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Cisco's acquisition of Tandberg for $3 Billion, should Polycom worry?
By siliconindia
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Monday, 05 October 2009, 18:26 IST
Bangalore: With Cisco's $3 billion offer to acquire video conferencing solution provider Tandberg, the whole video conferencing market is set to change. However the big question is whether Polycom will be able to sustain itself as a pure-play video conferencing player or will it similarly be gobbled up by another giant.
The acquisition of Tandberg will allow Cisco to further enhance its enterprise product offerings, after having acquired desktop conferencing solution provider firm, Webex in 2007. The product line of Tandberg is much more advanced and enables multi-site video conferencing apart from the conventional board video conferencing solutions.
Polycom has entered into an exclusive partnership arrangement with telecom service providers such as Airtel and Reliance Communications. This has enabled Polycom to maintain competitive advantage in terms of reach. But this arrangement found more relevance in a scenario where enterprises planned to make their video conferencing communications over TDM infrastructure. The trend is rapidly changing with more and more enterprises opting to choose for IP based VC communication.
