker growth expected thereafter.
Also, revenues for ready-built telepresence suites in Asia-Pacific were estimated to have grown 71.1 percent in 2009 - up from 46.6 percent in 2008, according to the research.

Frost & Sullivan industry manager Pranabesh Nath said, "The immersive nature of telepresence enhances user experience and productivity, while simultaneously trimming the operational expenditure of a company."

 "Major vendors were quick to seize the opportunity presented by the harsh economic climate and were successful in selling a large number of ready-built systems in the last two years," Nath said.


"Many even offering generous discounts to make a sale."

Vendors currently market telepresence systems as ready-built units, but in future, the analyst expects some new business models to emerge from greater involvement with service providers offering customized immersive systems as a managed service. Nath said he expects this to show promising uptake as it eliminates the need for users to invest in hardware and in-house maintenance skills.


"We are already witnessing a blurring of boundaries between an immersive telepresence suite and conventional HD video system, and this will only accelerate in the next one to two years," Nath said.

Jai C.S. is a contributing editor for TMCnet.

Edited by Stefania Viscusi

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