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Cloud Hanging Over Moribund Videoconferencing Market

June 4, 2014 | Telepresence Options


Story and images by Chris Gonsalves / Channel Nomics

Quarter after quarter, it's increasingly difficult to find new words to describe how terrible the market for videoconferencing and telepresence equipment has become. It's no surprise to solution providers peddling these wares that sales remain in a double-digit tailspin with little signs of recovery.

The latest numbers from IDC Corp.'s Worldwide Enterprise Videoconferencing and Telepresence Equipment QView report tell the sad tale: Overall videoconferencing equipment revenue for Q1 came in at $473.5 million, a 20-percent drop and a 16 percent decline year over year. The total number of video was down 13.3 percent in Q1 compared to the previous quarter and off 6.2 percent from the same period last year.

  • No segment remained unpunished in year-over-year revenue measurements.
  • Multi-codec immersive telepresence was down 33.5 percent.
  • Room-based video systems was down 10.1 percent.
  • Video infrastructure equipment was down 13 percent.

Regionally, only Latin America inched ahead, seeing a modest 1.8 percent lift in revenues from last quarter, though it still dropped 5 percent from Q1 of 2013. All the other major regions showed annual revenue declines in Q1, with North America down 13.4 percent year-over-year. EMEA was down 19.8 percent and Asia/Pacific dropped 16.4 percent.

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