India major market for video conferencing equipment

The widespread popularity of distance learning, coupled with stronger thrust on e-governance and administration of justice, will make India a promising market for video conferencing equipment, felt experts at a round-table conducted here on Wednesday.

While the utility of the equipment was obvious for the corporate sector, it is more relevant for speedy, efficient and low-cost administration of official systems, the experts opined at the meet, Video Conferencing: Bridging Distances.

According to Alok Shende, director (ICT Practice) at consulting firm Frost & Sullivan, the video conferencing equipment market was currently estimated at $10.8 million and was expected to grow at a compounded annual growth rate of 24.9 per cent to reach the $50 million mark by 2011.

Conferencing solutions have become a business need in almost all verticals, government, education, corporate or health care. Sharing the segment wise break up, Shende said, "The government is the largest spender on these solutions, accounting for 38 per cent, followed by corporate at 37 per cent, healthcare at 14 per cent and education at 11 per cent."

Commenting on the potential of Indian market, Yugal Sharma, country manager - India for California-based Polycom Inc, said, "India is the second largest contributor to the company's sales, accounting for 22 per cent of revenue in the Asia Pacific (APAC) region."

India comes next only to China, which accounts for over 30 per cent of our revenues in the region, he pointed out, adding "India is the fastest growing market for the company and we expect it to account for over 30 per cent of our revenues, in the next two years."

Sharma said the company hoped to double its clientele for its video conferencing solutions in the coming year. "Polycom has over 62 per cent of the market share in the audio/ video conferencing applications market. We have over 500 clients using our video conferencing solutions and we expect to double this to a 1,000 clients in this fiscal."

Maharashtra Knowledge Corporation Limited (MKCL) which was set up with the brief to expand the scope of using technology for e-learning and e-governance, has demonstrated the efficacy of video conferencing in extending education services in the state's hinterland.

Dilip Tikle, vice-president (Business Development) MKCL, said, "we have deployed the audio/ video conferencing solutions across 13 centres presently in Pune, Navi Mumbai, Akola, Beed, Nagpur,, Jalgaon, Karad and Latur and will now expand this to cover 40 locations in the coming year."

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Video conferencing equipment market is estimated at $10.8 million and is expected reach the $50 million by 2011

Conferencing solutions have become a business need in almost all verticals, government, education, corporate or health care

The govt is the largest spender on these solutions, accounting for 38 %, followed by corporate at 37%, healthcare at 14 % and education at 11 %