Figures released by Wainhouse this month indicate that Videoconferencing manufacturers Polycom, Sony and Aethra have all lost a chunk of the market to ‘Team China’.  While Sony and Aethra lost just 1% each, it is reported that Polycom lost a sizable 7% of its Video conferencing market share last quarter.  Tandberg appear to be the only major player holding out against this potentially massive competition.  On top of this, ZTE Corporation of China has announced that it intends to supply its new Video conferencing system to Europe.  At the moment there is limited information for the western market, Wainhouse were only able to indicate, at going to press, that the price break would be about 30% lower than Polycom’s equivalent product and that the distributor is to be Review Video in the UK.  I have been able to find out from ZTE that the product will look like this.

Initial specs show that the product will be H.320 and H.323 compliant up to 768kbps and 2Mbps respectively.  It will also support H.264, H.263++, H.263 and H.261.  As well as all the common audio standards, the system has a 6 port MCU and will support SXGA resolution H.239 graphics.  This appears on the surface to be a very impressive unit and if the price is as reported, will become a tough act to compete with.  The biggest question has to be how well the product is supported outside of China.  It has been shown time and again that if a manufacturer cannot support it offerings locally then customers become disillusioned very quickly.  The word spreads and the knock on effect on the brand can last for years.