video conferencing

In spite of being a mature technology, videoconferencing lacks the critical mass to be considered an imperative enterprise technology. End users are still unaware of the benefits of videoconferencing outside of meetings. The technologies high upfront capital expenditure and complexity also delay their purchase decisions. However, videoconferencing is witnessing remarkable uptake in the corporate and government vertical markets. In 2004, China’s video conferencing system market experienced steady growth. The Chinese government’s effort to develop e-government provides a rare opportunity for different players in the industry chain, including video conferencing system vendors, operators, industry users and related service providers. At present, competition is fierce in the market. Large enterprises with international competitiveness that operate across departments, industries and regions and domestic large and medium-sized enterprise groups are competing for market shares. Large monopolistic enterprise groups will not emerge in the market before 2008. Apart from highly competitive international companies, there are a number of domestic IT enterprises with solid strength. They keep expanding production capacity and developing new technology and products to meet fast-growing market demand.